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Small Business Internet Use Keeps Expanding
By Michael Pastore
The percentage of small businesses accessing the Internet
surpassed 52 percent in 1999, and that number will climb
to more than 70 percent by 2003, according to research by
International Data Corp. (IDC).
Once confined by geographical constraints, IDC's 1999 US
Small Business Survey found that small businesses are now
leveraging the Internet to expand beyond local boundaries.
A number of small businesses are also recognizing the benefit
of promoting themselves via the Web. In 1999, 2.1 million
US small businesses had a home page or a Web site. That
number will increase 30 percent to 2.7 million in 2000.
"Although more small businesses are experimenting
with Web promotion of their products and services, the market
is far from saturated, and there is still plenty of room
to grow," said Raymond Boggs, IDC's VP of Small Business
Research. "Almost 13 percent of US small businesses
have yet to invest in a PC, never mind add Internet capability."
IDC's report found that e-commerce presents the most significant
growth opportunity for a wide range of US small businesses.
The number of these companies selling goods and services
online will grow from 850,000 at the end of 1999 to 2.9
million in 2003.
"The Internet has tremendous reach, and small businesses
are beginning to realize the potential of this channel,"
Boggs said. "By 2003, nearly half of online small businesses
will be selling over the Internet."
Other findings from IDC's report include:
The growth in the number of new small businesses online
is evident across all company size categories. Even the
smallest of firms are stepping up to the Internet opportunity
The majority of small businesses still access the Internet
through a single PC shared by all users. This sets the stage
for local area network growth, especially as small firms
seek the benefits of high-speed broadband Internet access
Small businesses that use the Internet tend to be more advanced
users of computer technology in general. The technology
"heat seekers" are paving the way, as they advance
through an ever-growing number of available Internet services.
Web use in the United States. Government Census Report on
web usage a little dated at sept 2001 but the demographics
are interesting.
Download
census report |
