.IE Tipping Point Report 2021

Have you noticed an increase in your online sales since the pandemic? % increase in sales of those who said ‘Yes, an increase’ Base: 152, SMEs that sell online Base: 131, SMEs that sell online that noticed an increase in sales 86% 5% 9% 26% 32% 21% 21% The same as before 1-10% 11-24% Yes, an increase No, a decrease More than 51% 25-50% Section 3 The Covid SME The data is clear: SMEs that invest in a website and e-commerce reap the rewards. Those that have put money and time into digital have generally fared better than those that have not. While the pandemic has thrown up all manner of challenges for Ireland’s SMEs, the majority are optimistic about their commercial outlook for 2021. 70% are either quite or very positive; only 5% are explicitly negative. Those with a website are more likely to have a very positive outlook. Encouragingly, the number of SMEs with a website has increased to 75%, up from 66% in 2020. Those businesses say that their website has been important in generating awareness (85%) and generating sales growth (72%). This increase in website usage corresponds with the latest .ie domain registration figures. There were 65,113 new .ie registrations in 2020, the highest figure ever recorded. In further good news, 30% of SMEs now claim to sell their products via an online store, up from 25% in 2020. However, just 17% sell a service online. An increasing proportion of businesses recognise that a digital channel is key to their survival while the pandemic continues. Consumers are spending more online, and SMEs with an online store have benefited. 86% say they have experienced an increase in sales or sales enquiries from their online store since the pandemic began. 55% have invested in their online presence since the start of the pandemic 21% have spent up to €500 19% have spent between €500 and €2,499 Base: 157, SMEs that sell online .IE Tipping Point 2021: Irish e-commerce and digital business in the Covid vaccine era | 7