SMEs missing out on benefits of internet
A large proportion of New Zealand small businesses still have no internet presence despite the proven value of going online.
Data from MYOB suggests 49 per cent of small of small ventures in this country are still operating the old-fashioned way.
In 2014, 59 per cent were not online and in 2013 it was 66 per cent.
It’s a common problem all over the world.
The benefits of having even a simple website speak for themselves.
MYOB’s Business Monitor survey of 1000 small businesses shows almost 60 per cent of small businesses that are online experience an increase in customer inquiries.
More than 50 per cent say customers found it easier to do business with them and 31 per cent saw revenue increase as a result of being online.
Steve Adams is the chief executive of digital marketing agency Socialize and started a free service called About Us to help Kiwi businesses get online.
He says evidence suggests having a decent website and using social media can help increase turnover by about 20 to 25 per cent.
‘‘Whatever town you’re in now, your audience is the world. It’s not just the people walking past the front door.’’
The most common complaint Adams hears from business owners is that they do not have the time to manage an online presence.
But there is a cost in not being present because customers or clients could be posting online about a business and the owner could have no idea.
‘‘Once they realise that, they go, ‘this is something I have to make time for because people could be complaining about my business online or they could be praising my business’.’’
For owner of home-based education service Childsplay Linda Watt, the incentive to create an online presence was to provide a platform so that her 17 educators could access information easier and faster.
‘‘Whatever town you’re in now, your audience is the world. It’s not just the people walking past the front door.’’ Steve Adams, chief executive of Socialize
She says it is ‘‘pivotal’’ that the educators are up-to-date and can access the latest resources.
Watt started Childsplay in June last year when she took over a home-based education service that was established in 2009.
The business always had a website, but when Watt took over, she made a point of updating it so it was both current and mobile-friendly.
Since then, she has received a few more overseas inquiries from people looking to move to New Zealand.
‘‘In the last couple of months we’ve had about three or four, which is more than we’ve ever had,’’ Watts says.
Being in education, it was imperative for Watt to keep up with the times for the students’ sake as well as for the business.
MYOB New Zealand general manager James Scollay says having a website is a start, but only the beginning.
‘‘Business owners need to be aware of the opportunities out there.
‘‘Thinking about digital marketing, social media and search engine optimisation is important if you want to connect to the largest number of potential customers.
‘‘Small businesses should also look at the productivity and revenue gains that can come from moving more of their operations into the cloud. Accounting, payroll, business and customer relationship management, banking, sales and distribution processes can now all take place online; saving time, money and effort.’’