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Business Purchasing Survey Shows 93% of Small Businesses Value Internet for
Research Over Online Purchasing
Despite Attention to Dollars Transacted Online, “Clicks-to-Bricks” E-Commerce
Proves to be the Dominant Method of Purchasing Among Small Businesses
WATERTOWN, Mass. – (May 17, 2005) – BuyerZone, the
leading online marketplace for business purchasing, announced today the results of its
2005 Business Purchasing Survey, a survey of small U.S.-based companies to identify key
trends in the use of the Internet for business purchasing.
Results from the survey indicate that 93% of businesses find the Internet more valuable
for researching products and services, finding vendors, or comparing prices than for
actually making purchases online. Only 7% of businesses feel that the ability to buy
online is the most important purchasing-related use of the Internet for high-end products
and services such as computer equipment and software, telecom equipment and services,
and office equipment.
Saving time and money on business purchases is a major benefit of the Internet according
to survey participants. 81% receive more competitive price quotes and 75% save time making
buying decisions by using the Internet as part of their purchasing process.
Most current definitions of e-commerce pertain to online transactions of goods and
services, but direct feedback from business buyers who participated in BuyerZone’s
survey clearly shows that business-to-business e-commerce includes much more than just
the exchange of dollars.
“This study shows that while actual online purchases may be alive and well for
consumers, most businesses take a ‘clicks-to-bricks’ approach to e-commerce,” said
Sam Zales, President and CEO of BuyerZone. “This is not surprising given the
fact that most business purchases simply cannot be added to a shopping cart. E-commerce
models that reflect this reality are well-positioned to address the commercial market.”
Highlights of BuyerZone’s 2005 Business Purchasing Survey include:
- Nearly all companies use the Internet for purchasing-related activity
- 98% of companies plan to use the Internet for purchasing-related activity in 2005
- 29% plan to use the Internet for more than half of their purchases
- 77% plan to increase their use of the Internet to support purchase decisions in
2005 vs. 2004
- Overall, research is the primary use of the Internet for purchasing among
businesses
- 93% indicate that researching products and services, identifying vendors, or comparing
prices are the most important uses of the Internet
- Only 7% indicate that buying online is the most important use of the Internet
- 88% agree or strongly agree that they are more informed before speaking to vendors
because of the Internet
- 97% of surveyed companies use the Internet to research or identify vendors
- Three most popular purchase categories: Computer Equipment & Software (83%),
Office Equipment (76%), and Telecom Equipment & Services (60%)
- Most companies (89%) do buy online but purchases are concentrated to a few
types:
- Three most popular purchase categories: Business Travel (64%), Office Supplies
(56%), and Computer Equipment & Software (55%)
- Three least popular purchase categories: Facilities Management (8%), HR/Benefits
(9%), and Financing Activities (15%)
For complete results of BuyerZone’s 2005 Business Purchasing Survey, including
respondent demographics, visit: www.buyerzone.com/2005survey
About BuyerZone
Since 1992, BuyerZone has helped millions of
businesses save time and money on their most essential business purchases. With more
than $2 billion in business purchasing transactions facilitated through BuyerZone
since 2003, BuyerZone’s service attracts active
buyers seeking purchasing guidance across more than 100 business product and service
categories. BuyerZone’s free Request for Quotes service uses a dynamic matching
process to connect each buyer with the most appropriate providers within a comprehensive
network of over 2,500 top local and national suppliers.
BuyerZone has been named to Deloitte's "Technology Fast 50" program for New
England for three consecutive years. BuyerZone is a profitable, privately held, venture-backed
company whose investors include Bessemer Venture Partners, Commonwealth Capital Ventures,
Flagship Ventures, BancBoston Ventures, and Women’s Capital Growth Fund. Supplier
Partners include First Data Corporation, Intuit, Lanier, Mitsubishi, Nortel, Pitney Bowes,
Sharp and Toshiba.
For more information, please visit BuyerZone's web site at http://www.buyerzone.com.
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Press Contacts:
Scott Healy
BuyerZone
617-715-1674
shealy@buyerzone.com
Larry Bouchie
KMC Partners
617-758-4192
larry@kmcpartners.com
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