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Almost 80 per cent of small businesses to continue with e-commerce, Amazon finds

Amazon Launchpad research has found 78 per cent of small business owners will continue to use e-commerce and digital tools in the year ahead.

The 2021 Amazon Launchpad Innovation Report, commissioned by Amazon Australia, says more than a third of small to medium businesses’ (SMB) customers are more open to buying online now than 12 months ago.

Chadd Ciccarelli, Head of Launchpad at Amazon Australia, says e-commerce and digital tools have allowed people to run their businesses from anywhere.

“Lockdown restrictions have fast tracked the digitalisation of Australian businesses,” he says.

With four in ten having seen an increase in online enquiries over the past 12 months, 42 per cent of businesses are focusing this year on growing their digital presence, 39 per cent are taking their business into new markets and 33 per cent are revising product offerings.

Coming out of the uncertainty of 2020, almost a third of SMB’s said they invested in product or business innovation to reach new customers, and 82 per cent say they will continue to lean into innovation to grow over the next year.

As well as innovation, SMB’s say they will need access to new customers, support with marketing, advertising and social media activity, financial support and help with future growth and planning to succeed going forward.

Digital solutions will also be a big area for growth, with 81 per cent of SMB’s saying they will use digital tools to network over the next 12 months, and 69 per cent will use online channels to seek investment in their business.

Amazon Launchpad – Amazon.com.au’s program to help Aussie startups and entrepreneurs bring innovative products to shoppers – has also opened applications for their 2021 Innovation Grants Initiative.

The grant will select five Australian entrepreneurs to receive grant packages worth more than $100,000 to grow their businesses through e-commerce.

Correction: A previous version of this article reported the grant packages as “worth more than $200,000” rather than the correct figure of $100,000. The article has been updated to reflect the correct figure. 

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