Business Surveys

Faster broadband brings £3 billion boost to London SMEs

Highlights of Point-Topic and Adroit Economics survey and data analysis report of business broadband

Point Topic has created an infographic that illustrates the highlights of the GLA’s superfast broadband voucher scheme.
Download it here.

Watch the video of CEO Oliver Johnson discussing the impact of bandwidth on business in 2016 and sharing some of the most interesting findings of the business surveys conducted in partnership with Adroit Economics, The Fifth Sector and Manchester University:

 

Business surveys, data and broadband

Any analyst will tell you one of the primary challenges we all face is lack of usable input.

In this instance for the UK that ranges from the fact that no-one really knows how many ‘business’ lines there are in the UK or indeed what constitutes a ‘business’ or usage classed as ‘business’.  From sole trader to enterprise class broadband there are gaps in market knowledge.

We’ve done some work trying to update our view of what the UK business market is and we’ll be publishing more on that in the coming months.

In one advance however we have been working with Adroit Economics, the Fifth Sector and Manchester University to conduct a series of surveys the most recent being the most complete.  We’ve released some conclusions and headline data but there is plenty more available.

Contact us for an executive summary or the full report is available for £495 (+VAT). Download table of contents here.

 

Broadband and bandwidth – the uplift

According to the data bandwidth is even more important that we’d previously assumed.  Many, tagged optimistic, models from the noughties and earlier this decade were showing return on investment of 10:1 and that’s been part of the assumption set for much of the decision making globally.

The update resulting from the new input to 27/28:1 is significant.  More projects in more places become far more attractive for policy makers and deployers and uplift follows.

The Brexit vote for example may have been different if high(er) speed broadband was available in more places.  We won’t get distracted by consumer issues for the moment though.

There’s lots of breakdowns within the datasets particularly form the London/GLA surveys that will allow upcoming analysis and projections to be refined at sector level and increasingly taking account of regional and even more granular geographic impacts and variances.

 

Broadband business analysis

The analysis of a comprehensive online survey of the Government’s Broadband Connection Voucher Scheme recipients shows that the use of faster broadband by London’s SMEs taking up the voucher scheme will enable them to generate £2bn additional sales within the first two years, 32,000 new jobs and to achieve just under £1bn cost savings, making London’s voucher firms considerably more competitive and profitable.

Benefits to SMEs include cost savings, staff time savings, increased sales, improved staff skills and proficiency, and increased productivity of home and mobile workers. The survey found that:

  • Average cost savings of 4.8% are expected to be gained
  • Average sales (turnover) increases of 10.5% will be enabled
  • Staff time savings of 6.1% should be achieved
  • Home working and mobile working productivity benefits of 11.1% are expected.

You can see more in the press release.

 

Who should know?

Infrastructure, planning, policy, customer acquisition, grant applications and more can all benefit from the inputs this survey and the series can provide.

As noted the executive summary is available and you can also contact us if you’d like more on the full report and associated information available for £495 (+VAT)

In addition drawing on our business broadband survey results, Point Topic’s broadband mapping and data layers to identify key gaps, and on Adroit’s broadband project options appraisal and cost benefit analysis work for the European Commission,  we have a clear set of applications and outcomes that can benefit you:

  1. Understanding the importance of broadband to your SMEs – through including a sample of your SMEs in our national broadband impact survey programme, we can identify the productivity and wider financial benefits of broadband to your SMEs, and the consequent impact of this on the competitiveness and productivity of your local economy.  While London and Manchester have been first on the list we are able already to project national impacts, projections (with in depth by technology forecasts from Point Topic to 2025) and benchmarking comparisons.
  2. Evaluation of existing SME broadband projects in your area/business – by applying the survey results for your area, in the context of the wider national survey results, and using methodologies similar to those we used in our evaluation of GLA’s voucher scheme (see report), we can assess the financial and economic benefits of your project(s) quickly and with greater accuracy than possible before, showing the real bottom line benefits of these projects to SME productivity and growth and the consequent impact on your local economy, and demonstrating the Economic Return on Investment of the project.
  3. Helping you develop the business case for new broadband projects in your area – drawing on the survey results, Point Topic’s broadband mapping expertise and on Adroit’s cost benefit and wider project appraisal expertise, we can provide you with robust techniques, evidence and calculations to help you make compelling business cases for new broadband projects

Useful links

Point Topic has created an infographic that illustrates the highlights of the GLA’s superfast broadband voucher scheme.
Download it here.

Watch the video of CEO Oliver Johnson discussing the impact of bandwidth on business in 2016 and sharing some of the most interesting findings of the business surveys conducted in partnership with Adroit Economics, The Fifth Sector and Manchester University:

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