The US’s Small Business Administration estimates that 25% of businesses never reopen after a major disaster.
Research by the UK’s Federation of Small Businesses reveals that only 35% of UK SMEs have any business continuity plans in place.
The smaller the business, the less likely they are to have such plans. Given that 99.9% of businesses in the UK are SMEs and most business growth is coming from that sector, this reveals an opportunity for B2B service providers to create solutions for smaller companies.
The FSB reveals that IT problems (29%), the impact of cybercrime (17%), severe weather (13%) and even the dangers of terrorism (1%) are all perceived to be a risk by small firms.
Since connectivity is the oxygen of the digital economy, B2B providers should start by considering how they can offer connectivity continuation and recovery. For example, a prepaid mobile hotspot device such as a MiFi could be the core of a network diversity strategy for SMEs, as it will protect against fibre outages and because in major disasters the mobile network usually recovers first. Data backup to the cloud, security software, insurance, and a range of other services could be bundled into a comprehensive solution for overlay sales.
One man’s (fear) of disaster is another man’s opportunity. Just ask the insurance industry how that works.