Xero have gathered their latest Small Business Insights, and there’s a fascinating finding!
By collecting information, Xero can use their Small Business Insights to discover trends that have never been reported on before.
Their goal is to use these reports to better educate business owners about what works, and what doesn’t in the life of a business.
The latest report they released focused on how much small businesses spend on technology… and we’ll be looking at the results below.
Only 1% Of Businesses Invest In Technology
Xero know that the world hasn’t caught on to new software.
Even though their own software can help boost productivity and give back time to business owners to do what they do best; some just haven’t switched yet.
However, they were very surprised to find in the report that only 1% of businesses invest in new technology.
They knew that this figure would be low, but didn’t expect it to be such a small figure.
That means a whopping 99% of businesses are going through the motions and keeping well away from investing in technology. They aren’t furthering their business, or growing faster because of this.
You’ll See Areas Of Improvement Everywhere
Out of those businesses, 68% of them were growing faster because of this investment in technology.
However, businesses seem to be satisfied in using old software that might well be digital.
This sort of dated software isn’t easy to use, it isn’t easy to train others in. On face value it’s good for the business because it gets the job done, but it’s nowhere near as good as it could be.
A Practical Example At The Barbers
After the report, Xero MD Trent Innes began to spot obvious solutions to these age old systems.
He remembers going into a barbers and noticed that every time the phone rang for a booking, the barber would stop cutting hair, go and take the call, make the booking, and then return to cutting hair.
Every time this happened both jobs were getting done, but there were clear flaws in the process. They lost so much productivity!
Another experience in a different barbers showed that investing in technology can solve a problem like that.
“I went to a barbers recently who were using Xero and Timely (a booking app) – I didn’t know this before I went in as it wasn’t my usual place. You can go online on the Timely app or their website and you can find a time that’s available and hit reserve.”
“The next time you book, they know who you are and it’s all set up. As soon as I’ve used it, they business started to market to me through Instagram today. So that’s a classic sign of a small business using digital tools in their ecosystem to grow.”
Boosting Productivity & Saving Time
The mindset in business seems to be: wait to change until you must.
But this is completely backwards… it means that they are never on the front foot.
These Xero reports aim to encourage you in your decision making: as you introduce systems you will get time back, and they will make your business more productive.
That is where the ability to grow faster comes from. Get more time to do more work, in a better way.
Make The Switch Today
We ourselves work with Xero, and we have loads of clients who use it. We think it’s a great switch for any business.
Get in touch with us if you want to switch, or have a specific problem you want to solve in your business!
Finding the solution can take time, but we have extensive knowledge about Xero and many of the add-ons.
You never know, you might be able to solve your age old problem by investing some money back into technology that will give you time, and make your business more productive.
Get More Business Blogs Like This
Interested In Our Accountancy, Tax, Bookkeeping & Payroll Services?
Get In Touch Below