The State of Small Business in Barbados

National Survey of the Small Business Sector (Barbados)

5.2 Digital Presence and Customer-Facing Platforms

Figure 5.2: Customer-Facing Digital Platforms Used

When asked about digital platforms, the findings show a strong reliance on social media as the dominant form of online presence. More than three quarters of businesses report using social media pages such as Facebook or Instagram (78.7%), making this by far the most common customer-facing digital channel.

None of the above

16.5%

Other (e.g. WhatsApp)

3.7%

Mobile App

5.4%

Online marketplace

5.1%

Business website

21.6%

Social media pages

78.7%

0%

20% 40% 60% 80%

Percentage of Businesses (%)

Internally, MSMEs are most likely to adopt transactional and administrative technologies rather than advanced management systems. The most widely used tools are accounting or bookkeeping software (39.4%), followed by scheduling or 5.3 Internal Digital Tools and Systems

Table 5.1: Internal Digital Tools Used by MSMEs Tool % of Businesses

Accounting/bookkeeping software

39.43

Scheduling and booking apps (e.g., used to set up appointments/reservations)

29.43

POS systems

26 14

Inventory management systems

Payroll systems CRM software

13.14

8.86

Other types (Qualitative)

5.14%

None of the above 24.86 booking applications (29.4%),applications (29.4%), point-of-sale (POS) systems (26.0%), and inventory management systems (14%). The main barriers to deeper digital adoption are financial and capacity-related. The most frequently cited barrier is cost of digital tools or systems (33.8%), followed closely by lack of digital skills within the business (29.2%). 5.4 Barriers to Digital Adoption and Expansion

Table 5.2: Barriers to Digital Adoption

Barrier

% of Businesses

Cost of digital tools/systems

33.82 33.82 29.19 28.32 27.46 13.87 14.45

Lack of time to implement changes

Lack of digital skills

Poor/unreliable internet

Data privacy/security concerns Resistance to change among staff

Uncertainty about ROI

29

Small Business Association of Barbados