Consumers spend more at businesses prioritising these 3 values…SME are lagging

New research from Mastercard reveals customers in 2023 are more likely to spend with businesses that prioritise diversity, sustainability and data security. The research also finds that small businesses are lacking in these areas and customers are noticing.

Key findings from the report on small businesses include:

- Only a third (33%) of small businesses say that they currently have a DE&I strategy in place, compared to two thirds (67%) of medium businesses and three quarters (74%) of large corporations.

- Only 42% of small businesses say that their work premises are completely accessible for workers with a disability, compared to 72% of medium and 62% of large companies.

- Less than one in three (31%) of small companies say that they have made major changes to their work premises in the past 12 months to make it more accessible to people with a disability, compared to 67% of medium and 56% of large businesses.

- Only four in five (80%) small companies believe that increasing diversity and inclusion in the workplace will have positive benefits on their businesses, compared to 98% of medium and 97% of large organisations.

- One in five (19%) small businesses say that they do not even have data retention policies.

Most Australians (75%) agree all Australian businesses should be accessible to people with a physical, mental, sensory or intellectual disability, with more (76%) believing that organisations could do more when it comes to work and career opportunities for people with physical, sensory or intellectual disabilities.

The research revealed a gap when it comes to small businesses’ performance in these areas when compared to other sized businesses.

As it stands, only 42% of small businesses say that their work premises are completely accessible for workers with a disability, compared to 72% of medium and 62% of large companies, indicating there is still significant work to be done to match consumer expectations.

In addition, less than one in three (31%) of small companies say that they have made major changes to their work premises in the past 12 months to make it more accessible to people with a disability, compared to 67% of medium and 56% of large businesses.

Overall, the benefits of diversity and accessibility in an organisation are well recognised, with 92% of business leaders believing that increasing their diversity and inclusion in the workplace will have positive benefits for the whole company, including improving innovation and profitability. However, when breaking this down, only four in five (80%) small companies believe that increasing diversity and inclusion in the workplace will have positive benefits on their businesses, compared to 98% of medium and 97% of large organisations.

“Ensuring an accessible society for everyone is growing in importance as we hear from more diverse voices in our media and at incredible sporting events like the Australian Open. Technology and the digital environments we all interact with now have made the world more accessible than ever, and businesses must make the most of the opportunity. Creating touch-accessible products or sonic-accessible experiences must be on the agenda for 2023 and beyond,” said Richard Wormald, Division President, Australasia, Mastercard.

“The past year has been challenging for businesses, emerging from the pandemic environment to heightened customer expectations and a changing economic environment. There’s been incredible resilience in the landscape, with 85% of business leaders saying they are optimistic about the success of their business in 2023, but the message is clear that 2023 will be a year where businesses are rewarded for prioritising the things that are priceless for their customers and employees,” he added.