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Small Business Tech Trends of 2022

When you think of small businesses, you may think of classic mom-and-pop, Main Street stores with just a few employees, and even fewer expenditures. Even TV and movies love to paint small businesses as old-fashioned shops with carefree owners who spend their time lounging and chatting up regulars. While this rosy picture may be accurate for a few small business owners, for the vast majority, this couldn’t be further from the truth.

Small businesses and their owners face unique, difficult challenges that have no clear solution. This was especially clear when the COVID-19 pandemic began to rage in early 2020. While big businesses had the technological infrastructure to weather the storm, many small businesses simply couldn’t survive, through no fault of their own. For the businesses whose doors didn’t shutter in the early months of the pandemic, they soon found that innovation was the only way they could survive. From Zoom meetings to online ordering, COVID-19 forced small businesses to evolve. And even as the pandemic reaches its two-year anniversary, these involuntary changes aren’t leaving any time soon. As the country (and the world) continue to live with the pandemic, more small businesses are beginning to utilize these new technology trends to survive in this new normal.

Automation and Artificial Intelligence

When it comes to saving time, there is no better tool for small businesses than automation. Automation can complete many of the small, minute tasks that add up. Things like welcome emails, communications with leads, and inventory management can all be automized, allowing more time for business owners to focus on profit-driven tasks. Best of all, there are useful automation software for nearly every facet of business. Spending a lot of time setting up meetings? Try out Calendly, a useful tool that minimizes the time-consuming back-and-forth of arranging appointments. Want to set your social media posts weeks in advance? Try Hootsuite or Sprout, two programs that can post to your company’s social pages automatically. More and more small businesses are utilizing tools like these to cut down time spent on tasks that don’t affect the bottom line.

This increased adoption of tech shouldn’t come as a surprise. After all, small businesses that extensively utilize digital tools earn twice as much revenue per employee than businesses that don’t[1]. It’s simple: When businesses let technology handle small, everyday tasks, they become more successful. However, this doesn’t mean that once a business automizes some things, it’ll magically increase profits. Small businesses have to constantly be on the lookout for programs that give them an advantage over their big-business competitors. One of these programs is quickly growing in popularity, and could even be considered an evolution of automation: Artificial Intelligence (AI).

One of the most popular AI programs for small businesses is chatbots. With these bots, businesses can communicate with web visitors and determine if they need help automatically. More uses include creating marketing content and streamlining inventory management[2]. Although similar to automation, AI goes one step further: It can analyze data and make logical decisions for your specific situation. From resume scanners to employee schedulers, Artificial Intelligence is becoming more useful (and more affordable) for small businesses that seek to prioritize their efficiency.

Digital Advertising is Changing

For the past decade, there has been a single, dominant platform in the social media advertising business: Facebook. It has long been known that advertisements are the lifeblood of the world’s most popular social media site. In fact, Facebook makes a whopping 98% of its revenue from ads[3]. Because of its unending data collection, Facebook can target ads at the micro-level, allowing them to charge advertisers even more. However, extensive data collection and ad-supported social media aren’t exclusive to Facebook anymore. While the company is still making a gaudy amount of money from ads, cracks are beginning to show.

One thing is certain: Facebook is getting older. Now, if your business’s target demographic is 45+, you won’t have much of a problem. But if your business is targeting the coveted 18 to 34 demographic, you may need a more complex marketing strategy. That’s because young people simply don’t use Facebook as much as they used to. In 2016, 60% of teens used Facebook at least once a month. In 2021, that number dropped to 27%[4]. Apps like Snapchat, Instagram, especially TikTok are simply more popular with young people, creating the need for multi-front digital marketing strategies.

Software Integration

The great thing about tech is that there are a virtually infinite number of programs that can help increase efficiency and revenue at small businesses. The bad thing is that, sometimes, too many programs can cause diminishing returns. After all, if you’re uploading data to a dozen different software programs every day, are you really saving time? Additionally, if you’re uploading the same data, over and over again, there’s a higher likelihood of data errors as well. That’s why small business owners have begun to embrace software integration. With integration, not only does software help you complete tasks, but it also communicates with your other software programs. Uploading information from a new lead? With software integration, you can simply add the information once, and it’ll be available on all your integrated programs. Employees need to communicate in order to get work done efficiently. Why can’t software do it too?

While the dream of completely seamless integrated software isn’t quite here yet, there are a number of programs tailored for small businesses that are incredibly convenient. Software like Quickbooks and Xero integrate accounting, expenses, and even employee scheduling. With these tools, small business owners are realizing just how much time, money, and effort they can save by utilizing software integration. 

Cybersecurity Risks

By now, you’ve almost certainly heard the risks of having poor cybersecurity infrastructure. Without protection, small businesses put themselves, their data, and their customers at risk every day. Thankfully, more and more small businesses have realized this risk, and have taken steps to minimize their chances of a catastrophic data breach. In fact, over half of small and medium-sized businesses now have a cybersecurity plan in place[5]. And as cybersecurity programs continue to become more available and affordable, this number is certain to rise in the coming years. While cybersecurity risks are, of course, ever-present, the rising popularity of cybersecurity solutions among small businesses is incredibly promising. Cybercrime risks are unlikely to completely disappear any time soon, but if more and more businesses begin to prioritize cybersecurity, nefarious cybercriminals will have to work harder to wreak their havoc.

Unfortunately, reality isn’t that rosy, at least not yet. While some small businesses have finally taken action to protect their cybersecurity, for many businesses, there’s still work to do. Only 9% of small businesses have cyber liability insurance. Therefore, it’s no surprise that 83% of small and medium-sized businesses are not prepared for the financial consequences of a cyberattack[5]. Ultimately, many small businesses have not reached true cybersecurity protection. While it’s great to see more small businesses finally begin to take cybercrime seriously, there’s still a long way to go. And while companies that have invested in cybersecurity can do business with peace of mind, those that haven’t will be at risk every single day.

About AXEL

No matter what industry your business is in, cybercrime poses a very real threat. At AXEL, we want to help you keep yourself (and your customers) safe from the threats of ransomware and data breaches. That’s why we created AXEL Go. AXEL Go uses military-grade encryption, blockchain technology, and decentralized servers to ensure it’s the most secure file transfer software on the market. Whether you need to transfer large files or send files online, AXEL Go is the best cloud storage solution. If you’re ready to try the most secure file-sharing app for PC and mobile devices, download AXEL Go for free here.

[1] “Small Business Technology Trends: Deloitte Us.” Deloitte United States, May 20, 2020. https://www2.deloitte.com/us/en/pages/technology-media-and-telecommunications/articles/connected-small-businesses.html

[2] Rist, Oliver. “Small Businesses Are Using AI-Sometimes.” PCMAG. PCMag, December 7, 2021. https://www.pcmag.com/news/small-businesses-are-using-ai-sometimes

[3] “Facebook Ad Revenue 2009-2020.” Statista, February 18, 2022. https://www.statista.com/statistics/271258/facebooks-advertising-revenue-worldwide/

[4] Leonhardt, Megan. “Teens Have Been Losing Interest in Facebook for Years.” Fortune. Fortune, October 26, 2021. https://fortune.com/2021/10/25/facebook-teens-usage-harm-studies/

[5] “10 Small Business Cyber Security Statistics That You Should Know – and How to Improve Them.” Cybersecurity Magazine, May 20, 2021. https://cybersecurity-magazine.com/10-small-business-cyber-security-statistics-that-you-should-know-and-how-to-improve-them/

For Here or To Go? Remote Work, Hybrid Offices and the Future of the Workplace

In March 2020, traditional offices were shaken by the beginning of the COVID-19 pandemic. Employees were forced to work from home, forced to learn new software and techniques just as the stress and worry of the pandemic reached an apex. For the first few months of remote work, employees learned how to do their jobs remotely, while offices remained ghost towns. Both employers and employees were stressed not only about the pandemic, but about when offices could finally reunite.

While the pandemic is waning in the United States, remote work has stayed, at least for traditional office jobs.  And while some offices are transitioning back to physical workplaces, many companies are doing away with mandatory in-person work. Now, employees know efficient strategies for working remotely. And many have realized the conveniences of working from home: No more commutes, more time to watch children, and a healthier work-life balance. With both employers and employees singing the praises of remote work, it’s fair to ask: What is the future of the workplace?

Opinions on Remote Work

Generally, employees like hybrid work more than employers. 55% of employees prefer working at home at least three days per week, while 68% of executives believe workers should be in the office at least three days per week [1]. This disconnect highlights the murky future of work in the United States. Employers want to maintain a strong company culture, while employees want to keep the massive benefits that come with at-home work.

And even though the United States is on the back-end of the pandemic, executives still aren’t sure what the future holds. 60% of respondents to a McKinsey survey stated that their employer’s workplace plans for after the pandemic were either vague or nonexistent [2]. Some executives have shown a willingness to continue remote work indefinitely, while some want in-person work to return soon. In fact, Goldman Sachs CEO David Solomon called at-home work ​​“an aberration that we are going to correct as quickly as possible [3].” 

However, it is simply too early to know what the future of office work is. Of course, not every workplace has the option to work remotely. Food service workers, healthcare workers, and others simply don’t have the option to work from home. McKinsey’s study notes that a shift to remote work could further inequality, as remote work is likely only to be offered to highly educated, well-paid employees [4]. So while traditional offices may continue the transition to remote work, the debate around in-person versus at-home work simply doesn’t apply to all workers.

Is Hybrid the Future?

But for those occupations that have shifted to remote work during the pandemic, could a compromise between employers and employees be the future of office work? A hybrid model combines remote and in-person work at a workplace. Some (or all) employees have the choice to work at home, at the office, or a combination of the two. This flexibility was necessary during the height of the pandemic, but as the country returns to normalcy, employees have gotten used to the convenience of at-home work. And the benefits extend to employers as well, as remote work means fewer costs for physical workplace expenses, including rent and office supplies.

So if there are so many benefits to remote models, why are many executives wary of this potential change? Fear of change, productivity concerns, and protecting company culture are just a few of these anxieties. However, recent studies have found that productivity has either been stable or actually increased during the transition to at-home work, in spite of technical challenges, family responsibilities, and pandemic-related anxieties. A Forbes study found that most workers thought that their per-hour productivity increased while working remotely versus in-person work [5].

Challenges of Hybrid Work

While there are benefits that come with a hybrid model, there are undoubtedly downsides as well. One well-known detriment of remote work is the social isolation that comes along with it. While staying at home can be convenient, it can also prevent workers from forming personal relationships. It could lead to fewer opportunities to learn skills that are necessary for career advancement [6]. 

In addition, there is a generational divide on opinions of at-home work as well. Although some may assume younger generations are more comfortable with remote work, the opposite is true. Members of Gen Z have more concerns about remote work than older generations. They list the lack of networking opportunities, few genuine connections, and general isolation as the downsides of at-home work [7].

However, hybrid models try to mitigate these drawbacks as much as possible. After all, a hybrid model offers both in-person and at-home work. So while these downsides could still exist, they could be minimized in a hybrid workplace.

Tips to be a Successful Remote Worker

Although the pandemic is winding down, it’s important to know some tips and tricks to ensure you stay productive and happy during your shift.

  • Communicate: Without in-person meetings and checkups, everyone has to know their responsibilities. While it can be tedious, this means emailing superiors, asking questions, and being in contact with other coworkers. Clearly communicating with everyone helps ensure that tasks don’t slip through the cracks.
  • Structure: Make a schedule to follow every workday. Plan specific hours to work on a project, and stick to the plan! Structuring your workday helps ensure you remain focused on specific projects, and also helps keep your work life and home life separated.
  • Visit: Whether it be a trip to the office for a short meeting, or a couple hours at a local coffee shop, getting out of the house is important. Not only does working from a different location prevent feelings of burnout, but a new location can boost productivity as well. Do work tasks at different places to see where you feel most efficient.

Overall, becoming a successful hybrid worker is about finding what makes you most comfortable. If you love talking with coworkers at the water cooler and enjoy the structure of a physical workplace, then in-person work may be for you. But if you feel more comfortable and productive at home, remote work may keep you at top efficiency. Either way, hybrid workplaces offer workers that choice, ensuring that every worker can be both comfortable and efficient at their job.

[1] Gurchiek, Kathy. “Hybrid Work Model Likely to Be New Norm in 2021.” SHRM. July 06, 2021. https://www.shrm.org/hr-today/news/hr-news/pages/hybrid-work-model-likely-to-be-new-norm-in-2021.aspx.

[2] Alexander, Andrea, Aaron De Smet, Meredith Langstaff, and Dan Ravid. “What Employees Are Saying about the Future of Remote Work.” McKinsey & Company. July 15, 2021. https://www.mckinsey.com/business-functions/organization/our-insights/what-employees-are-saying-about-the-future-of-remote-work.

[3] Blenford, Adam. “Remote Work Won’t Be Going Away Once Offices Are Open Again.” Bloomberg.com. March 5, 2021. https://www.bloomberg.com/news/articles/2021-03-05/work-from-home-workplaces-will-let-employees-mix-home-and-remote-work.

[4] Lund, Susan, Anu Madgavkar, James Manyika, and Sven Smit. “What’s next for Remote Work: An Analysis of 2,000 Tasks, 800 Jobs, and Nine Countries.” McKinsey & Company. March 03, 2021. https://www.mckinsey.com/featured-insights/future-of-work/whats-next-for-remote-work-an-analysis-of-2000-tasks-800-jobs-and-nine-countries.

[5] Gaskell, Adi. “How Productive Have Remote Workers Been During Covid?” Forbes. May 31, 2021. https://www.forbes.com/sites/adigaskell/2021/05/31/how-productive-have-remote-workers-been-during-covid/.

[6] “Practice Innovations: Building the Hybrid Work Environment.” Thomson Reuters Institute. June 10, 2021. https://www.thomsonreuters.com/en-us/posts/legal/practice-innovations-hybrid-work-environment/.

[7] Sherr, Ian. “Gen Z Is Getting Screwed by Remote Work, Microsoft Survey Finds.” CNET. March 22, 2021. https://www.cnet.com/news/gen-z-is-getting-screwed-by-remote-work-new-microsoft-survey-says/.

The Effect of COVID-19 on Data Breaches

The ongoing global pandemic has affected nearly all aspects of life as we know it. One area you may not have considered is corporate security. The landscape of data breaches has transformed since the onset of COVID-19. With little hope for a proven vaccine soon, organizations will probably have to deal with these consequences for a while.

A coalescence of factors

COVID-19 has proven to be a perfect storm regarding cybersecurity issues. Many variables have contributed to this.

First, furloughs, layoffs, and sick leave have reduced the human capital organizations have at their disposal. IT departments have not been spared from the chopping block, either[1]. The decrease in cybersecurity professionals combined with the dip in overall revenues for the majority of companies means resources are limited. Prevention systems are weakened, or at least not fortified, providing ample opportunities for malicious agents to prod and pry.

Another important element is the rise of the remote workforce. COVID-19 has accelerated the transition of employees from the office to the home. According to a recent survey by PWC, the percentage of executives who claim that most of their office staff work remotely at least one day per week rose from 39% before the pandemic to 77% after[2]. New security measures may have to be implemented to deal with a flux of new devices, weak remote access policies, and VPN configurations. This is a massive undertaking and further taxes already-strained IT departments.

Finally, general stress and anxiety levels for employees are high. Not only do they have to worry about protecting themselves from a potentially deadly virus, but there is also great economic uncertainty. People aren’t sure whether they’ll have their jobs a month down the line. This may have the unintended effect of making them less focused on maintaining proper cybersecurity protocols.

Data breach trends during COVID-19

Trends have emerged from this strange, new environment.

Perhaps the most insidious is the prevalence of COVID-19-related phishing attacks. Hackers prey on the fears and concerns of everyday people to gain access to networks. According to research from Verizon, people were 30% more likely to click a suspicious link if it was related to the pandemic[3]. Some organizations fared especially bad, with employee click rates ranging between 30-60%. Knowing this, it’s no wonder coronavirus-based spear-phishing attacks have risen in number[4]. Bad actors are utilizing more effective techniques more often.

Another trend is an overall increase in user error. People are adapting to new working conditions and dealing with digital transformation technology they may not be familiar with, all while in the midst of a global health crisis unparalleled in recent times.

Common examples of user error include the misconfiguration of security software, accidental delivery of sensitive documents to unauthorized recipients, or mistakes with file permissions.

Attacks on unsecured remote desktop protocol machines have also spiked since the start of the pandemic[5]. Hackers have more targets now that so many people are working from home on remote desktop software. They use simple brute-force attacks to take over a system. Then, they can install any variety of ransomware, cryptocurrency mining programs, or secret backdoors.

Similarly, Virtual Private Networks (VPNs) are also being targeted[6]. While sometimes mistaken as remote desktops, they are quite different. A VPN creates an encrypted private network on top of a larger network. Remote desktops just allow users to gain access to their computers from a different location. Remote desktops give the user access to the entire computer while VPNs restrict access to the shared folders on a given network.

This, plus the standard encryption make VPNs more secure, generally. It doesn’t mean that VPNs are cannot be hacked, however. A common trend right now is malicious agents using Distributed Denial-of-Service (DDoS) attacks to overwhelm VPN systems, leaving them vulnerable to breaches.

A DDoS attack is when a hacker gains control of a large number of online computers, then uses them to steer traffic to a specific network. The sudden increase in traffic overloads the networks and causes them to crash.

Cloud-based software is being attacked more often as well. Collaborative tools such as Zoom and Slack have seen significant growth in users and therefore, more attention from cyber-thieves. Up to 1350% more attention, depending on the industry[7].

Popular cloud software is usually developed by large corporations you’d assume would be committed to tight security. The truth is, even if the developer devotes considerable resources to security, vulnerabilities remain. For example, large exploits were found in the Microsoft Azure platform that could have allowed threat actors to gain access to other users’ data[8].

Effects on the healthcare industry

Healthcare providers throughout the world have had a rough year. They are on the frontlines in the fight against COVID-19 and have had their capacities tested. You would hope that they would be able to focus most of their attention on that monumental task, but also, they have had to deal with cybersecurity threats.

For example, in June alone, there were 37 confirmed cases of IT-related data breaches in the healthcare sector[9]. Over a million healthcare records were compromised. These attacks are quite common but pose even larger risks during a pandemic.

Imagine if a busy hospital were to undergo a major hack that left important systems or health records inaccessible. This could have disastrous consequences, especially if the area was in the middle of a spike in virus cases. It could lower the hospital’s capability for patient care, or at least divert important resources.

How can companies be more prepared?

It’s impossible to be completely protected from cyber-attacks, but there are ways to mitigate risk.

The first thing to understand is that you’re only as protected as your weakest link. You may need to do a thorough audit of your network and address the troublesome areas. Perhaps your system is rock solid, but if you have suppliers or outside vendors that have access to the system, you still have potential attack points.

You also need to invest in employee education on best practices. Inform them about the stakes of a breach. Train them on common phishing techniques and proper communication protocol. It needs to be made a priority throughout the entire organization if you want to be as protected as possible.

Ensure your IT department has the resources required to mount a worthy defense. Look into new, exciting security technologies that utilize artificial intelligence and blockchain. AI can act as a constant presence, safeguarding your network and quickly informing administrators about attacks. Blockchain solutions can encrypt sensitive data and protect your file systems from being altered.

Securing data at rest and in motion

It’s disappointing that opportunistic hackers are taking advantage of a fragile moment in time, but not surprising. These malicious agents aren’t interested in doing the right thing. They’re only interested in stealing money and information. Hopefully, through a combination of preventative and mitigating techniques, you can keep your most sensitive data safe.

Axel is dedicated to data security. Our platform, Axel Go, uses blockchain encryption to provide the safest file sharing experience available. If you value privacy and security, download Axel Go today for free and get the peace of mind you need.

 

[1] Galen Gruman, “COVID-related U.S. IT job losses tick up as spike in cases creates uncertainty”, COMPUTERWORLD, Jul. 6 2020, https://www.computerworld.com/article/3542681/covid-related-us-it-job-losses-tick-up-as-spike-in-cases-creates-uncertainty.html

[2] “When everyone can work from home, what’s the office for?”, pwc, Jun. 25 2020, https://www.pwc.com/us/en/library/covid-19/us-remote-work-survey.html

[3] “Analyzing the COVID-19 data breach landscape”, Verizon, Aug. 2020, https://enterprise.verizon.com/resources/articles/analyzing-covid-19-data-breach-landscape/

[4] Fleming Shi, “Threat Spotlight: Coronavirus-Related Phishing”, Barracuda, Mar. 26 2020, https://blog.barracuda.com/2020/03/26/threat-spotlight-coronavirus-related-phishing/

[5] Ondrej Kubovic, “Remote access at risk: Pandemic pulls more cyber-crooks into the brute-forcing game”, We Live Security, Jun. 29 2020, https://www.welivesecurity.com/2020/06/29/remote-access-risk-pandemic-cybercrooks-bruteforcing-game/

[6] Sue Poremba, “Increase in Small DDoS Attacks Could Take Down VPNs”, Security Boulevard, Apr. 7 2020, https://securityboulevard.com/2020/04/increase-in-small-ddos-attacks-could-take-down-vpns/

[7] Lucian Constantin, “Use of cloud collaboration tools surges and so do attacks”, CSO, May 26 2020, https://www.csoonline.com/article/3545775/use-of-cloud-collaboration-tools-surges-and-so-do-the-attacks-report-shows.html

[8] Ronen Shustin, “Remote Cloud Execution – Critical Vulnerabilities in Azure Cloud Infrastructure”, Check Point Research, Jan. 30 2020, https://research.checkpoint.com/2020/remote-cloud-execution-critical-vulnerabilities-in-azure-cloud-infrastructure-part-i/

[9] Steve Alder, “June 2020 Healthcare Data Breach Report” HIPAA Journal, Jul. 24 2020, https://www.hipaajournal.com/june-2020-healthcare-data-breach-report/