The spirit of European small businesses
This report is the definitive story of how a ‘Digital Safety Net’ helped European small businesses during COVID-19. The research describes how and to what extent affordable and accessible digital tools have enabled many small businesses to survive and recover from the economic impact of COVID-19 – in some cases, becoming stronger and more agile in the process. We also found that more digitally-driven businesses projected better financial outcomes for this year compared to less digital peers.
This research sought to understand shifts in perception and use of digital tools among European SMEs as a result of COVID–19. The research objectives included:
- Gauging the impact of COVID–19 on small businesses across industries, geographies, and vulnerable communities.
- Understanding the role of digital tools in helping small businesses run and grow their businesses.
- Uncovering shifts in the role of digital tools as a result of COVID–19.
- Identifying current and anticipated pain points and unmet needs around digital tools.
- Exploring attitudes and perceptions about the future and the role digital tools might play in a new normal.
The results presented here are based on a quantitative research survey of 5,011 small and medium-sized enterprise (SME) leaders in 28 European countries across a variety of business sizes and industries conducted from Nov 16–Dec 21, 2020. It is important to note that in order to be included in the study, SMEs had to be in business at the time of the research (i.e., operational); thus, businesses that closed during the pandemic were not included in our work.
SMEs are defined as businesses of 0–249 employees. Of the 5,011 SMEs surveyed, 2,207 (44%) were Micro SMEs with 0-9 employees, 1,542 (31%) were Small SMEs with 10-49 employees, and 1,262 (26%) were Medium SMEs with 50-249 employees.
The survey was conducted by LRWGreenberg, a Material+ Company. Data were weighted by vertical, market, and business size for an accurate representation of SMEs as distributed by the number of people they employ.
The work presented in this report is a continuation of a large-scale global study of SMEs and their use of digital tools during the COVID-19 pandemic sponsored by the Connected Commerce Council (3C) and Google. In 2020, they published the Digitally Empowered and Digitally Driven reports with comparable results from the United States. At the time of publication, a 2021 survey of U.S. small businesses is underway
Who was Involved
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