Impact of COVID-19 on Bars and events

The outbreak of the pandemic led to a lot of social restrictions that were put by the Government to curb the spread of the infection. As a result, the performance of bar businesses decreased significantly, leading to low-profit margins, bar owners running bankrupt and insolvent, and some business owners opting to close down their businesses until the spread of the infection has been subsidized. During the pandemic social gathering was prohibited, and people could not meet together to enjoy a drink as before, as a result, most bar businesses recorded low sales volume during that year than the previous years before the pandemic.

During the COVID-19 pandemic, people have significantly changed their drinking habits, shifting places of consumption from bars and restaurants to home. For many people, alcohol is part of their social life, a life that has been significantly disrupted by COVID-19 due suspension of social gatherings and events, curfew and total lockdown in some regions. Most people changed how much they drank as the pandemic had also interfered with their spending habits. People consume less alcohol than before the pandemic, and as a result, the sales volume went very low. (Poupart).

Bars are mostly highly functional during evening hours when people are from work and meet up to have a drink and rejuvenate. The introduction of curfews and lockdowns made these social events unheard of during the pandemic. People could not travel from one town to another for drinking and socializing like before. Many bars were operating on very minimal returns as the profit margin was really low during that time. The COVID-19 outbreak led to event cancellation, most event companies did not perform well in the business due to low sales volume, which resulted in the companies making low-profit margins and revenues. When the pandemic hit, the ministry of health and World Health Organizations put across measures that helped to curb the spread of the virus. Social events were closed, and curfew and lockdown did not allow people to go away from their homes. There were very minimal events and attendance was restricted to a specific number of people, thereby reducing the company’s sales volume.

The pandemic altered people’s spending habits (Calina et al. 8) many people did not have social drinking during that time. Bar businesses went as consumption of alcohol was overly discouraged based on presumptions that it heightens the impact of the infection Healthwise. This made business bar owners record very low sales volume that led to a decrease in the profit margin and revenues realized. Some businesses couldn’t continue with their operations because the losses were so high and the profit was very low. Generally, lock dawn and curfews did more harm to bar business because social drinking is mostly in the evening when people are from their jobs.

The sudden outbreak of COVID-19 posed a detrimental effect on the hospitality industry. The current post-COVID economic environment of financial instability is still affecting the hospitality industry, the financial recovery of the sector to regain its previous state requires a lot of effort and intervention from other sectors of the economy such as the tourism and transport industry and health or the industry’s performance will continue to decline. It is also determined by government intervention in terms of taxes and other subsidies and incentives the Government can offer in an attempt to uplift the sector. The future of the hospitality sector is determined by relentless efforts by all the responsible keyholders to keep it thriving. Local tourism and hospitality industry flourish based on patterns of visitation, leisure time such as occasional drinking events and efforts put in by decision makers to attract visitors to invest in the sector and enhance the multiplier effect on the industry.

Although the pandemic has brought more harm than good to the hospitality industry, there is a possibility for growth in the industry. Local promotions and campaigns are providing an essential boost to aid establish many hotels and restaurants and event businesses, this is a major step in recovery in reviving the industry’s performance. The Government’s effort to recover the sector has been taken into consideration by key stakeholders and decision-makers in the hospitality industry (McCartney, Glenn et al 47-68). The hospitality industry globally is one of the most severely affected by the pandemic. Managers have felt the need to prepare for unforeseeable calamities in the future, including employee support services to avoid laying off the workforce, service innovation, and ploughing back profits to enhance resilience and financial recovery in the sector. The pandemic’s impact on the hospitality industry will be long-lasting if people still hold on to the past, however, if the companies t