Company Formation and SME Sector Overlook Online

The recession has forced the UK’s SME sector to re-evaluate the way in which they are marketing and communicating their business proposition, for some this has meant embracing the ‘Voucher Code’ revolution, for others it has meant embracing the opportunity offered by e-commerce.

However, a recent report, conducted by online marketing consultant DG Consultancy, found that while the number of small businesses and recently formed companies advertising online has increased over the past year, the sector is nowhere near close to exploiting the many opportunities online offers.

The survey found that of the five hundred companies asked, over fifty per cent said that that they had no online marketing strategy while thirty per cent said that they thought online advertising was a waste of money .

Peter Grant, CEO of ‘DG Consultancy’, comments; “While I appreciate that during a recession marketing is usually the first thing to be cut, I think it is vital that the SME sector begins to embrace online advertising more. Especially, in the light of a recent report, conducted by the IAB which found that over thirty per cent of consumers would not buy from a company which didn’t have a website.”