As governments and organizations continue to work toward containing COVID-19 and stem the growing humanitarian toll it is exacting, the economic effects are also beginning to be felt. Through a series of regular, global surveys,1 we are tracking how customers’ expectations, spending, and behaviors are changing throughout the crisis across multiple countries over time. Please check back regularly for updates.

1. McKinsey & Company 1
Optimism is relatively high but waning: Half are optimistic about
the economy, down five percentage points from two weeks ago
Confidence level on economic conditions after the COVID-19 situation1
% of respondents
11 10
33 41
55
50
April 1 April 27
Optimistic: The economy will rebound in 2–3 months and grow
just as strong as or stronger than before COVID-19
Pessimistic: COVID-19 will have lasting impact on the economy and will
show regression/fall into lengthy recession
Neutral: The economy will be impacted for 6–12 months or
longer and will stagnate or show slow growth thereafter
1Q: How is your overall confidence level on economic conditions after the COVID-19 situation? Figures may not sum to 100% because of rounding; a “prefer not to answer” option was given, but <1% of respondents filled it out in 2020.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/1/2020 (n = 622); McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

2. McKinsey & Company 2
US remains slightly more optimistic compared to other regions,
with the exception of India and China
12 11 9 12
18
12 10
41
13 12 10
43 47 47
50
49
50
29
19
48
58
51
41
45 42 43
37
33
39
68 71
10
30
37
50
ItalyFrance UKSpainAll
countries
Germany
2
China India Japan S. Korea Brazil US
Confidence level on economic conditions after the COVID-19 situation1
% of respondents
Optimistic: The economy will
rebound in 2–3 months and grow
just as strong as or stronger
than before COVID-19
Pessimistic: COVID-19 will have
lasting impact on the economy and
will show regression/fall into
lengthy recession
Neutral: The economy will be
impacted for 6–12 months or
longer and will stagnate or
show slow growth thereafter
1Q: How is your overall confidence level on economic conditions after the COVID-19 situation? Figures may not sum to 100% because of rounding; a “prefer not to answer” option was given, but <1% of respondents filled it out in 2020.
Percentage-
point change
in optimism
between April
1–9 surveys
and April 20–
28 surveys
Europe APAC
1% -9% 4% 7% 0% 0% 12% 3% 2% 8% -10% -5%
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/28/2020, (US n = 607), (France n = 219), (Spain n = 215), (Italy n = 407), (UK n = 218), (Germany n = 414), (China n = 443),
(South Korea n = 200), (Japan n = 202), (India n = 411), (Brazil n = 419)

3. McKinsey & Company 3
US overall budget continues to decline but less so than global
averages; near-term spend reductions decelerate
48 51
27 25
25 24
April 1 April 27
Company’s budget (changes already made)2 Expected in the next two weeks3
US
Global4
55 54
26 24
19 21
April 9 April 28
Spend shifts as a result of COVID-19
% of spend changes
46 39
26 33
28 27
April 1 April 27
50 42
28 32
22 27
April 9 April 28
1“About the same” refers to ±3% change in budget.
2Q: How has the coronavirus (COVID-19) situation affected your company’s budget for the following areas? Percentages may not add to 100 due to rounding.
3Q: How do you think spending on the following may change in the next two weeks? Percentages may not add to 100 due to rounding.
4Includes survey respondents from (France n = 200), (Spain n = 200), (Italy n = 400), (UK n = 199), (Germany n = 400), (China n = 400), (South Korea n = 201), (Japan n = 200), (India n = 400), (US n = 619), (Brazil n = 400).
IncreasedAbout the same1Reduced
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/1/2020 (n = 622); McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

4. McKinsey & Company 4
Respondents report downward budget shifts across all categories,
with banking and insurance least affected to date
58
46
39
56
54
54
55
54
55
54
54
49
44
18
30
33
22
22
25
25
16
21
21
27
26
37
24
24
28
22
24
21
21
30
23
25
19
25
19
Software and telecom
Finished goods
Banking and insurance
Packaging
Distribution and transportation
Commodity inputs
Specialty inputs
Energy
Processing supplies
Vehicles
IT hardware
Capital equipment
Real estate
Reduced IncreasedAbout the same3
Budget changes due to COVID-19 (changes already made)1
% of respondents
Net
intent2
Services
Inputs
Capex
-11%
-22%
-34%
-33%
-30%
-32%
-34%
-24%
-32%
-29%
-34%
-24%
-25%
1Q: How has the coronavirus (COVID-19) situation affected your company’s budget for the following areas? Figures may not sum to 100% because of rounding.
2Net intent is calculated by subtracting the % of respondents stating they expect to decrease spending from the % of respondents stating they expect to increase spending.
3“About the same” refers to ±3% change in budget.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

5. McKinsey & Company 5
The consumer/retail industry is experiencing the most significant
decline in budget across categories
Budget net intent1 per category for each industry2
Overall industry net intent
% where budget is about the same3
Advanced
industries
Technology,
media, and
telecom
Global energy
and materials
Pharma and
medical
products
Travel,
transportation,
and logistics
Global finance,
banking, and
insurance Consumer/Retail
Services
Inputs
Capex
Net intent: % of budget decreases subtracted from the % of budget increases
Below -50 -50 to -25 -25 to 0 0 to 25 25 to 50 50+
Specialty inputs
Energy
Processing supplies
Packaging
Commodity inputs
Finished goods
Software and telecom
Banking and insurance
Distribution and transportation
Capital equipment
IT hardware
Vehicles
Real estate
25 20 25 28 27 30 23
1Budget net intent is described as the % of budget decreases subtracted from the % of budget increases.
2Q: How has the coronavirus (COVID-19) situation affected your company’s budget for the following areas?
3“About the same” budget changes are those that are +/- 3%.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

6. McKinsey & Company 6
In the next two weeks, pockets of near-term spend increases are
likely to emerge across industries
Net intent: % of budget decreases subtracted from the % of budget increases
Below -50 -50 to -25 -25 to 0 0 to 25 25 to 50 50+
Next two-week spending net intent1 per category for each industry2
Overall industry net intent
% where budget is about the same3
Advanced
industries
Technology,
media, and
telecom
Global energy
and materials
Pharma and
medical
products
Travel,
transportation,
and logistics
Global finance,
banking, and
insurance Consumer/Retail
Services
Inputs
Capex
Specialty inputs
Energy
Processing supplies
Packaging
Commodity inputs
Finished goods
Software and telecom
Banking and insurance
Distribution and transportation
Capital equipment
IT hardware
Vehicles
Real estate
35 31 27 37 38 32 39
1Net intent is described as the % of spending decreases subtracted from the % of spending increases.
2Q: How do you think spending on the following may change in the next two weeks?
3“About the same” spending changes are those that are +/- 3%.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

7. McKinsey & Company 7
Advanced
industries
Technology,
media, telecom
Global energy
and materials
Pharma and
medical products
Global finance,
banking, and insurance
Travel,
transportation,
and logistics
Consumer/Retail
All industries are shifting capacity down in light of tempered
demand; advanced industries and travel seeing sharpest declines
Flat
-10%
Demand
for
products/
services
Operational capacity (eg, production)3 Flat-10%
Impact of COVID-19 on demand and capacity1,2
% change due to COVID-193
1Q: How has the coronavirus (COVID-19) situation affected your company’s production (operation) capacity? Percentages may not add to 100 due to rounding.
2Q: How has the coronavirus (COVID-19) situation affected demand for your company’s products/services? Percentages may not add to 100 due to rounding.
3Weighted average uses following midpoints: “increased/reduced 25+%” is +/- 30%, “increased/reduced 11–25%” is +/- 18%, “increased/reduced 4–10%” is +/- 7%, “About the same (+/- 3%)” is 0%.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

8. McKinsey & Company 8
Companies are reducing marketing spend in all regions; nearly
60 percent of US B2B companies have reduced their marketing
62 63 58 56
68 71
62
69 65 71
58 57
18 19
21 23
18 14
19 8
26 20
16 20
20 18 21 21
14 15 19 24
8 10
26 23
SpainAll
countries
Germany ChinaFrance USItaly UK India S. KoreaJapan Brazil
Europe APAC
Marketing spend change1
% of responses
1Q: How has the coronavirus (COVID-19) situation affected your company’s marketing spend across all channels? Percentages may not add to 100 due to rounding.
2“About the same” refers to ±3% change in budget.
IncreasedAbout the same2Reduced
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/28/2020, (US n = 607), (France n = 219), (Spain n = 215), (Italy n = 407), (UK n = 218), (Germany n = 414), (China n = 443),
(South Korea n = 200), (Japan n = 202), (India n = 411), (Brazil n = 419)

9. McKinsey & Company 9
The importance of digital sales has doubled over that of traditional
sales interactions since the onset of COVID-19
Importance of digital vs traditional to
B2B buyers themselves1,2
Points allocated out of 100
1Q: Prior to COVID-19, how important were each of these methods in delivering an overall outstanding sales experience? Please distribute 100 points across these two items, giving more points to the method that you believe is more important to
you personally when interacting with your suppliers.
2Q: Now, thinking about the next two weeks given the environment with COVID-19, how important are each of these methods in delivering an overall outstanding sales experience? Please distribute 100 points across these two items, giving more
points to the method that you believe is more important to you personally when interacting with your suppliers.
3Q: Prior to COVID-19, how important was each method in delivering an overall outstanding sales experience? Distribute 100 points across these items, giving more points to the method that you believe is more important to your customers.
4Q: Now, thinking about the next two weeks given the environment with COVID-19, how important are each of these methods in delivering an overall outstanding sales experience? Please distribute 100 points across these two items, giving more
points to the method that you believe is more important to your customers.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/1/2020 (n = 622); McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)
Importance of digital vs traditional to
B2B company customers3,4
Points allocated out of 100
47
65
53
35
April 27Before COVID-19
+40%
51
67
49
33
Before COVID-19 April 1
+30%
Traditional Digital

10. McKinsey & Company 10
29
21
19
10 9
16 17
8
29
21
15
18
22
18
36
12
24 23 22
17 16
30
19
14
19
17
15
12
10
23
19
14
Email from
sales rep
Supplier
website
Google/web
search
Post on
social
media/online
Customer
referral
Online
material
from
supplier
Text from
sales rep
Live chatInfo on
mobile
app
Referral
from
someone
in my
industry
Industry
publication
Print
material
from
supplier
Trade
show
Call from
sales rep
Meeting
sales rep
in person
Direct
mail from
sales rep
93% 14% 70%-18% 8% 14% 78% 85% 28% -47% 13%-34% -19% 1% -35% -57%
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/1/2020 (n = 622); McKinsey Global Omnichannel B2B Sales Survey, 2019 (n = 605)
1Q: What ways of interacting with a supplier would be most beneficial to you when researching/considering suppliers going forward? Rank up to 3 that would be most beneficial. A free-response option was given, but <1% of respondents filled it out.
Live chat is now seen as the most beneficial channel for researching
suppliers; social media, text, and mobile are also gaining
% YoY changeX% 2019 2020Most beneficial supplier interactions for researching/considering suppliers1
% of respondents ranking in top 3
Digital
Self-serve Directed Self-serve Directed
Traditional

11. McKinsey & Company 11
1Q: Which of the following methods do you/would you most prefer to use when submitting your order? Please rank up to 3 that would be most beneficial. Results for top 1 responses are consistent with top 3. A free-response option was given, but
<1% of respondents filled it out.
2Question was not asked in 2019.
53
11
50
46
53
39
47
53
37 39
31
39
33
30
27
Using a
mobile app
Ordering
from sales
rep in person
Using call
center/customer
service
Using a supplier’s
website
Using my
company’s
e-procurement
portal
Using my
company’s
procurement
department
Emailing sales rep Calling sales rep
0% N/A254% -17%-39% -38% -24% -42%
Digital self-serve for order submission is now preferred
significantly more; mobile app ordering has risen 250 percent
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/1/2020 (n = 622), McKinsey Global Omnichannel B2B Sales Survey, 2019 (n = 605)
Self-serve Sales rep involvementInternal processes
Most preferred method for ordering1
% of respondents ranking in top 3
N/A2
% YoY changeX% 2019 2020

12. McKinsey & Company 12
The majority of companies that serve other businesses have shifted
their go-to-market model in response to the COVID-19 crisis
57
50
63
47
2
20
39
73
50
2
In-person/field sales team (eg, meeting with
customers face to face)
Inside sales team (eg, interacting with
customers on the phone)
Online/web support (eg, chatting with customers
via video/website/mobile app to support purchase)
E-commerce (eg, products/services sold directly
online with no sales rep involved)
Other
During COVID-19Before COVID-19
Go-to-market sales model during COVID-191,2
% of respondents
1Q: In what ways was your company’s product or service sold before COVID-19?
2Q: Now today, in what ways is your company’s product or service sold during COVID-19?
3Q: Which of the following statements best describe the changes your company has made to its commercial and go-to-market model during COVID-19? Figures may not sum to 100% because of rounding.
96%3
shifted their GTM
model during
COVID-19
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

13. McKinsey & Company 13
E-commerce revenue is up nearly 30 percent since the onset
of COVID-19
Percent of company revenue driven by e-commerce before and during
COVID-19 (among companies that sell online)1,2
Average % of total revenue
1Q: Approximately what percentage of your company’s revenue before COVID-19 was driven by…Figures may not sum to 100% because of rounding.
2Q: Approximately what percentage of your company’s revenue during COVID-19 is now driven by…Figures may not sum to 100% because of rounding.
40
52
Before COVID-19 During COVID-19
+29%
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

14. McKinsey & Company 14
E-commerce share of overall B2B company revenue is up in all
countries, most notably in Brazil and Italy
Percent of company revenue driven by e-commerce before and
during COVID-19 (among companies that sell online)1,2
Average % of total revenue
45
56
51
47 46 47
44 42
47
61
42 40
56
65
56
64
51
57
52
47
53
68
62
52
All
countries
IndiaFrance JapanUKGermany SpainItaly China S. Korea Brazil US
1Q: Approximately what percentage of your company’s revenue before COVID-19 was driven by…Figures may not sum to 100% because of rounding.
2Q: Approximately what percentage of your company’s revenue during COVID-19 is now driven by…Figures may not sum to 100% because of rounding.
Before COVID-19
During COVID-19
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/28/2020, (US n = 607), (France n = 219), (Spain n = 215), (Italy n = 407), (UK n = 218), (Germany n = 414), (China n = 443),
(South Korea n = 200), (Japan n = 202), (India n = 411), (Brazil n = 419)
Europe APAC
23% 16% 11% 21%36% 20% 12%13% 11% 46% 29%12%
X% % change

15. McKinsey & Company 15
13
18
29
34
7
April 1
As effective as before
Much less effective
Somewhat less effective
Much more effective
Somewhat more effective
100
1Q: How effective is your company’s new sales model at reaching and serving customers? Figures may not sum to 100% because of rounding.
65% of B2B decision makers believe the new sales model is as effective
or more than prior to COVID-19 (up from 60% in early April)
Effectiveness of new sales model in reaching and serving customers1
% of respondents
11
23
31
28
7
April 27
100
60%
as effective or more
compared to prior to
COVID-19
65%
as effective or more
compared to prior to
COVID-19
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/1/2020 (n = 622); McKinsey COVID-19 US B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

16. McKinsey & Company 16
Companies are likely to keep their new sales model for more than
12 months after the onset of the COVID-19 crisis
32
47
17
4
NA, made no go-to-market
changes
Unlikely to sustain 12 months after
Very likely to sustain 12+ months after
Somewhat likely to sustain 12 months after
79%
“very likely” and “somewhat
likely” to sustain these shifts
12+ months after COVID-19
Staying power of new sales models1
% of respondents
1Q: Which of the following statements best describe the changes your company has made to its commercial and go-to-market model during COVID-19? Figures may not sum to 100% because of rounding.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

17. McKinsey & Company 17
More than 80 percent of B2B companies have adjusted incentives
in response to the effects of COVID-19
30
26
19
17
11
More fixed incentives
Lower quotas
Short-term bonuses/incentives
More variable incentives
Higher quotas 20
No change
Sales team incentive structure changes in response to COVID-191
% of respondents
1Q: To what extent has your company made changes to the incentive structure of your sales team in light of COVID-19? Figures may not sum to 100% because of rounding.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)

18. McKinsey & Company 18
22
20
16
15
10
10
7
Global energy and materials
Advanced industries
Technology, media, and telecom
Global finance, banking, and insurance
Consumer/Retail
Travel, transportation, and logistics
Pharma and medical products
10
20
20
19
20
11
$1B to < $10B
$1M to < $25M
$25M to < $100M
$100M to < $500M
$500M to < $1B
10B+
1
5
16
21
35
9
6
7
100–499
50–99
<50
500–999
1,000–9,999
50,000–99,999
100,000+
10,000–49,999
30
26
15
7
6
5
4
3
3
Purchasing
IT/computer services
Sales
Top management
Operations
Engineering
R&D/Innovation/Product design
Shipping/logistics
Marketing
1Percentages may not sum to 100 because of rounding.
Survey respondents by no. of employees of company
% of respondents1
Survey respondents by role in company
% of respondents1
Survey respondents by industry
% of respondents1
Survey respondents by annual revenue of company
% of respondents1
Pulse #1 closed on April 1, 2020 Pulse #2 closed on April 27, 2020
B2B Pulse Decision-Maker Pulse #2: Respondent Overview
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/27/2020 (n = 607)