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The Digital Economy Is Moving Faster Than Ever: Are U.S. Small Businesses Keeping Up?

In this report, FreshBooks examines which U.S. states and industries are adopting digital software and technology fastest given the continued disruption of the pandemic.

Here’s What We Found

Businesses in some states were better positioned to adopt digital technologies, allowing them to prosper despite the economical effects of the pandemic.

Online Payments = Revenue Growth

Businesses using more digital tools (i.e. payment processing, e-commerce functionality, productivity software) had 61% higher revenue increases than those that did not.

eCommerce Adoption Spiked

Overall, there was a 24% increase in the adoption of e-commerce platforms through tools like Amazon Web Services, which experienced a 97% adoption increase, eBay (66% adoption increase), and Shopify (44% adoption increase).

Massive Need For Communication Products

Communication-based SaaS products experienced a 141% increase in adoption, file management platforms experienced a 251% increase, and payroll providers increased by 210%.

So, Which States Led Digital Adoption?