Small Biz Watch: Small biz an underserved market
By James Pethokoukis
Posted 12/8/05
Small-business consultant Anita Campbell of the Small Business Trends website recently released the results of an online survey of vendors to the little guys. (The survey is only available online until December 18.) Here are some of the findings and Campbell's analysis:
- Just 33 percent of vendors pursue home-based businesses or sole proprietors. Analysis: "There may be a missed opportunity here . . . smallest of businesses appear to be underserved."
- More than half of vendors pursue big-ticket sales of over $2,500. Analysis: "This response may indicate an opportunity to carve up existing offerings into smaller [and thus small-priced] components."
- Most vendors—83 percent—find small business customers offline through referrals. Another 52 percent find them through networking events. Analysis: "It pays to develop relationships with small business owners and staff and maintain good relations with existing customers to maximize referrals."
- One-third of sellers say finding enough small business prospects is their top challenge. Analysis: "B-to-B sellers should make sure they can be found readily on the Web. With increasing frequency, customers seek out vendors, rather than the other way around."