i3 - May/June 2020 - 43

By Steve Koenig

Business

M A R K E T B E AT

COVID-19: CTA Research
Examines the New Normal

 T 

he situation arising from the novel coronavirus pandemic is as surreal as it is serious. Equipped with a 'new'
digital toolkit, businesses and consumers alike are confronting a common challenge - coping with an evolving health
crisis against the backdrop of uncertainty. So pervasive is the
dynamic, that many describe it as the 'new normal'. As the health
crisis accelerated in the U.S. during early March, CTA Research
kept pace with a raft of studies examining business impacts and
analyzing consumer behavior.
Our initial work in CTA's Consumer
Technology Industry Update: COVID-19
Effects (March 4) documented the early
shocks from COVID-19 beginning to
ripple across the global economy from
Asian shores. As factories across the
region closed down, the impact to supply chains was increasingly apparent.
Technology was especially at risk, but
other sectors were already being
strained including oil, travel and automotive - to name a few. As contagion
spread to Europe (notably Italy) and the
U.S., there was solid evidence of an economic downturn in the first quarter and
the reality of a U.S. recession sank in.
Amid this climate we published our
Coronavirus Member Impact Study
(March 18) based on a CTA member survey fielded between March 2-9. At that
time, 63% of CTA members surveyed said
their company was affected by the
COVID-19 outbreak. Underscoring the
global nature of the crisis, two-thirds
(64%) of companies affected by the novel
coronavirus cited impact to both U.S. and
international locations. Negative operational impacts centered mostly on travel
limitations, but more than half (56%) said
their products were affected in some way.

some starting to message customers (17%)
and a handful (8%) searching for new production facilities.
Later in March, as lockdowns and 'stay at
home' orders cascaded from coast to coast
to counter skyrocketing infection rates, we
undertook a consumer study to understand
how American households in isolation were
using technology to stay connected, productive, informed and entertained. CTA's
COVID-19 Impact Study: Use of Technology
at Home (March 26) analyzes technology
use, content consumption, uptake of online
shopping and delivery services and social
media engagement.

For entertainment services, the pandemic has simply added to an existing
uptrend. The analysis confirmed
American households were engaging
with more audio, video and gaming content and in some cases adding subscriptions to their entertainment stack.
But more significantly, our study
found the pandemic has magnetized
consumer adoption of other online services like online food or grocery delivery. These services are proving to be an
essential tool to support isolating
efforts and maintain physical social distancing. More than half (53%) of U.S.
households we surveyed between
March 20-22 had used or were considering using contactless food/grocery
delivery services. The longer the pandemic remains a threat the more likely
adoption of coping behaviors like
online delivery use will stick once the
contagion is contained.
We may also see moves toward contactless payment systems, a larger
remote workforce, less business travel
and a lot more video conferencing.

HOW HOUSEHOLD USE OF ONLINE ORDERING
OF NON-FOOD ITEMS HAS CHANGED

Using online
ordering more often
Using online
ordering less often
About the same

How are Organizations Responding?
Importantly, our research found at this
early stage companies were focused on
the well-being of their employees, with
C TA . t e c h / i 3

i3_0520_Business_MarketBeat.indd 43

Source: CTA Market Research
MAY/JUNE 2020

43

5/7/20 12:22 PM


http://www.CTA.tech/research https://shop.cta.tech/collections/research/products/special-2020-industry-forecast-update-assessing-covid-19-impact https://shop.cta.tech/collections/research/products/special-2020-industry-forecast-update-assessing-covid-19-impact https://shop.cta.tech/collections/research/products/special-2020-industry-forecast-update-assessing-covid-19-impact https://shop.cta.tech/collections/research/products/covid-19-impact-study-use-of-technology-at-home https://shop.cta.tech/collections/research/products/covid-19-impact-study-use-of-technology-at-home https://shop.cta.tech/collections/research/products/coronavirus-member-impact-study https://shop.cta.tech/collections/research/products/coronavirus-member-impact-study http://CTA.tech/i3

i3 - May/June 2020

Table of Contents for the Digital Edition of i3 - May/June 2020

Contents
i3 - May/June 2020 - Cover1
i3 - May/June 2020 - Cover2
i3 - May/June 2020 - Contents
i3 - May/June 2020 - 2
i3 - May/June 2020 - 3
i3 - May/June 2020 - 4
i3 - May/June 2020 - 5
i3 - May/June 2020 - 6
i3 - May/June 2020 - 7
i3 - May/June 2020 - 8
i3 - May/June 2020 - 9
i3 - May/June 2020 - 10
i3 - May/June 2020 - 11
i3 - May/June 2020 - 12
i3 - May/June 2020 - 13
i3 - May/June 2020 - 14
i3 - May/June 2020 - 15
i3 - May/June 2020 - 16
i3 - May/June 2020 - 17
i3 - May/June 2020 - 18
i3 - May/June 2020 - 19
i3 - May/June 2020 - 20
i3 - May/June 2020 - 21
i3 - May/June 2020 - 22
i3 - May/June 2020 - 23
i3 - May/June 2020 - 24
i3 - May/June 2020 - 25
i3 - May/June 2020 - 26
i3 - May/June 2020 - 27
i3 - May/June 2020 - 28
i3 - May/June 2020 - 29
i3 - May/June 2020 - 30
i3 - May/June 2020 - 31
i3 - May/June 2020 - 32
i3 - May/June 2020 - 33
i3 - May/June 2020 - 34
i3 - May/June 2020 - 35
i3 - May/June 2020 - 36
i3 - May/June 2020 - 37
i3 - May/June 2020 - 38
i3 - May/June 2020 - 39
i3 - May/June 2020 - 40
i3 - May/June 2020 - 41
i3 - May/June 2020 - 42
i3 - May/June 2020 - 43
i3 - May/June 2020 - 44
i3 - May/June 2020 - Cover3
i3 - May/June 2020 - Cover4
https://www.nxtbook.com/nxtbooks/manifest/i3_20210304
https://www.nxtbook.com/nxtbooks/manifest/i3_20210102
https://www.nxtbook.com/nxtbooks/manifest/i3_20201112
https://www.nxtbook.com/nxtbooks/manifest/i3_20200910
https://www.nxtbook.com/nxtbooks/manifest/i3_20200708
https://www.nxtbook.com/nxtbooks/manifest/i3_20200506
https://www.nxtbook.com/nxtbooks/manifest/i3_20200304
https://www.nxtbook.com/nxtbooks/manifest/i3_20200102
https://www.nxtbook.com/nxtbooks/manifest/i3_20191112
https://www.nxtbook.com/nxtbooks/manifest/i3_20190910
https://www.nxtbook.com/nxtbooks/manifest/i3_20190708
https://www.nxtbook.com/nxtbooks/manifest/i3_20190506
https://www.nxtbook.com/nxtbooks/manifest/i3_20190304
https://www.nxtbook.com/nxtbooks/manifest/i3_20190102
https://www.nxtbook.com/nxtbooks/manifest/i3_20181112
https://www.nxtbook.com/nxtbooks/manifest/i3_20180910
https://www.nxtbook.com/nxtbooks/manifest/i3_20180708
https://www.nxtbook.com/nxtbooks/manifest/i3_20180506
https://www.nxtbook.com/nxtbooks/manifest/i3_20180304
https://www.nxtbook.com/nxtbooks/manifest/i3_20180102
https://www.nxtbook.com/nxtbooks/manifest/i3_20171112
https://www.nxtbook.com/nxtbooks/manifest/i3_20170910
https://www.nxtbook.com/nxtbooks/manifest/i3_20170708
https://www.nxtbook.com/nxtbooks/manifest/i3_20160102
https://www.nxtbook.com/nxtbooks/manifest/i3_20160304
https://www.nxtbook.com/nxtbooks/manifest/i3_20160506
https://www.nxtbook.com/nxtbooks/manifest/i3_20160708
https://www.nxtbook.com/nxtbooks/manifest/i3_20170506
https://www.nxtbook.com/nxtbooks/manifest/i3_20170304
https://www.nxtbook.com/nxtbooks/manifest/i3_20170102
https://www.nxtbook.com/nxtbooks/manifest/i3_20161112
https://www.nxtbook.com/nxtbooks/manifest/i3_20160910
https://www.nxtbookmedia.com