Published on the 14/04/2011 | Written by Newsdesk
A new survey shows that the internet is now permeating every aspect of New Zealand business – from where farmers buy supplies to how retailers reach customers…
The MYOB Business Monitor Internet survey of more than 1000 local businesses across the country, examined the wide-ranging ways New Zealand businesses now use the Internet to do everything from paying bills to making phone calls.
MYOB general manager Julian Smith says the survey has highlighted the significant role the internet plays in many aspects of business, while emphasising a number of areas where Kiwi businesses have more opportunity to engage in the online economy.
“Kiwi businesses’ use of the internet is surprisingly mixed,” says Julian Smith.
“While only 30% of businesses have a website, 77% use internet banking and 25% use Skype or VOIP to make free phone calls – a relatively new technology,” he says.
“So while the convenience of key services is really driving businesses online, many are still not taking the opportunity to market their own products and services through the internet – despite the fact that 50% of Kiwi businesses believe they would sell more and get more work if they used the internet more effectively for marketing.”
Despite few rural businesses operating their own websites, many have embraced the convenience of the internet to overcome the barriers of distance, with 50% buying goods and services online, compared to only 38% of city/metro businesses, and 38% using the internet to pay their bills (compared to 32%, city/metro).
“Where the internet has clearly transformed business in New Zealand, though, is where they choose to advertise,” says Julian Smith.
“While traditional media like industry magazines, letterbox drops, direct mail and, in particular, newspapers are still part of the marketing mix, it’s clear that the internet is now the dominant choice for local businesses looking to promote their goods and services, with 66% believing it is a critical marketing channel.”
A quarter of business (25%) advertise online, while 20% choose newspaper advertising and 19% promote their business through internet search engines like Google. At the other end of the spectrum, just 3% of local businesses advertise on television, the same number as use door-to-door sales.