Small Businesses Slow to Build Web Presence

Although consumers are turning to search engines and online directories at an increasing rate to find local businesses, small business owners have been slow to build their Web presence, according to research from WebVisible and Nielsen, and reported on by Marketing Charts.

According to Marketing Charts, the survey findings indicate that 82 percent of consumers and small business owners use search engines, such as Google and Yahoo, to find information on local businesses, while 49 percent access online directory services, such as YellowPages.com. In contrast, 57 percent of respondents say they use printed Yellow Pages directories and 32 percent use printed White Pages directories.

Moreover, 50 percent of those surveyed say search engines are the first place they look to find local business services compared to 24 percent who choose printed Yellow Pages directories.

Small businesses that do not operate a Web site or advertise online are likely losing potential customers to competitors who have invested in Internet marketing. Just 44 percent of small businesses currently operate a Web site, Marketing Charts reported.

The survey also suggests that the majority of small businesses that do have some online presence are not satisfied with their efforts. According to Marketing Charts, the research indicates that 51 percent of small businesses rate both the quality of their Web sites and their ability to acquire new customers as “fair” or “poor.”

Just 9 percent of small businesses with a Web site are satisfied with their online marketing. That could be due to the level of investment and quality of design or ad placement. Among those businesses that have a Web site, 78 percent earmark 10 percent or less of their budget on marketing. Half of those businesses dedicate less than 10 percent of their marketing to online advertising, and 30 percent say they do no Internet advertising at all, Marketing Charts reported.

Source:

Marketing Charts: ‘Great Divide’ Separates Small Biz, Online Consumers

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