CFOtech UK - Technology news for CFOs & financial decision-makers
Story image

British consumers highly value small businesses but lack full awareness

Today

A new report from marketing platform Constant Contact indicates that British consumers are among the most aware and supportive of small businesses worldwide.

According to findings from Constant Contact's latest Small Business Now report, nearly 80% of UK consumers feel that their lives are positively impacted by small businesses, highlighting the considerable personal and community influence attributed to these enterprises.

The research, which reflects insights from more than 8,000 consumers globally, shows that over a third of British consumers stated they would be "devastated" if their favourite small business were to close. This emotional connection underscores the strong relationship between consumers and local enterprises within the UK.

Erika Robinson, UK General Manager of Constant Contact, said: "SMEs represent over 99 per cent of the business population in the UK, and they play a vital role in boosting the British economy. It's heartening to see that British consumers have such a passion for supporting small businesses."

The report reveals that despite high levels of support and emotional attachment, there remains a notable gap in consumer awareness regarding the prevalence of small and medium-sized enterprises (SMEs) in the UK. While most people surveyed reported feeling emotionally connected to the small businesses in their communities, the study found that only about one fifth of UK respondents correctly recognised that SMEs make up the vast majority of the country's businesses.

According to Constant Contact, this misunderstanding may contribute to the underappreciation of the contribution SMEs make to the national economy and society as a whole.

Robinson added: "For me, these numbers reinforce the urgent need for greater awareness of the true scale of the SME landscape in the UK. While small business owners know the value of customer connections, it's crucial that consumers overcome any blind spot for SMEs and celebrate all they add to our lives."

"Constant Contact is proud to help small businesses strengthen those relationships, amplify their presence and continue making a lasting impact in their communities."

The Small Business Now report examined global trends over the United States, Australia, New Zealand, Canada, and the United Kingdom, exploring consumer perceptions, attitudes, and behaviour towards small businesses.

The study documented that 82% of global consumers agree small businesses positively affect their lives, with 83% saying they would feel upset if their preferred businesses had to cease operating. 40% indicated they would be "devastated" under such circumstances.

The research found that 40% of global consumers visit their favourite small business at least once a week. The most popular types of small businesses worldwide are food and beverage outlets such as restaurants and bakeries, followed by grocery stores, retail and specialist shops, locally-owned franchises, and personal care or wellness businesses.

Across all regions surveyed, respondents indicated that their main reasons for supporting small businesses include the quality of products and services, personalised customer support, and the positive local impact these businesses have on their communities. Consumers also reported that supporting small businesses made them feel connected, helpful, and proud.

The study highlighted an awareness gap present not only in the UK but globally.

Only 19% of Americans, 16% of Canadians, 11% of those from Australia and New Zealand, and 20% of Brits surveyed correctly identified the proportion of small businesses operating within their respective countries.

The findings from the Small Business Now report arrive as Constant Contact, alongside Enterprise Nation and Channel 4, launches an initiative offering UK small businesses the opportunity to win GBP £300,000 worth of television advertising.

The methodology for the report involved surveying over 8,000 consumers aged 18 and above across Australia, Canada, the United Kingdom, and the United States. The results were aggregated to determine global trends, and all statistics were reported as representative of their respective populations. The survey was conducted by Ascend2 Research in March 2025.

Follow us on:
Follow us on LinkedIn Follow us on X
Share on:
Share on LinkedIn Share on X