4.2. E-business
In OECD countries, few businesses operate without using some form of ICTs. Nevertheless, the extent to which ICT tools are integrated into business processes varies across countries, with key explanatory factors including differences in firm and industry composition.
In 2018, Finland had the largest proportion of enterprises using cloud computing (65%). Meanwhile, use of cloud services in Germany (22%) was lower than the OECD average (30%), but German businesses had the highest uptake of customer relationship management software (CRM), alongside the Netherlands (both 47%). Korea had the highest proportion of enterprises using radio frequency identification (RFID, 42%), but the lowest uptake of Big data analytics by businesses (3%).
On average, 23% of OECD enterprises made sales via e-commerce in 2017 - an increase of only 4 percentage points since 2009. Large differences among countries remain, however. In New Zealand, half of enterprises sell online, while fewer than one-in-ten do so in Mexico. Differences in the definition of e-sales used may explain some of the variation between countries but in many cases a key cause is likely to be differences in the prevalence of large firms relative to smaller firms in some economies (OECD, 2017a). On average, 43% of larger firms engaged in e-sales in 2018, compared to only 21% of small enterprises.
Enterprises can use various tools and technologies to support their e-commerce activities. Ad hoc tabulations from the 2018 European Community Survey of ICT Usage in Enterprises were used on a pilot basis to investigate aspects of digital maturity in firms. This included a number of relatively advanced website features – the possibility for visitors to customise or design online goods or services, the ability to track the status of orders placed, or offering personalised content on the website for recurrent visitors – as well as businesses’ use of online advertising services. In all countries except Denmark, the majority of businesses do not use any of these functions. While, on average, 32% of businesses make some use of them, only 6% of firms pursue relatively more sophisticated online sales strategies combining one or more of these website features with online advertising. In countries with especially high Internet uptake, the share is much higher - 12% of firms in the Netherlands and 11% in Denmark and Sweden.
The usefulness of such features and services varies with business size and the geography of the market they serve (as well as other factors such as the nature of products offered). In particular, small businesses, focussed on serving local markets may see little need to sell or actively market online even if they have an online presence. By contrast, on average 14% of large firms offer one or more such website features and use online advertising services, with over 25% of large firms in Denmark, Sweden and Belgium doing so.
In 2017, out of all firms in reporting OECD countries, 95% had a broadband connection, but only 23% made sales via e-commerce.
Definitions
Enterprise resource planning (ERP) systems are software-based tools for managing internal information flows. Customer relationship management (CRM) software is a program for managing a company’s interactions with customers, employees and suppliers.
Cloud computing refers to ICT services accessed over the Internet including servers, storage, network components and software applications.
Big data analytics refers to the analysis of vast amounts of data generated by activities carried out electronically and through machine-to-machine communications.
An e-commerce transaction describes the sale or purchase of goods or services conducted over computer networks by methods designed specifically for the purpose of receiving or placing orders (OECD, 2011).
Recurrent visitor features refers to the provision of personalised content on the website for regular/recurrent visitors.
Firm size classes are defined as small (10 to 49 persons employed), medium (50 to 249) and large (above 250).
Measurability
These data are generally collected through direct surveys of ICT usage by businesses, though not all OECD countries undertake specific surveys on this subject. Aside from differences in the survey, the majority of indicators correspond to generic definitions that proxy the functionalities and potential uses of ICT tools. For example, various software with different functionalities are found within ERP systems, and there are substantial differences in the sophistication of these systems and their degree of implementation. Cloud computing services and Big data raise similar issues (OECD, 2017a).
Measurement of e-commerce presents several methodological challenges that can affect international comparability. These include the adoption of different practices for data collection and estimation, as well as the treatment of outliers and the extent of e-commerce carried out by multinationals. Other issues include differences in sectoral coverage of surveys and lack of measures concerning the actors involved (B2B, B2C, etc.). Convergence of technologies brings additional challenges for the treatment (and surveying) of emerging transactions, notably over mobile phones, via SMS or through the use of devices that enable near-field communication.
Source: OECD, ICT Access and Usage by Businesses Database, http://oe.cd/bus, December 2018. See 1.
← 1. Unless otherwise stated, only enterprises with ten or more employees are considered.
For Brazil, data refer to 2017.
For Canada, data refer to 2013, except for cloud computing (2012).
For Japan, data refer to 2016 and include businesses with 100 or more employees instead of 10 or more.
For Korea, data refer to 2016, except for cloud computing (2015).
For Switzerland, data refer 2015 and to businesses with five or more employees instead of ten or more.
For ERP, CRM and RFID, data relate to 2017.
Big data: For United Kingdom, data refer to 2016.
Cloud computing: For Australia, data refer to the fiscal year 2015/16 ending on 30 June. For Canada, data refer to enterprises that have made expenditures on “software as a service” (e.g. cloud computing). For Iceland, data refer to 2014. For Mexico, data refer to 2012.
RFID: for Iceland, data refer to 2014.
Source: OECD, ICT Access and Usage by Businesses Database, http://oe.cd/bus, December 2018. See 1. StatLink contains more data.
← 1. Unless otherwise stated, only enterprises with 10 or more employees are considered. Small firms are defined as companies with between 10 and 49 employees, medium firms as companies with between 50 and 249 employees, SMEs as companies with between 10 and 249 employees and large firms as companies with 250 or more employees.
For Australia, data refer to the fiscal year 2015/16, ending on 30 June.
For Brazil, data do not exclude manually typed emails or any other such channels.
For Canada, data refer to 2013; medium-sized enterprises have 50-299 employees and large ones have 300 or more employees. Sales online over the Internet may include EDI sales over the Internet as well as website sales, but do not include sales via manually typed e-mail or leads.
For Japan, data refer to businesses with 100 or more employees instead of 10 or more. Medium-sized enterprises have 100-299 employees and large firms have 300 or more employees.
For Mexico, data refer to 2012 and to businesses receiving orders via the Internet, instead of over computer networks.
For New Zealand, data refer to the fiscal year 2015/16 ending on 30 June.
For Switzerland, data refer to 2011.
Source: OECD, based on Eurostat, Digital Economy and Society Statistics, December 2018. See 1. StatLink contains more data.
← 1. Recurrent visitor features refers to the provision of personalised content on the website for regular/recurrent visitors.