Small biz owners continue optimism despite challenges

Posted on June 23, 2021 in internet marketing, Internet Marketing Company, Local Internet Marketing, Marketing, Mobile SEO, Online Marketing, Search Engine Optimization, SEO, Social Media Management, Social Media Marketing Services, Video Marketing, Video Optimization

As the US economy continues to re-emerge, small business owners remain optimistic for the future despite many formidable challenges that have been placed before them. No one has a handle on the pulse of the economy like small business owners despite the posturing of those who are nowhere near the front lines. Optimism is being sorely tried as a new report issues by Metlife and the US Chamber of Commerce illustrates just how precarious that optimism is. The following findings come directly from that recently published report:

  • The Q2 2021 MetLife and U.S. Chamber of Commerce Small Business Index (SBI), released this week, finds that as more Americans receive the COVID-19 vaccine, states lift restrictions, and businesses continue to reopen, a majority (65%) of small business owners are more optimistic that the worst of the pandemic is over.
  • According to the poll taken April 21 – May 6, the dominant emotion small business owners are feeling about their current operating strategy is “hopeful” (44%). Thirty-one percent say they are “comfortable” and 24% say they are “concerned,” rounding out the top three current feelings.
  • When it comes to views of the economy, positive outlooks are growing and negative ones are declining. Currently, 27% of small businesses rate the overall U.S. economy as good, up from 21% who said the same in Q1. Driving this uptick is the decreasing number of small businesses seeing the economy as bad. While 46% continue to say the national economy is poor, this is the first time this measure has fallen below 50% during the pandemic. Just last quarter, fully 60% of small businesses said the economy was poor (a drop of 14 points in one quarter).

Metlife & US Chamber comparison data from Q4 2020 to Q2 2021

  • COVID habits may be here to stay. 76% of small businesses intend to keep all COVID-19 safety precautions in place until the coronavirus pandemic ends.
  • In a tight labor market, employers are holding onto the workers they have. Most small businesses anticipate retaining the same staffing level (52% say they will do so this quarter versus 49 percent in Q1 2021). Thirty-two percent plan to increase staffing (same as Q1) and around one in ten (11%) plan to decrease staffing over the next year.
  • Small businesses see revenue improving in the future. Over half (57%) of small businesses anticipate their revenue increasing this year, up 10 percentage points compared to last quarter, marking the most positive outlook of this metric during the pandemic.

-Written by Kevin Sawyer