UK SMEs pivoting towards online distribution and social communication

UK SMES have pivoted their business towards social media communication and online distribution because of the first coronavirus lockdown, Paragon Bank research has revealed. Over half (52%) of SMEs operating online have seen their sales increase as a result of the pandemic, rising to 62% amongst those businesses with 20-49 employees, according to Paragon’s SME sentiment report ‘COVID-19: a catalyst for change amongst SMEs’.

As coronavirus restricted physical sales, the pandemic also prompted one in five (21%) of SMEs to start offering products or services online, broadening their distribution channels.

Meanwhile, nearly half of SME decision makers stated that they increased the use of social media channels to promote their products and services and increase communication with their customer base.