Alice Mansergh, Director for Small Business at Google.

Cork lagging behind on digital journey

Less than half of Cork’s small and medium sized businesses (SMEs) have their own website compared to almost two-thirds in Dublin, a new report shows.

The research, carried out by Google and Amárach Research, is based on a survey of 1,000 SME leaders throughout Ireland, including 110 based in Cork. It found only 49 per cent of SMEs in Cork have their own dedicated website, versus 62 per cent of SMEs in Dublin.

The report also found that 68 per cent of SMEs in Cork are “less than halfway” in their digital journeys compared to the national average of 62 per cent.

The research proposes a significant investment into digital skills could contribute an extra €9.5 billion to Ireland’s GDP by 2025.

Titled Bridging the Gap - A Report on Digital Capabilities in Irish SMEs, the study, one of the largest surveys of Irish SMEs in recent years, identified four key gaps in digital capabilities:

• Performance - how far businesses are from realising their full potential • Competence - how businesses are struggling to use digital skills • Investment - the role of funding, time and talent in expanding competence • Advisory - the absence of qualified advisors and suppliers to meet digital needs According to the report, most Irish SMEs are currently in the process of adopting, developing and evolving their use of digital technologies - however some are further ahead in the process than others.

The report suggests recruiting people with the necessary digital skillset is also a challenge for Irish SMEs with 41 per cent of respondents agreeing they don’t have a person within the organisation who is tasked with developing digital skills.

Of the 110 Cork SMEs that took part in the report, only 42 per cent use social media and video platforms and just 11 per cent make use of customer insights tools.

Alice Mansergh, Director for Small Business at Google said: “The timing of this report could not be more important. The decisions that business leaders and policy stakeholders make about digital capabilities in the coming months and years will have profound implications for the long-term productivity and profitability of the SME sector, and for sustainable economic growth over the rest of the decade.

“For its part, Google will use these findings to help shape the courses we provide via the Grow with Google initiative, helping to train people in key digital skills that will empower them to embrace new business and commercial opportunities.”

Enterprise Ireland CEO Leo Clancy added: “Small and medium enterprises remain the backbone of the Irish economy. For successful businesses, digitalisation isn’t an option, it is a crucial advantage that allows them to compete and win.The report provides invaluable insight and guidance that will inform debate and enhance decision making as we further invest in digital capabilities across Ireland.”