Small and medium-sized businesses (SMBs) are increasingly harnessing the power of the Internet and believe their Web sites positively impact sales, communication, marketing and cost efficiency-among other things-according to the results of a survey released today by 1&1 Internet, Inc., a popular Web Hosting and domain registration company.

The survey, which canvassed some 50,000 1&1 SMB customers in the United Stated, Germany and the United Kingdom (the company's main areas of operation), sought to learn firsthand from SMBs the impact that having a Web site has had on their business, particularly in the first 12 months after going online. The results were analyzed by Prof. Dr. Edgar Einemann of Bremerhaven University of Applied Sciences in Bremerhaven, Germany, in a detailed report called International Comparison of the Economic Effects Resulting from the Implementation of Professional Webhosting Products.

Among Dr. Einemann's findings:

• Almost all respondents (94.7 percent) said their Web presence provides a positive contribution to their company's development
• Half said less than 20 percent of their sales are generated through their Web site; roughly a third said their site accounts for more than 20 percent of sales
• More than 80 percent who experienced sales changes in the past year attribute it to having a Web presence
• More than three quarters of the respondents said their Web site offers major benefits in effective marketing, overall customer communication and reaching and attracting new customers
• Almost all respondents (85.9 percent) are convinced that they are implementing an overall cost-effective new communication tool
• More than two thirds said their web site cost less than $650 in the past year

"The survey's overall conclusion is that maintaining a Web presence has significant positive economic benefits for SMBs," said Dr. Einemann. "It is clearly an example of the extent to which the Internet has penetrated the global economy, and is particularly significant because it is based on a relatively large number of respondents and an international comparison."

"The surprising aspect of the findings," Einemann continued, "is the uniformity of the results. There is no significant difference in the responses between Germany, the UK and the US, and within these countries, hardly any differentiation between the individual industry sectors or regions."

1&1 conducted the survey by emailing its SMB customers and asking them to voluntarily complete an anonymous online feedback form consisting of nine questions. In the U.S., 1,217 respondents were delineated by business type and geographic region.

Just as with the combined survey results from the three countries, the survey responses across business sectors and regions within the U.S. were very consistent.

Andreas Gauger, 1&1's Chairman of the Board, said the survey results were a clear sign of the Web's increasing accessibility and hoped more SMBs would be encouraged to get online.

"The survey findings indicate that, more than ever, the vast potential of the Internet is definitely within reach for SMBs," Gauger said. "These are businesses with anywhere from two or three to 100 employees, and they're reaping the rewards of the Internet just as much as their larger corporate competitors. Clearly, you don't need a massive IT budget or advanced technical resources to have a sophisticated and productive web presence. Those SMBs that still aren't online are truly missing out on taking their business to another level."

Gauger said a major reason SMBs are seeing more benefits from their Web sites is because costs have gone down while value has increased and technology has become more user friendly.

For more information, go to www.1and1.com