Small- and medium-sized businesses (SMEs) in New Zealand have relied on traditional advertising tools to promote their business, from screen print services to the reliable word of mouth strategy.
While SMEs still need to improve their digital advertising efforts to adapt to emerging online technologies, Signs n Stuff noted that traditional and digital efforts should still go hand in hand. The global retail market has become more competitive with these developments, so it’s best for Kiwi businesses to keep up.
Only 56% of SMEs have a dedicated website for their business, while 81% still use e-mail as a point of contact for online clients. This puts them at risk of being left behind, especially since more people are using the Internet to shop for consumer products.
Online marketing strategies remain a foreign concept for most of SMEs, including search engine optimisation. A Dot Kiwi research even showed that half of SMEs in New Zealand only allot less than $1,000 for marketing campaigns. Hence, a company should expect low online traffic since a website is not enough to market your business online.
An assessment of 7,000 SMEs showed that 61% use their website or a third-party e-commerce site for sales, compared to just 30% in 2014. While this represents an improvement, it remains clear that almost 40% of businesses are yet to go online.
If SMEs continue to be complacent, it will be unsurprising when they shut down business by the time Amazon finds its way in the Kiwi market, according to online experts.
New Zealand businesses need to be flexible in adapting to current developments in both traditional and digital technologies. A lack of awareness serves as one factor for missing potential benefits, which is why SMEs should educate themselves on what they could gain from expanding their marketing strategies.