Business

Survey shows SMEs welcome the sharing economy

SME's are increasingly grateful for the part the sharing economy is playing in their businesses, according to the latest MYOB Business Moniter.

The Monitor is a bi-annual national survey of over 1000 small business owners and it has looked into the impact of this growing part of industry.

It found that the franchise sector was the most positive about the sharing economy, with 71 per cent of franchisors and 41 per cent of franchisees reporting a positive impact to their business.

Nearly a fifth (18 per cent) of small to medium businesses said the sharing economy was having a positive impact on their business, with only 7 per cent reporting a negative impact.

"This is an area of genuine growth and innovation in Australia - these new approaches are clearly creating their own markets," said Simon Raik-Allen, Chief Technical Advisor.

"SMEs are starting to embrace the sharing economy with almost one in three (31 per cent) saying they had used the services of an Uber driver, rented an AirBNB property or similar.

"We're starting to see a real buzz among our customers around outsourcing as well, so I'd be expecting growth in the virtual assistant and social and website management areas as operators increase their online operations."

The report also found that two thirds of SME operators are using online banking, with finance and insurance (76 per cent) construction and trades and manufacturing and wholesale (both 70 per cent) and retail and hospitality (69 per cent) taking up at least one of the host of options available to them.

The digital generation divide
SME owners are generally comfortable with the rate of technology change, with three in five operators saying the pace of technology innovation was 'about right'.

Digital use amongst small business owners is up, with some 48 per cent of respondents reporting having a website, up from 43 per cent in the previous Business Monitor. 

However, there is a strong divide between generations, with Gen Y (75 per cent) and Gen X (66 per cent) the most likely to have an online presence in sharp contrast to operators aged over 70 with just 29 per cent.

"We are seeing something of a generational divide here with traditionalists aged over 70 (51 per cent) and Baby Boomers (23 per cent) more likely to state the pace of technology was too fast, compared with 13 per cent of Gen Y and 14 per cent of Gen X respondents," Mr Raik-Allen said.

"If as a business operator you are in any doubt about what a website can do for your business, operators nominated the top benefits as:

  • Generated more customer enquiries or leads in general (46%)
  • Enabled business to have more professional brand image (44%)
  • Made it easier for customers to do business (40%)

"We know that people are increasingly starting their purchase journey with an online search, or discussing options in social media," Mr Raik-Allen said.

"We also saw an increase in operators with a social site increase to 43 per cent from 40 per cent in the previous Monitor.

"Operators with social media sites named more interaction with customers as the top result of that presence, followed by more customer enquiries and leads and increased appeal to younger customers. These are key insights for businesses looking for growth."

Retail and hospitality lead the way with digital
Retail and hospitality businesses are leading the way when it comes to online and digital operations, the report found. Retailers and hospitality operators are most likely to accept instant payments such as EFTPOS, ApplePay, PayPal or a mobile app with 44 per cent taking payments in this way (as opposed to 28 per cent overall).

"We know that late payments and cash flow are an ongoing concern for SMEs so it's great to see businesses discovering the immediate benefits of digital payments, which deliver funds quickly and securely. Offering these options allows customers to increase their spend at the point of sale and, when shopping online or with a mobile device, turn browsing into an immediate sale," Mr Raik-Allen said.

Retail and hospitality businesses were also the most likely to be using online accounting and bookkeeping solutions, with four in ten operating in this way. Some 32 per cent overall have adopted this method, with manufacturing and wholesale (38 per cent) and construction and trades (35 per cent) also taking their accounting to the cloud.

Topics:  myob myob business monitor research sme survey


Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

The future's bright for British whites

Cattle thrive in Australian conditions

Russian troupe announces two ballet shows

 BLACK SWAN: The Russian National Ballet Theatre's production of Swan Lake was performed in Lismore last year.

The Russian National Ballet Theatre

Airdre's mall diaries 2: But do we really need elbow holders?

Dr Airdre Grant

Funny what you come home with when you go out to buy perfume

Local Partners

Housewives’ shocking public fight gets physical

THE Real Housewives of Sydney air their dirty laundry at an art gallery opening this week, screaming vile insults as members of the public look on.

Married At First Sight's shock vow renewal decisions

Nadia’s final decision at the vow renewal ceremony leaves us stunned.

NADIA and Susan's decisions stun viewers.

Family Feud host Grant Denyer in hospital after rally crash

He’s OK. Grant Denyer has survived a serious car crash near Melbourne. Picture: Zak Simmonds

Grant Denyer airlifted to hospital after horror crash

Would you like 90 weeks of paid parental leave?

“It’s changed the culture,” say the Latte Papas of Sweden’s generous parental leave provisions.

Why not move to Sweden: the world’s best place to be a dad

Only one woman nominated for the Gold Logie

Love Child and The Wrong Girl star Jessica Marais is nominated for a Gold Logie this year.

Jessica Marais is about to star in a new Logies controversy

Our Caitlyn a No.1 hit at CMC Music Awards

RISING STAR: Caitlyn Shadbolt at the CMC Music Awards on the Gold Coast.

Caitlyn Shadbolt enjoys one of the most exciting weeks of her career

Steve ventures into the wild unknown on epic mission

Steve Backshall pictured along the Baliem River in a scene from Extreme River Challenge.

Wildlife presenter Steve Backshall tackles wild river challenge.

Couple ditch Springfield for $350 million rural lifestyle

Sales consultant Rachel Hargreaves (left) of Oliver Hume Waterlea at Wallon with new land owner Rebecca Mallett.

“To purchase a block the same size would be double the price here"

It's official: Byron Bay unaffordable

MILLIONAIRES ROW: The Housing Commission house in Keats St, Byron Bay which sold at auction on Saturday for $1.65 million.

Buying a home in Bay Bay is a dream too far for some

Coast home luring interstate buyers sold

PRIZED POSITION: Blue clip location, peaceful surroundings, spacious living with swimming pool, tennis court on 4562sq
m

The property was described as a 'Queenslander with Hamptons style'

Stylish Coast home lures buyers from four states

PRIZED POSITION: The six-bedroom house with swimming pool and floodlit tennis court is on 4562sq
m.

Expansive property boasts serious space

$1.8m of red soil goes under the hammer in Bundaberg

SOLD: The property at Howletts Rd, Alloway, which went under the hammer on the weekend for $1.8 million.

Red soil, fruit trees and a backing onto the Elliott River

Ready to SELL your property?

Post Your Ad Here!