New research by NBN Co has found digitisation is a key driver for small business success. A recent survey suggests a behavioural shift to shopping online is driving a small business boom.

The Behavioural Change Survey of over 1000 Australians revealed almost half (49 per cent) of respondents had increased their online shopping during the pandemic shutdown period and 70 per cent are consciously supporting local businesses online.

Paul Tyler, Chief Customer Officer Business at NBN Co said businesses have faced serious economic threats during the pandemic but the survey shows there is s silver lining.

“The challenges businesses have faced as a result of this crisis are many and significant, however, this research highlights a unique opportunity for local businesses to harness new levels of consumer goodwill and demand online. An online presence can expose businesses to a world market, but the support of local consumers also offers an important opportunity.”

While consumers are keen to support small business 70 per cent of those surveyed said they would like to support more local businesses, but felt they were limited by the limited online presence.

Tyler says the research suggests small businesses can benefit from the switch to online shopping.

“Our research highlights that consumers are shopping more online and consuming from local businesses as a result of their experience with COVID-19 social distancing measures. I hope that this sentiment can become an opportunity for local businesses to adapt and emerge from this time in a position of strength.”

The Australian Small Business and Family Enterprise Ombudsman Kate Carnell says the research is proving once and for all that digitisation is a key driver of success in small businesses.

“COVID-19 has delivered a harsh lesson that small businesses can’t rely on outdated business models and brick-and-mortar stores anymore,” Carnell says.

“Digitisation is now essential for a small business to be truly competitive.

“PwC modelling estimates small businesses could unlock more than $49 billion of private sector output over a decade by adopting better use of mobile and internet technologies. More than half of this benefit could be realised in rural and regional Australia.

“The recent Buy from the Bush campaign is an excellent example – in just four months the 275 regional businesses profiled saw an average revenue increase of 300%. The campaign delivered $5 million to those featured small businesses – all of which had an online presence.

“Equally, new research for the Shop Small campaign, revealed about a third of shoppers surveyed feel comfortable with returning to shops even though COVID restrictions are easing. It’s clear as we enter this new normal and live with this virus, having an online presence is critical for small businesses.

“We’ve found the most common roadblock to digital adoption has been not knowing where to start and fear of technology.

“There are a number of online workshops that offer good tips to small businesses. In particular, my office has supported the free Grow with Google sessions that cover everything from managing your business remotely to helping your business stand out online.

“We are also backing Kochie’s Business Builders’ Small Business First campaign, offering small businesses a free online directory listing, learning hub and community forum as they work to get back on their feet in these challenging times.”