Xigem Technologies Comments on Acceleration of Remote Economy
August 19, 2021
TORONTO, August 19, 2021 – Xigem Technologies Corporation (“Xigem” or the “Company”) (CSE:XIGM; OTCQB:XIGMF; FSE:2C1), a technology provider for the emerging remote economy, today commented on the further transformation of the digitally-driven remote economy that has been accelerated by the world’s response to the COVID-19 pandemic. Xigem offers a software-as-a-service (SaaS) platform designed to improve productivity and overall results for organizations operating in the remote economy.
“Behaviours have changed across all segments of society as a result of the pandemic, and those businesses who are adapting, are those businesses that are reaping the rewards from the opportunities created by our rapidly transforming global economy,” said Brian Kalish, co-founder and CEO of Xigem.
To survive the global COVID-19 pandemic, organizations around the world developed new ways of interacting with customers, employees, patients, students and suppliers. The solutions typically included digital technologies that enable tasks to be completed remotely. In many cases, the impact of the digital transformation is expected to continue even as governments work on easing pandemic restrictions. Several notable examples follow:
- Remote work. It is estimated that 20% of all labour in the United States may be satisfied by remote workers, up from 5% pre-COVID. Where remote work is feasible, the typical business plan calls for employees to spend two days of each work week at home. 1
- E-commerce. Overall online penetration remains approximately 35% above pre-COVID-19 levels. In the grocery sector, online penetration tripled during the pandemic levels to 9-to-12%, representing an acceleration of three to five years compared to prior expectations. 2
- B2B sales. A recent survey found that 92% of B2B buyers prefer virtual sales interactions, up 17 percentage points from 2020, and 79% of sellers realize its effectiveness compared to 54% last year. Suppliers recognize that virtual selling can lead to more frequent communication with customers, cost-effective interactions, and the ability to interact with more prospects. 3
- Payments. The pandemic represented an inflection point in the adoption of digital payment technologies, with 78% of global consumers adjusting the way they pay for items. The digital payments market is forecast to grow at a compound annual growth rate of 13.7% between 2021 and 2026, driven by greater convenience, favourable government policies and evolving consumer behaviour, as well as COVID-19 disruption. 4
- Travel and hospitality. After falling by two-thirds in 2020, business travel may only recover to 80% of pre-pandemic levels by 2024. Hotels and airlines will need to re-evaluate their pricing, marketing, networks, digital strategies, and investment plans in order to compete. 5
- Telehealth. In a recent survey, 40% of U.S. consumers said they expect to continue to use telehealth services going forward, compared to 11% of consumers who used telehealth prior to COVID-19. McKinsey estimates that up to $250 billion of current U.S. healthcare spend could be virtualized, compared to $3 billion of total annual revenues of U.S. telehealth players prior to the pandemic. 6
McKinsey estimates that the pandemic resulted in companies speeding up their overall adoption of digital technologies by three-to-seven years in a span of months. Business practices that were considered “best-in-class speed” just three years ago is now slower than average.7 According to BCG, businesses that merely digitize existing processes will not generate lasting advantage. It is essential for leaders to understand the bigger picture of how technology can create dynamic advantage, such as improving organizational learning, adaptation, and collaboration.8
1 National Bureau of Economic Research, Work from Home Likely to Remain Elevated Post Pandemic, June
2 McKinsey & Company, US consumer sentiment and behaviors during the coronavirus crisis, August 11, 2021, and Making online grocery a winning proposition, July 2, 2021
3 Bain & Company, Virtual Selling Has Become Simply Selling, April 2, 2021
4 Financier Worldwide, Cashless society: the future of digital payments, May 2021
5 McKinsey & Company, Trends that will define 2021 and beyond: Six months on, July 21, 2021
6 McKinsey & Company, Telehealth: A quarter-trillion-dollar post-COVID-19 reality?, July 9, 2021, and The future of healthcare: Value creation through next-generation business models, January 4, 2021
7 McKinsey & Company, The new digital edge: Rethinking strategy for the postpandemic era, May 26, 2021
8 Boston Consulting Group, Winning the ’20s in an Accelerated Post-COVID World, April 30, 2021
About Xigem Technologies Corporation
Established in Toronto, Ontario, Xigem is positioned to become a leading software-as-a-service technology platform for the emerging near trillion-dollar remote economy, with software capable of improving the capacity, productivity, and overall remote operations for businesses, consumers and other organizations. iAgent, the Company’s patented technology, will provide organizations, businesses and consumers with the tools necessary to thrive in a vast array of remote working, learning and treatment environments.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This news release may contain certain “forward-looking information” and “forward-looking statements” within the meaning of applicable securities legislation. All information contained herein that is not historical in nature may constitute forward-looking information. Xigem undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of Xigem, its securities, or financial or operating results (as applicable). Although Xigem believes that the expectations reflected in forward-looking statements in this news release are reasonable, such forward-looking statement has been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond Xigem’s control. The forward-looking information contained in this news release is expressly qualified by this cautionary statement and is made as of the date hereof. Xigem disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Xigem Technologies Corporation
On behalf of the Company:
Brian Kalish, Chief Executive Officer