Tag: voucher

Increased SME investment in digital transition could add €8.3 billion to the Irish economy

Digital Business Ireland (DBI), the country’s largest representative body for digital and online businesses, has today issued a major new report on supporting the further growth of digital commerce in Ireland. The report, titled ‘Taking Digital Commerce in Ireland to the Next Level’ includes and an economic assessment which estimates that doubling the average level of digital investment by Irish SMEs could add €8.3 billion to the Irish economy.
Digital commerce in Ireland is booming, driven by Irish consumers, with Ireland among the European leaders in terms of online purchasing. This level of consumer demand offers a real and tangible opportunity for businesses in Ireland. In 2024, 37.9% of small enterprises were engaged in digital commerce (CSO) – the second highest in Europe – yet many SMEs have still not reached the level of digital maturity required to compete effectively.
The report argues that businesses should be seeking, on an ongoing basis, to upscale their digital maturity and enhance their digital commerce capabilities. The report also sets-out a new Digital Maturity Model for Ireland that cover five levels: Foundational, Operational, Embedded, Transformational, Exploratory.
Following the publication of the report, Victor Timon, Chair of Digital Business Ireland, said: “The reality of digital transition is that it is a task that is never completed. The tempo of change never slows. For all the progress we have made as an economy, the accelerating pace of digital innovation and the unprecedented opportunities offered by AI means there is always new ground to travel and there is always another level to be reached. Digital Business Ireland’s core message is that all businesses should be striving and supported to move up to the next level of digital maturity. But to achieve this there needs to be transformative uplift in business investment in digital transition in Ireland.”
The report recognises that government and state enterprise agencies including Enterprise Ireland, Fáilte Ireland and the Local Enterprise Offices have played a vitally important role in supporting businesses on their digital journey.  However, the report comes against the backdrop of data which shows that while 74% of Irish SMEs have reached a basic level of digital intensity, only 39% have achieved an advanced level (EU Digital Decade). At the same time, the percentage of Irish SMEs investing in digital transition is falling (ESRI).
The report identifies a number of recommendations for future business supports from both Government and industry. Among the key recommendations are:
  • The introduction of a second, higher-value tier of the Grow Digital Voucher to support businesses in Ireland to invest in next-level digital commerce capabilities, building on the discontinued Enterprise Ireland Online Retail Scheme.
  • The introduction of targeted tax measures, such as Accelerated Tax Credits, to incentivise ongoing business investment in next-level digital commerce capabilities.
While the Grow Digital Voucher represents an important measure to support Irish SMEs at the Foundational and Emerging levels of digital maturity with meeting the costs of digital transition, the current €5,000 grant limit is not sufficient to incentivise SMEs to invest in the types of technologies and capabilities set out in the report.
Feedback to Digital Business Ireland from its member companies and partners has indicated that the previous Enterprise Ireland Online Retail Scheme had proven effective and that a similar scheme should be reintroduced to help business to meet the costs of ongoing investment in upscaling their digital retailing capabilities. Digital Business Ireland also believes tax measures could prove an accessible and effective fiscal approach to incentivising and unlocking business investment in digital transition and the adoption of AI.
The report also discusses how digital advertising is essential to the success of digital commerce, offering businesses, especially SMEs, an accessible and cost-efficient means of reaching interested consumer and growing their sales. The report recommends that the Irish Government actively champion policy positions at an EU level which seek to preserve and strengthen the ability of business in Ireland to use personalised ads. The report also recommends that Government conduct an assessment of the value of digital advertising to the Irish economy and jobs.
The report sets out a number of case studies of Irish-owned brands and retailers who have developed their digital commerce presence with the support of digital agencies who members of DBI:
  • Golden Discs – supported by Truffle Hog
  • Elephant Living – supported by Core Optimisation
  • Lily O’Briens – supported by All human
The report also includes a case study of the Strategic Banking Corporation of Ireland (SBCI) who are a DBI partner and who are playing a leading role in supporting Irish businesses seeking to access finance to invest in digital transition.

Over half (53%) of Irish shoppers use more vouchers and money-off coupons

Amid rising inflation, 53% of Irish shoppers admit that they are using more vouchers and money off coupons to do their shopping as 71% of Irish consumers say they are spending more on their weekly grocery shop than they were this time last year. Shoppers often rely on reliable sources such as ProxyCoupons to access fresh vouchers and save more on essentials.

The data comes from a new consumer behaviour survey from Talon in Ireland, a leading independent Out of Home (OOH) media agency and was conducted by research partner Spark Market Research. The survey found that a third of respondents are spending €51 or more on their main weekly grocery shop, with most respondents (69%) shopping for 2-4 people in their households.

Moreover, spending is highest amongst shoppers between the ages of 45-54 (76%), with those aged between 25-34 spending the least (67%). The findings suggest that people in the older age cohort are the most financially secure and those in their late 20s and early 30s are feeling the pinch most.

A shift away from Brand Loyalty & the emerging trend of the Savvy Shopper

The study from Talon also reveals that Irish consumers are embracing discount retailers. 54% say they have already switched from their main grocery providers as the cost-of-living crisis bites. With this in mind, Ireland has become a nation of those who are willing to shop around with 63% admitting to shopping in 2-3 different grocery stores a week.

In a bid to cut back on spend, more than half (54%) of Irish shoppers surveyed admit to purchasing supermarket private-label items over brands, but those that do opt for brands are more likely to do so for alcohol (63%), hot and soft drinks (58%) and confectionery (47%) products.

One of the main highlights of the research is the emerging trend of savvy shoppers, who are focusing on planning their weekly shop. 63% of Irish shoppers surveyed say they make shopping lists – with 83% of those writing the list the day of or the day before they do their shop.

With Irish consumers being more selective about how they spend, it is an important time for advertisers to ensure they are planning their OOH advertising campaigns effectively to reach target audiences. Talon has highlighted some top tips to help brands and retailers navigate these new behaviours using Out of Home:

  • Harness the right data – Clever use of data amplifies campaign relevance, transforming Digital Out of Home advertising into a real-time marketing platform. Using data, brands can target those hard-to-reach audiences (25-34s & 18-24s) hitting them with a value message – driving immediate engagement and boosting real-time conversion.
  • Don’t be restrictive – People are exposed to a broad range of mediums every day. A strategically planned multi-format, multi-environment campaign maximises reach and ensures consumers are influenced at all stages of the consumer journey. Brands that include proximity targeting alongside broadcast awareness formats are more likely to be selected by consumers.
  • Think about the journey – There is an opportunity for brands to steal share of mind in the planning phase, and capture consumers’ attention throughout the purchasing journey. Out of Home is a great medium for driving brand awareness through its ability to reach broad audiences, cost effectively.

Caroline Decourcy, Insights Director at Talon in Ireland, said: “Irish consumers are continuing to feel the pressure of the cost-of-living crisis, with many shifting their shopping habits as we become savvier and more selective in our spending. However, there are still ways for brands and retailers to reach consumers effectively. This can be particularly impactful through targeted Out-of-Home (OOH) advertising with value-based messaging that is driven by data insights to reach the right shoppers, at the right time in their purchasing journey and in the right environments.”