Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Manufacturing and retail embrace internet benefits

Manufacturing and retail embrace internet benefits

Growing use of cloud services

The manufacturing and wholesale industry and the retail and hospitality sectors have emerged as clear leaders in online, as more New Zealand businesses begin to embrace the benefits of the internet.

In the latest MYOB Business Monitor Digital Nation Report, 41% of all local SMEs now operate a business website – up from 34% in March 2013. A further 7% operate a social media site as an online presence for their business, while 16% have both a website and a social media site.

MYOB CEO Tim Reed said from Auckland today that it is exciting to see more New Zealand businesses recognise the benefits of the internet.

“More New Zealand businesses are beginning to embrace the opportunities the internet is offering – from access to international markets to increased engagement with their customers,” says Mr Reed. “It’s particularly encouraging to see key sectors like manufacturing and retail leading the way.

These are businesses where the access to international markets and greater depth of customer interaction that the internet provides can make a real difference to the local economy.”

Of the main centres, Auckland has the highest level of online participation at 51%, with Wellington and Christchurch both on 48%. Across the rest of New Zealand, only 45% of businesses are online.

The survey highlighted the significant difference in online participation across industry sectors:

Sector Online presence

(business website

and/or social site)

Manufacturing & Wholesale 80%

Retail & Hospitality 67%

Finance & Insurance 59%

Business, Professional & Property 45%

Transport, Postal & Warehousing 37%

Construction & Trades 33%

Primary 23%

Those SME operators with a website report significant benefits in terms of new business, improved branding and customer engagement:

1. Generating more customer leads and enquiries (55%)

2. Enabling the business to have a more professional brand image (53%)

3. Made it easier for customers to do business (51%)

Interaction with customers (54%) and generating more leads and enquiries (37%) are also an important part of establishing a social media presence. Social media also enables businesses to have increased appeal to younger customers, according to 39% of SME operators.

Growing use of the cloud

In the latest Business Monitor, almost a third of businesses (32%) report that they are using cloud products and services at least some of the time.

Use of internet technology is strongest in Wellington, with 44% using the cloud, followed by Christchurch (37%) and Auckland (34%). Cloud usage drops significantly outside the main centres, to 24% of SME operators. The finance and insurance industry (56%) and business and professional services (39%) are the highest cloud users, while the primary industries (10%) and construction and trades (225) report the lowest use.

Cloud use is also likely to be more widespread, based on the range of services businesses use

regularly:

1. Email - 86%

2. Online banking - 82%

3. Filesharing / Voice over Internet (VoIP) equal at 25% each

5. Buying products and services online - 24%

“As a leading provider of cloud accounting services designed to make business life easier, we are particularly pleased to see local SMEs enjoying more of the benefits of internet technology,” says Mr Reed

Internet access also an issue in some areas

Satisfaction with internet access outweighs dissatisfaction amongst SME operators, with 41% reporting they are happy with their current level of internet access, while 34% are dissatisfied.

In Christchurch, however, where businesses have become increasingly reliant on internet access due to the disruption of the rebuild, dissatisfaction with current access is stronger (44%). Further south, over half (53%) of SME business operators in Otago and Southland are unhappy with their internet connection. 47% of SME operators in rural areas also expressed dissatisfaction with their current internet connection.

Although the Ultra Fast Broadband (UFB) rollout is targeted at improving internet access it looks unlikely to have an immediate impact. Just 14% of local SMEs report they are currently connected to UFB, although 63% of SME operators who do not currently have access to UFB believe it would have a positive impact on their business.

“Building a robust high-speed national broadband network is an important aspect of providing the right infrastructure to support online business,” says Tim Reed.

“However, we also need to ensure businesses are not overburdened by cost, and can both understand and access all the direct benefits to ensure the country can becoming a highly connected, 21st For MYOB product information, research results, business tips, discussions, client service and more visit the MYOB website, or its blog, LinkedIn, Twitter, Facebook, Instagram and YouTube sites.

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>

ALSO:

Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>

ALSO:

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news