Citibank Survey Finds Small Businesses Not
Leveraging Online Tools to Drive Their Business
37 Percent Not Using Web site to Expand Business; 84 Percent Not Selling Products, Services Online; 62
Percent Not Using Email for Marketing
63 Percent Say Word of Mouth Most Effective Way to Market their Business and Find New Customers, Yet
81 Percent Don’t Use Social Media
April 21, 2010 08:03 AM Eastern Daylight Time
NEW YORK--(EON: Enhanced Online News)--Despite the ubiquitous and relentless buzz around social media,
most small businesses today aren't leveraging the basic online tools readily available to them to help grow their
businesses, according to the latest small business survey by Citibank.
According to the survey of 552 small business executives across the United States, in the last year 37 percent of
small businesses have not used a Web site for marketing or expanding their business and 84 percent have not used
ecommerce to sell their products or services. Additionally, 62 percent aren’t using basic email for marketing their
business. Yet among those businesses that do have a Web site, 74 percent say their site has been effective at
generating more business.
“Many small businesses today have yet to really harness the marketing and communication power that online tools
can provide them,” said Raj Seshadri, the head of Small Business Banking at Citibank. “Our survey reveals a huge
opportunity for many businesses to begin using some of the basic online tools, such as email marketing, to drive their
When it comes to more advanced methods of online marketing, and increasing reach and influence, the survey’s
findings were similar: Sixty-five percent of small businesses are not placing online ads to expand their business and
67 percent have not used search engine optimization.
The survey also uncovered a disconnect regarding the importance placed on word-of-mouth marketing by small
businesses. Sixty-three percent of respondents say word-of-mouth marketing is the most effecti