Small and medium-sized businesses (SMBs) are the cornerstone of every community. With an estimated 400 million SMBs operating worldwide, they account for 99% of global organizations. SMBs are the main source of job creation, making up between 60%-85% of employment. And according to the International Labor Organization, by some estimates, SMBs contribute up to 70% of GDP.
With that kind of scale and impact, SMBs need the ability to innovate to be successful and thrive in a digitally enabled economy.
During the pandemic, we saw that businesses able to accelerate their digital transformation fared better than those that did not. Many reported growth through their focus on tech intensity.
Under such unprecedented circumstances, Microsoft was curious to learn how SMBs view the current realities of their businesses, to understand their goals and priorities, and to assess whether technology is seen as a catalyst to future success.
Analysys Mason was commissioned to conduct research with over 3,000 SMBs from 10 different areas of the world, representing the global footprint of SMBs.
Today, we are releasing our findings with the Microsoft SMB Voice and Attitudes to Technology Study 2022.
Top insights
Digital technology adoption contributes to faster growth
The study confirms that nearly 70% of businesses consider growth as their primary driver, and technology “early adopters” saw faster and higher growth. Businesses identified as early adopters are twice as likely to have achieved their past business objectives plus higher revenue growth over the past year and are also four times more likely to be highly confident in their future business success. Today, businesses are focusing on sustaining growth despite geopolitical uncertainty, high inflation and energy prices. For 51% of businesses, the ongoing impact of COVID-19 remains a concern.
Security and reliability form the foundation
More than two-thirds of SMBs plan to increase their IT budgets in the next year, prioritizing investments in the following ways:
Eighty percent of businesses expect to have a hybrid workforce for at least the next two years and require the technology to support their business goals in a reliable and secure way.
Partners help drive strategy and SMB growth
While the majority of SMBs recognize the importance of technology in reaching business goals, 16% see it as essential. However, many SMBs need partners to map the right technology to their business strategy. Almost half choose technology partners, with 33% favoring Managed Service Providers or Cloud Solution Providers whom they expect to proactively recommend technology solutions to accelerate companies’ business goals.