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2 in 3 small business owners say technology is important to success of their businesses

Latest Wells Fargo/Gallup Survey - Small Business Owners Routinely Use Internet for Professional Networking and Business Purposes

SAN FRANCISCO, April 10, 2007 -- The latest survey results from the Wells Fargo/Gallup Small Business Index reveals that two- thirds of all small business owners use the Internet several times a week for business purposes, making it a vital tool for the success of small business owners. As part of the survey, small business owners were also asked how their businesses would be impacted if they were faced with a loss of the Internet. Thirty-five percent said it would have a major impact on their business, including 18 percent who said it would put them out of business.

Larger-sized small businesses (with revenues of two million or more) report more frequent use of the Internet for business purposes than smaller- sized businesses. Nearly 90 percent of larger-sized business owners say they use the Internet three or more times a week, with most (86 percent) using the Internet daily. Comparatively, 67 percent of smaller-sized business owners use the Internet three or more times a week, including 57 percent who claim daily Internet use.

Small business owners use the Internet for various business purposes ranging from obtaining information to managing their business and personal finances. Seventy-five percent of small business owners regularly gather information as well as business and industry advice online. Other primary uses include online banking (58 percent), social networking to make professional contacts (50 percent), advertising and marketing (45 percent), and payroll management (22 percent).

"The Internet provides an immediate and accessible set of information, resources and services for small business owners," said Rebecca Macieira- Kaufmann, executive vice president and head of Wells Fargo's small business segment. "In the financial services industry, technological innovations are making it possible for small business owners to more easily manage their finances and obtain timely information online."

Small business owners continue to increase their online presence by operating company web sites. Forty-four percent report having their own web sites, which are used for a variety of business functions ranging from advertising to payment transactions. The top three uses of company web sites include advertising company products and services (81 percent), soliciting customer feedback or queries (69 percent), and communicating with customers, suppliers and employees (68 percent). A smaller percentage of small business owners use their company web sites to take reservations or orders (34 percent) and accept payment (20 percent) for products and services.

"Technology advances help our company give superior service by maintaining a positive work and life balance," said Fiona McDougall, a principal of OneWorld Communications in San Francisco. "Better technologies help us to have adequate 'think-time' to be highly strategic and creative in our work, while accelerating the speed and reach of our outputs for our clients in today's marketplace."

When asked what new technologies they are currently using or plan to purchase for their company in 2007, surveyed small business owners pointed to Wi-Fi technologies (34%), global positioning systems (25%) and hand-held scanners for inventory control (20%).

About the Small Business Index

Since the third quarter of 2003, the quarterly Wells Fargo/Gallup Small Business Index has surveyed small business owners on their perceptions of current conditions and future expectations relating to financial situation, revenues, cash flow, capital spending, number of jobs and credit availability. An Index score of zero reflects that an equal number of small business owners are optimistic and pessimistic about their companies' situation. Results are based on telephone interviews with approximately 600 small business owners nationwide conducted February 2, 2007 through February 19, 2007. The margin of sampling error is + 4 percentage points.

About Wells Fargo

Wells Fargo & Company is a diversified financial services company with $482 billion in assets, providing banking, insurance, investments, mortgage and consumer finance through more than 6,000 stores and the internet (wellsfargo.com) across North America and internationally. Wells Fargo Bank, N.A. is the only bank in the U.S., and one of only two banks worldwide, to have the highest credit rating from both Moody's Investors Service, "Aaa," and Standard & Poor's Ratings Services, "AAA."

Providing financial products and services to more than one million businesses with annual sales up to $20 million in all 50 states, Puerto Rico and Canada, Wells Fargo is America's #1 lender to small businesses in total dollar volume according to the most recent CRA data (2005).

The second largest national SBA lender in dollars, Wells Fargo is an SBA Preferred Lender in 28 states and the District of Columbia, and originated 4,937 loans for $578 million in 2006. Its diverse business services programs provide outreach and education to women, African American, Latino, and Asian business owners about financial services. Since 1995, Wells Fargo has loaned more than $30 billion to women and diverse business owners. For more information, please visit http://www.wellsfargo.com/biz.

About the Gallup Organization

For more than 60 years, the Gallup Organization has been a recognized leader in the measurement and analysis of people's attitudes, opinions and behavior. While best known for the Gallup Poll, founded in 1935, Gallup's current activities consist largely of providing marketing and management research, advisory services and education to the world's largest corporations and institutions.



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