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Survey: Few small businesses linked to social networks

By Beth Fitzgerald
10/12/2009
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A new survey of American small businesses found very few using social media outlets, such as Facebook and Twitter, for business uses, while 61 percent said they use search engines like Google and Yahoo.

Among the survey findings:

– Three-quarters said they have not found sites such as Facebook, Twitter and LinkedIn helpful for generating business leads or expanding business in the past year.

– 86 percent said they have not used social networking sites for information or business advice.

– 25 percent said they’re using more online advertising to generate business leads and sales.

– 10 percent said they have sought business advice and information on expert blogs.

The telephone survey by Citibank/GfK Roper of 500 U.S. businesses with fewer than 100 employees was conducted Aug. 20 to 27.

“Our survey suggests that small-business owners are still feeling their way into social media, particularly when it comes to using these tools to grow their businesses,” said Maria Veltre, executive vice president of Citi’s Small Business Segment. “While social media can provide additional channels to network and help grow a business, many small businesses may not have the manpower or the time required to take advantage of them.”

Forty-two percent of small-business owners and managers reported that in the past year, they have made greater use of their company’s Web site to generate business leads and sales. Among companies with 20 to 99 employees, the percentage rises, with 57 percent saying they have made greater use of their own sites. Survey respondents also are using e-mail marketing (28 percent) and online advertising (25 percent) to generate business leads and sales.

E-mail Beth Fitzgerald at bfitzgerald@njbiz.com

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