The “New Normal”
Due to COVID-19, the global and local economic condition has been widely impacted. According to GDP Venture and Citi Group reports, many industries such as transportation, accommodation, and entertainment have decreased by 72% in sales. This issue has resulted in many micro, small, and medium enterprises (MSME) having to take unusual steps to support their businesses.
Westpac Group reported that there will be a 10% permanent or temporary closure of the MSME business until the end of April 2020 due to the government restrictions on activities. This has a direct impact on unemployment in Australia increasing to 6.2% at the end of April 2020. The increase in unemployment occurred in almost all countries at large. In Indonesia, the unemployment rate is predicted to reach 7.5% by the end of 2020.
With the global COVID-19 pandemic, businesses and the community are urged to adjust their business operations. Since March 2020, the government recommends all non-essential businesses to work from home to reduce the risk of COVID-19 spreads. The community has no choice but to adapt to the new existing restrictions from social activities to align with the interests of society at large.
These adjustments have caused the formation of new business practices that are considered the new norm. As a result, these businesses have to replace their old way of working. The existence of these new restrictions urges businesses to think strategically and innovatively to survive in the market and become the solution to the current situation. These new practices have implications for all industries including the real estate industry especially the increased reliance more on Information Technology.
In Australia now, a new approach in marketing properties for sale or rent are offered. Prospective buyers or tenants can inspect properties through the virtual worlds and carry out further processes digitally. There are many efforts to prepare the availability of information in the virtual world such as Video Production, Web Development, IT Support, and Social Media Content Developers. This caused the transition of business operations from the old to a new conceptual approach.
There is also a digital inspection process in the process of property management to meet the needs of services. Property managers will communicate with property tenants through digital platforms to carry out digital inspection activities using the latest technological features that three months previously were not available.
Finally, the last thing that has become a new procedure to help the government adjusting the current COVID-19 condition is the introduction of Digital Hearing of the Tribunal (VCAT). These new business practices, also known as the “new normal”, is a challenge that cannot be escaped for businesses and consumers to adapt. If you need services related to properties and have been adapted to the latest conditions, you can content our consultants. Xynergy Realty is one of the companies that has prepared our business operations using the latest approach before COVID-19.
CEA (REIV), CA (MFAA), TAA, CIT (M), CPS (RE), Dipl FMBM, B.Ec (Fin), FIML
Property Writer/ Property Consultant
Finance Consultant (Mortgage Broker)
Licensed Estate Agent
Harvard University Scholar