Research from the Commonwealth Bank has revealed that the majority of Australian small businesses prefer to postpone adopting new technology into their day-to-day operations because the benefits are not immediately realised.
Eighty per cent of small businesses delay the adoption of technology offering long-term benefits, despite 58 per cent claiming to have a good personal knowledge and understanding of technology. The research found almost half are reluctant to adopt new digital technology due to a lack of understanding of how it works and the potential benefits. While 55 per cent have access to customer information that can feed into digital technology, the research also found 62 per cent of small businesses are unsure about how data can enhance their business performance.
“With more than half of small businesses having ready access to customer data, it is imperative small business owners understand how data analytics can help them make better informed decisions,” Commonwealth Bank General Manager Small Business Karen Last said.
“A significant number of small businesses are reluctant to implement data analytics due to cost, or they believe it has limited value, or belongs in the ‘too-hard’ basket. These are all preconceptions, which must be addressed so the benefits for small businesses can be realised.”
The research also found that cashflow remains a major issue for small business owners, with half of the respondents opting to not pay themselves a wage one or more times in the past year, as a result of cashflow issues. Additionally, 44 per cent of small business owners think they do not spend enough time on personal wellbeing and development.