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- 47 per cent do not have their own website and 34 per cent do not use social media
- 72 per cent of businesses report saving time from being online and 51 per cent save costs
- No time to set up and a lack of skilled staff are main barriers for businesses getting online
Around a third (34 per cent) of the North East’s small businesses lack the Basic Digital Skills that could help them improve productivity and save costs according to the Lloyds Bank Business Digital Index 2017.
Digital Skills.”
Lloyds Banking Group, working with Government’s digital skills partnership, has pledged to provide face-to-face digital skills training (including online banking) for 2.5 million individuals, small businesses and charities by 2020.
For more information about the Lloyds Bank Business Digital Index and to download a full copy of the report, please visit www.lloydsbank.com/businessdigitalindex
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The Index is the largest study of its kind into the digital capabilities of small businesses and charities. The report has found that across the UK, the most digitally capable organisations are twice as likely to report an increase in turnover compared to non-digital equivalents and are also more productive. In the North East, 72 per cent of businesses reported saving time from being online and 51 per cent said they saved on costs.
Almost a third (30 per cent) of small businesses in the region say trading overseas is one of the key benefits of being online. However despite the advantages of embracing digital, almost half (47 per cent) of North East businesses do not have their own website and around a third (34 per cent) do not use social media.
Barriers holding North East firms back from doing more online include a lack of staff with digital skills (30 per cent) and a third (33 per cent) said they had no time to set up and go online. More than a third (37 per cent) of businesses in the region feel they have the skills to prevent online fraud and scams, but concerningly 63 per cent said they weren’t investing anything in digital skills. More than a quarter of North East firms (28 per cent) also don’t see being online as relevant to their business.
Whilst the gap between the digital capability of businesses has widened, there are reasons to be optimistic with 670,000 organisations across the UK on the cusp of having Basic Digital Skills.
The Basic Digital Skills measure was introduced in 2016 and designed to gauge an organisation’s digital capability. For businesses to have full Basic Digital Skills, they need to demonstrate at least one task in each of the following skills, managing information, transacting, communicating online and using digital to problem solve and create content like adverts and promotional material for their business.
Nick Williams, Lloyds Banking Group Ambassador for the North, said: “We know that digital skills can give small businesses a shortcut to success, increasing sales, improving productivity and opening up international markets.
“We want to support those small businesses in the North East that have not got full digital skills. As part of our Helping Britain Prosper Plan, we’re providing regular Digital Garages across the region to give small businesses access to free, expert advice. We also have more than 2,800 specially trained colleagues locally, our Digital Champions, who are mentoring small businesses to help increase Basic Digital Skills.”
Lloyds Banking Group, working with Government’s digital skills partnership, has pledged to provide face-to-face digital skills training (including online banking) for 2.5 million individuals, small businesses and charities by 2020.
For more information about the Lloyds Bank Business Digital Index and to download a full copy of the report, please visit www.lloydsbank.com/businessdigitalindex
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