Ten lessons for SMEs from Australia’s web usage boom

Small businesses can no longer ignore the signs pushing them towards operating online, with new figures from the Australian Media and Communications Authority showing even the most infrequent surfers are spending at least one hour a day, every day on the internet.

The figures underline calls that businesses must start operating in multiple channels, including on mobiles, as customers begin to access the internet from home, work and while on the move.

ACMA chairman Chris Chapman says the figures in the new “Australia in the Digital Economy” report show that not only are Australians accessing the internet more frequently, but they are also changing what they do while online.

“To the majority of Australians the internet is not just an entertainment tool but increasingly an essential part of their everyday lives, providing access to critical information and services,” he said in a statement.

The ACMA figures show a wide range of trends emerging in the online space, some of which include:

• The proportion of population with a broadband connection increased to 66%.
• The proportion of users who spent no time online dropped from 33% in 2005 to 22%.
• Facebook dominates the online world, taking up 81% of the time spent on social networking sites and 82% of web pages viewed.
• About 19% of mobile phone internet users used their connection for banking, and 7% used their phones for eCommerce.

The figures also show that SMEs are catching up, with 64% using 3G mobile phones and 94% connected to the internet.

But many businesses are still drastically underestimating the power of online, with only 61% of SMEs estimated to have a website – the most basic of online services experts say you should be offering.

With so much still to learn for businesses about operating online, here are 10 of the top lessons to learn from ACMA’s new report.

More users are big users

The figures show the amount of people classified as “heavy” users has doubled from 14% in 2005 to 28% in 2010. This means 28% of users over 14 are spending more than 15 hours a week, or over three hours a day, online.

While the time has come and gone for businesses to realise they should at least be operating a website, this trend shows that not only do people want to buy online, they also want to communicate with their businesses online.

SMEs should consider setting up daily or weekly email updates for customers to keep them in touch. They should also provide features like email customer support, and even the addition of a “live chat” feature if possible. Hard-core users now expect that when they email you or contact you online through another channel, you will respond immediately. Be on top of your game.

Users are online every day

Even the lightest users are now using the internet for at least one hour a day. The ACMA figures show 23% of users above 14 years of age are now spending seven hours a week online, or about an hour a day.

This means users are often visiting the same sites every day, and as a result, you need to be updating it to show customers you are on top of your website and are connected in the online world.

Even if it’s something as small as changing the date at the top of website, uploading press releases or posting a new blog post every few days, users want constant updates and if they don’t get them they will view you as out-dated and boring.

Social networks are king

It’s no surprise the ACMA figures show 8.7 million Australians visited social networking sites, including Facebook, during the month of June alone.

SMEs must be on social networks – there is simply no way of ignoring this now. If you don’t have a Facebook or Twitter profile, then you are losing out on building a community of users and fans who can spread the word about your brand through their own personal network of friends online.

This trend also ties back into the advice about daily usage. If you have a Facebook or Twitter profile, it’s much easier to provide daily updates from one of those networks and your “friends” are more likely to see the updates.

Data downloads are increasing

The volume of information and content accessed by Australians through the internet grew from 99,249 terabytes in the 2009 June quarter to 155,503 terabytes in the 2010 June quarter, mainly due to faster speeds becoming cheaper and more accessible.

Businesses shouldn’t be afraid to share high-bandwidth content on their sites like videos and even sizeable downloads if appropriate. Tech retailer Kogan releases all of its product manuals online for users to download, so users won’t lose them.

Customers aren’t afraid of downloading large files anymore, so if you have something to offer, stick it up on your website.

Target the young

At June 2010, approximately 77% of the population 14 years and over were connected to the internet at home. The figures also show that among 14-17 year olds, the number of teenagers who identified themselves as “heavy users” increased by 64%.

This means businesses should be targeting a wide range of demographics, including younger shoppers who frequent sites like Facebook and MySpace, and other youth-oriented sites. Consider looking into advertising on social networks as a result.

Mobile internet is on the rise

The internet is going wireless. Nearly 2.4 million people accessed the internet via their mobile during June 2010, up from 1.6 million in 2009.

Businesses must have a mobile solution now – it simply isn’t an option to ignore this trend any longer. SMEs should at least explore how they can develop a mobile site, or how they can make their sites load better on different handsets. If users aren’t able to access your site quickly and easily, and if they can’t buy something on there, they’ll simply go somewhere else.

Mobile marketing moves us

The growth of mobile internet usage also shows businesses need to start making sure their stores are accessible from a location-marketing perspective. As more customers search on mobiles for stores near them, they will naturally be attracted to those companies showing up on services like Google Maps.

Update your Google Profile so you show up in every search possible. Even local businesses which may have previously thought the internet was irrelevant to them need to rethink their strategy, with the research showing that 40% of active users are searching through Google Maps.

Multi-channel strategy essential

Chapman points out millions of users are accessing sites like YouTube and Facebook every day. If you thought just having a website and even a Facebook profile was enough, think again. SMEs now need to spread their brand over all types of networks, including putting videos on YouTube.

While many businesses may think they have nothing to offer a video-networking site, they should remember the internet rewards creativity. Last year, blender manufacturer BlendTec started producing a series of videos called “Will It Blend”, which gained notoriety when the company tore apart an iPad in a blender.

The company now has millions of hits and has gained thousands of dollars in advertising. Think up new ways to share interesting content and your customers will reward you.

Offer something of value

Chapman points out internet users are now logging on for a variety of reasons. “To the majority of Australians the internet is not just an entertainment tool but increasingly an essential part of their everyday lives”.

This means when users go online, they want sites to offer them something new and interesting. For businesses, this means updating your site with some features that will keep users coming back.

For instance, if you run a mortgage brokerage you may want to put up some sort of mortgage calculator on your site, or a retail store could offer a widget that provides recommendations for products based on previous purchases. Give your customers something extra and they will return.

Never stop, your SEO improvements

It’s no surprise that Google has been pinned as one of the most popular sites, with the ACMA report stating that 86% of Australian internet users use Google search, while a further 40% use Google Maps.

This means you should be working on optimising your site for Google and making sure you rank on the first page for a number of different keywords. Google is constantly changing the way people search, and with so many people relying on the internet giant for finding the most relevant results for them, SMEs ignoring SEO are only digging themselves a grave.