Kiwi SMEs thriving despite global tech layoffs

A study by online payments provider Pin Payments has revealed that New Zealand SMEs are thriving post-pandemic and have plans to expand, despite concerns over the global economy.

The survey had responses from over 300 participants, who were either business owners or were employed at a management or executive level within an SME.

The results provided a unique snapshot into the current state of play for SMEs in New Zealand in a post-pandemic and globally turbulent time economically.

Interestingly, the survey revealed that New Zealand, when compared with other countries, is a digitally savvy nation with over 80 percent of respondents stating they currently use online payments and over 82 percent reporting the use of digital tools to manage their business.

Furthermore, whilst SMEs around the globe are facing ongoing redundancies due to inflation and rising costs of living, NZ businesses have been largely protected from layoffs, with 75 percent stating they did not have to retrench staff in the last 12 months.

Pin Payments Co-CEO Chris Dahl (pictured) says the survey results reveal how unique New Zealand’s SME market is. “The results are very interesting and truly reveal that the New Zealand small-to-medium business market is different from any other country right now. For starters, SMEs appear to be largely unaffected by the volatility of recent global events and the economic uncertainty of inflation and increased living pressures, all of which affect market confidence,” said Chris.

“Whilst neighbouring countries like Australia have seen mass redundancies, employee dissatisfaction and changes to working-from-home policies, New Zealand businesses have retained staff, emphasised workplace culture and have plans to expand locally or overseas.”

Over 57 percent of businesses surveyed said they had future growth or expansion plans, highlighting that Kiwi SMEs are looking to invest in growth in the coming 12 months.

Likewise, when it comes to company culture, the results have revealed most SMEs still work from home or in a hybrid fashion (60 percent), with workplace flexibility remaining of utmost importance to businesses and their staff.

Furthermore, retention amongst businesses surveyed was high with many employing tactics such as bonuses, increased leave policies, flexible work, training and higher wages to keep staff happy.

“New Zealand is a nation of small and micro businesses, with SMEs totalling 546,000 and making up 99 percent of all businesses, and it’s clear to see how important it is to maintain a positive culture around this industry to New Zealanders,” said Chris.

“These results showcase and celebrate what makes this nation unlike any other in the world, when it comes to operating a small-to-medium sized business and we’re excited to share and showcase these findings.”

To view the survey click here.