Scots firms switch on new tech

A fifth of Scottish businesses have taken up new digital technologies as a result of the coronavirus crisis.

The pandemic has spurred many smaller firms to sell more online, to introduce new products and services and to use digital technologies to better manage their operations, according to research from the Federation of Small Businesses (FSB).

A survey of almost 800 Scottish businesses found that about one in seven (15 per cent) has either started selling online for the first time or has expanded its online offering.

Meanwhile, one in 20 businesses (5 per cent) say the pandemic period has led to the introduction of new services. About 8 per cent say they have rolled out new products.

The FSB is urging the Scottish Government to launch new initiatives to build vocational digital skills among Scottish entrepreneurs and workers. Its research also makes the case for a new drive to improve Scotland’s broadband and mobile coverage.

Andrew Mcrae, FSB’S Scotland policy chair, said: “Half of Scotland’s smaller firms had to close during this crisis, either because of the government restrictions imposed to tackle the virus or because their customer base completely dried up.

“But of the remainder, we see an impressive level of innovation and drive to keep sales and operations going. We’ve seen everyone from micro-breweries to local shops switch to home deliveries. We’ve seen yoga instructors offering remote classes and officebased firms embrace technology to stay in business.

“With silver linings in short supply during this difficult period, we must help firms build on this digital momentum.”

He added: “Local government and ministers in Edinburgh need to help these smaller businesses re-open safely as soon as possible, providing financial support if necessary.”