Small businesses to slash advertising and travel spend
on: January 20, 2009, 1:38 am
Release Author: Opus
Release Summary: Nearly 40% of Britain’s small businesses
are planning to cut their budgets for advertising and business
travel (37%) in order to weather the recession, a new survey has
Press Release Body: Nearly 40%
of Britain’s small businesses are planning to cut their
budgets for advertising and business travel (37%) in order to
weather the recession, a new survey has found.
YouGov survey, commissioned by independent electricity supplier
polled over 500 small business owners and managers to discover
where they would be cutting back during the current economic downturn.
Business travel and advertising spend were top of the list for
budget cuts in nearly one in five small businesses (19 and 18%
The survey also found that the
larger the company, the more likely it is that staff will face
cuts to their bonuses. Indeed, a third (33%) of the largest companies
surveyed (employing up to 50 people) said that employee bonuses
would be the first area they would rein in.
Interestingly, when asked which
areas cutbacks were the least likely during recession, a quarter
of small businesses (25%) were adamant they would not reduce spending
on IT. Employees can also rest assured that day to day staff perks
were the second least likely area to face cutbacks during difficult
times. 16% of managers vowed not to reduce spending on extras
for employees such as biscuits, tea and coffee and entertainment,
which can help maintain vital staff morale particularly in a gloomy
Nash, Operations Director at Opus Energy said, “While
some value can be had from trimming excess spending on business
travel and advertising budgets, it is surprising that a review
of utility bills does not appear higher up the list. Only 3% of
small businesses said they would review their gas or electricity
tariffs in order to make business savings. This widely overlooked
area can provide vital savings for companies and make more of
an impact on their bottom line than other areas. Indeed, Carbon
Trust research shows that simply monitoring energy efficiency
in the workplace could help companies save over 12% on their bills."
Notes to Editors
All figures, unless otherwise
stated, are from YouGov Plc. Total sample size was 536 adults
who are private sector workers in companies of fewer than 50 employees
who are senior management level or above, with major decision
making input in at least one of the following areas: Advertising/
Direct Marketing / PR, Business Development/ Sales, Company credit/
charge cards, Company mobile phones, Company Pension Scheme, Finance/
Accounting, HR/ Personnel, IT/ Telecoms, Line of Production/ Operations,
Procurement/ purchasing, Recruitment, Training & Development.
Fieldwork was undertaken between 3rd - 8th December 2008. The
survey was carried out online.
Energy is a leading independent supplier of electricity offering
tailor-made solutions for the UK SME and corporate markets. Its
market-leading innovations are driven by customer needs and the
company is committed to helping businesses become more environmentally
responsible through procurement of energy from cleaner sources.
Opus Energy has over 40,000 customers
across all sectors. Large customers include: Yell Group, Thorntons,
Farmfoods, Cumbria County Council and Deloitte & Touche.
Over the last two years (between
April 2006 and March 2008), 62% of the energy supplied by Opus
Energy to its customers came from cleaner, low-carbon sources
– 54% from renewable generators and 8% from cleaner Combined
Heat and Power (CHP) produced by CHP generators. These CHP generators
have been awarded accreditation by the regulator, Ofgem, for producing
cleaner, more environmentally friendly power.
Opus Energy’s management
team has a 50 percent stake in the business, while International
Power Plc (LSE:IPR.L) holds 30 percent and Telecom Plus Plc (LSE:
TEP.L ) has 20 percent. With offices in Northampton and Oxford,
it employs 200 people.
further information, please see www.opusenergy.com
Carbon Trust, Smart metering
Carbon Trust recently undertook smart metering trials and the
results showed that smart metering, when combined with consumption
data and energy-saving advice, could give potential average savings
of 12%. http://www.carbontrust.co.uk/technology/technologyaccelerator/advanced_metering.htm
Details: Opus Energy Press Office
Ruttle / Susie Patterson
T. 0207 269 7255 / 7233
E. firstname.lastname@example.org / email@example.com