NORTHFIELD, ILL. Small businesses in the construction and contracting industry lag behind all other industries in embracing the Internet, according to the latest Small Business Research Board study.
The study, co-sponsored by Business Today Magazine, disclosed that 57% of the small construction and contracting firms participating in the study do not have Websites. Furthermore, the poll also indicated that the construction and contracting industry will continue to trail other industries with fewer than 14% projecting sales resulting from their e-commerce efforts will increase during the next 12 to 24 months.
As a contrast, of the small businesses involved in manufacturing, fewer than 33% did not have a Website. With 67% of the manufacturing companies having Websites, manufacturers led all segments.
Of the construction and contracting firms participating in the poll, 34.2% did say they had at least one Website with the remaining 8.8% of the respondents having between two and 10 websites. Nationally, 42.7% of the respondents said they did not have a Website while 47.3% said they had one Website. Another 9.1% said they had between two and 10 Websites and 0.9% said they had more than 10 Websites.
Additionally, 56.1% of the small businesses with Websites said they sell products and services on a company-owned site. Half of the construction and contracting firms with Websites said they sell products or services on their sites.
The study showed that 93.6% of the construction and contracting firms believe revenue generated from their Internet sites will increase or remain the same during the next 12 to 24 months. Of that total, 13.9% believe the revenue will increase.
Owners and managers of more than 550 small businesses representing numerous industries responded to the nationwide SBRB/Business Today study.
Overall, the study also found that:
* Of construction and contracting businesses with Websites, 46.8% said they have one site and 8.6% have more than two sites.
* Among only those construction and contracting businesses with Websites, 50% said none of their products or services can be purchased on their Websites while 32.3% said up to 25% of their products or services could be purchased on line.
* Again, relating to construction and contracting companies with Internet sites, 29.4% said they generated up to 25% of their company's revenue from e-commerce in 2006, another 8.8% generated from 26% to 99% of their revenue from Internet sales and 5.9% generated 100% of their revenue exclusively from the net.
The Small Business Research Board ascertains and reports the opinions of small business owners and managers on a wide variety of topics related to their own businesses as well as national and international issues that may impact their operations. The SBRB conducts these studies for the benefit of small business owners and managers. The SBRB also provides opportunities for third parties to gain real time insight into the attitudes of small businesses nationwide through the independently conducted research.
The latest information about the Small Business Research Board can be found at www.biznus.net.