While it's still true that money makes the world go round -- for small and medium businesses, at any rate -- e-mail and the Web similarly have become critical in propelling
movement forward, according to a new survey from Interland, which provides online services to such companies.
According to the survey, revenue growth, rising inflation, and the importance of technology and strong productivity were uppermost in the minds of small- and medium-sized-
business owners in the spring of 2005. But just as important, communicating by e-mail emerged as being crucial to running their businesses, and two out of three business leaders
believed that the Web influenced overall sales, both offline and online (see charts).
The "Interland Spring 2005 Business Barometer," a nationwide survey of 1,032 business leaders, found that 94% had Internet access, and seven out of 10 cited e-mail as being
"very important" or "critical."
"What is most interesting," says Mike Neumeier, managing partner, Gaughan & Swann, the ad agency that handles Interland, "is how businesses link sales and track them to
their Web sites, even when customers are not buying directly from the Web site. And 44% of those with Web sites say it generated between 1% and 25 % of their 2005 revenues through
offline or online purchases that were influenced by their Web sites."
Almost another 25% said between 26% and 100% of their revenue was attributable to having a Web site. "Web sites are actually a sales and marketing tool," says Neumeier. "Even
if they don't directly sell anything, they contribute to the bottom line."
Another interesting trend was the extent to which, during the last year or so, terrorism has faded as a major concern for small- and medium-sized-business owners. "In the
fall of 2004, we asked questions about politics and the election," Neumeier says, "and security and terrorism ranked as more of an issue then."
Contact: Mike Neumeier, 404.451.7832, [email protected]