Airlines have seen a sharp decline in domestic travel, with international almost completely halted from temporary bans to contain further spread. DFW-based American Airlines will implement a phased suspension of additional long-haul international flights and anticipates its domestic capacity to reduce by at least 30% come April. United, JetBlue, Delta, Alaska Airlines have all updated their policies and schedules, including fare caps, fee waivers, refunds and reduced flight offerings. International Air Transport Association claims that airlines globally could lose up to $113 billion in revenue. VOX reiterates that this loss could disrupt the industry as significantly as the Great Recession.
The hospitality industry has likewise seen a sharp decline. Some restaurants are encouraging dine-in patrons by upping sanitation and spreading tables further apart, while others have strictly moved to takeout or delivery only or temporarily closed all together. Some states have set lowered max-occupancy numbers and others have been ordered to completely shut down. Hotels are reporting widespread cancellations and vacancies.
Brick and mortar retail have been experiencing the effects as well. While most shopping malls remain open at the time of this writing, brands are beginning to temporarily shutter all locations, from Nike and Apple to Urban Outfitters and Lululemon. With China as a large hub of operations for brands, an unstable terrain has quickly evolved. Sales, manufacturing, and logistics are included in the impact. Add in the decline of foot traffic, and luxury retail brands such as Burberry and Versace owner Capri Holdings, could see a $45 billion decline in sales. For e-commerce, sales may grow beyond 2020 projections amid Coronavirus fears.
Event-based and experiential marketing has clearly seen a dramatic decline after the widespread concern of coronavirus infection rates. The South by Southwest Festival, where people across the globe convene to celebrate interactive, film, and music industries, was cancelled for the first time in 40 years, with no sign of a reschedule this year. Coachella Valley Music and Arts Festival, originally set for April 10-12 and 17-19, was postponed to October of this year. The Boston Marathon was set for April 20th but will now take place in the fall as well.
Many activations at other events and gatherings have been cancelled. Large companies such as Facebook, Twitter, and Intel, can pull out without much business implication, but the small brands and companies that rely on these events, are left at a loss. By March 15, the CDC said that all gatherings of 50+ persons, from weddings to religious services to concerts, should be cancelled.
Add to this nationwide to global professional athletics cancelled or pushed back practically overnight, a large portion of broadcast advertising will be forced to shift to a different schedule.