Top Six Small Business Trends for 2012

Top Six Small Business Trends for 2012

Technology  Trends for 2012

1.  Smartphones, Tablets and the Cloud :   2012 is no exception and we expect mobile computing devices (smartphones and tablets) to substantially outsell traditional computers.  These cloud-supported devices are changing the way business is done and creating vast, new demand for apps, online video and audio, games, ebooks, magazines, newspapers, social networking – the list goes on and on.   2012 will see a growing number of small businesses embracing and leveraging these technologies.

2.  The Empire Strikes Back with Big Data:  The rise of the Internet and ever cheaper information technology enabled even the smallest of businesses to look, act and compete like a large company.  Big Data – the collection, manipulation and analysis of large datasets – allows large companies to look, act and compete like a small business by using data and analytics to provide personalized products and services.  It also increases their ability to aggressively compete on price.  Amazon’s controversial smartphone-based Price Check app is just the beginning of larger corporations using data, analytics and mobile computing to attack small business markets.

3.  Big Data Gets Small:  2012 will also see growing small business use of powerful yet inexpensive cloud-based data and analytical tools.  These tools will enable small businesses to organize, mine and analyze their data to improve their results.  In particular, the small business use of software and systems that combines and analyzes data from websites, customer purchases, marketing campaigns and social media activity will grow and greatly improve small business efficiency.

Economic Trends for 2012 

4.  The Rental Economy Expands:
Obviously this is not a new trend.  But the Rental Economy is rapidly expanding because the Internet, the Cloud and advanced analytics are enabling cost effective renting/sharing of a growing array of goods and services historically available primarily through ownership.

5.  Location, Location, Location:  A range of trends that have been building for a long time are converging to make location a key small business issue in 2012.  These include the growing power of the buy local movement, the increasing use of location in social media, a continued focus on sustainability and local food, and the growing use of cell phone and cloud enabled location-based services.  We used to think the Internet made location less important.  It also makes location more important.

6.  It’s the Best of Times and the Worst of Times for Startups:    The maturation of the Internet and other technologies (genomics, clean tech, robotics, Big Data, etc.) is creating vast new opportunities. It’s also cheaper than ever to start and grow a company, venture funding is available, valuations are high, large companies are in acquisition mode and the IPO market is opening up.  In many ways, it’s never been as easy or rewarding to be a startup than it will be in 2012.

But 2012 will also be a year of reckoning for many startups.  The last couple of years have produced almost a frenzy of new tech companies.  Many of these firms will need additional funding in 2012, and those not able to show strong customer traction will not be able to find it.