Market Sector Analysis
As an Internet Service Provider, Airfibre’s rate of business expansion has been impacted by Covid-19 – clearly less relevant than the health toll placed upon the country.
Telco’s can draw ‘business comfort’ from their recurring revenues business model and dependency of their customers upon the communications services that they provide.
This said, Airfibre was on a roll and has seen new customer acquisition levels falling off 66% since February. We are now seeing higher levels of commercial activity and the company senses that month-on-month growth is once again increasing largely assisted by an aggressive price remodelling designed to enable customers to reduce costs and increase business efficiency as they forge their own paths to normality.
This blog is the result of analysing business Internet usage (February to July) on the premise that it may serve as a relatively useful reference for the Covid-19 impact upon businesses.
Observations are based upon viewing utilisation graphs for individual customers based upon their % utilisation of bandwidth over a period of 6-months.
Airfibre has no ability to analyse traffic content or traffic types, which needs to be taken into consideration. For example, a link that may be dedicated to security applications that continued to operate throughout the period does not necessarily reflect the effects of Covid on that business.
Analyses are broken down by sector.
- All connections are now operating at pre covid levels.
- 44% of circuits were not used in the formative period.
- 35% were steady throughout.
- 21% saw a 2/3rd decline in traffic in the formative period, but have since recovered.
Financial & Legal
- 23% of connections report zero utilisation in the formative period (April/May) but are showing signs of recovery.
- 77% of organisations continued to operate normally in terms of utilisation.
Interestingly the in/out profiles of data flows suggest that 11% of organisations in this sector instigated home working with remote access to central resources.
Healthcare and Supplies
- 81% unaffected.
- 19% reduced to zero utilisation during the formative period with all but 4% having now returned to pre covid normal operating levels.
- 30% hit a flat zero of utilisation and there is little evidence of any significant recovery.
- 35% experienced near zero utilisation in the formative period but there is evidence of slow recovery.
- 35% have maintained steady utilisation throughout.
Retail & Distribution
- 21% of organisations have flatlined close to zero utilisation.
- 17% hit effectively zero utilisation during the formative period but are now showing signs of recovery.
- 62% have been steady throughout.
Property & Letting Management
- All connections consistent throughout.
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