Six out of Ten Small Businesses Plan to be Exporting by 2016
Small and mid-sized firms forecast 20% growth in international reach and 28% increase in overseas revenues
A report by Citrix and YouGov revealed that over the next two years, there will be a 20% increase in the number of UK small and mid-sized businesses that are exporting (currently 42%), with 28% of companies’ revenue from international sales to increase by 2016.
Furthermore, of the businesses that are currently exporting, 72% emphasised the importance that overseas markets will play in their business’ growth, with 42% stating it was ‘very important’ to their company.
The report, which featured over 2,000 small and medium-sized firms throughout the UK, highlighted the significance technology and global logistics networks played in reducing the barriers to trade. Of the respondents currently selling internationally, 45% conduct international sales through their business’ websites and 14% are currently using online marketplaces.
Although the report highlights the growing significance international activity has for small and mid-sized businesses, it found that some are still reluctant to expand overseas. 19% stated that they did not believe their product/service was relevant to an international market and 15% believe that they have a better chance to grow within the UK.
The survey also found that companies from the technology and marketing sectors were the most confident about the potential to grow overseas.
And at least one in 10 companies are doing business outside the most common markets of Europe and North America. Respondents cited the emergence of international markets such as China, India, Russia, South America and the Pacific Rim as territories they’re doing business in.