In a recent report by Qonto, a significant trend among SMEs (small and medium-sized enterprises) across Europe shows a strong inclination towards investing in fintech and AI services in 2024. This move reflects a broader acceptance and optimism toward the potential benefits that digital solutions can offer businesses in enhancing their operations and customer experiences.
The report uncovers that a whopping 73% of SMEs surveyed are gearing up to invest, signaling a major shift towards digital transformation. This enthusiasm is particularly pronounced in countries like Germany, Italy, and Spain, where the drive towards tech adoption signifies a proactive approach to leveraging emerging technologies for business growth.
Despite this surge in tech adoption, the report also sheds light on a cautious stance towards other emerging technologies such as cryptocurrencies, Web3, virtual reality, and metaverse platforms. A notable 37% of respondents expressed pessimism towards Web3 and cryptocurrencies, with a similar sentiment shared towards virtual reality and the metaverse.
Sector-Specific Insights
Interestingly, the finance and insurance sectors stand out as the most enthusiastic about embracing new technologies, contrasting with the construction sector’s more reserved outlook. This divergence underscores the varied impact and perceived benefits of digital transformation across different industries.
While SMEs are keen on tech investments, the report highlights a contrasting trend in talent recruitment. A majority of SMEs indicated a pause or slowdown in hiring new talent towards the end of 2023. However, there’s a silver lining, as 42% of SMEs plan to ramp up their hiring in the last quarter, with Italy leading the charge.
Reflecting on the findings, the report emphasizes the critical role of digital technologies in shaping the future of SMEs. “In its latest report, financial management solution Qonto reveals how this trend translates for SMEs across Europe,” capturing the essence of the digital shift among European SMEs.