New Sage-Sponsored Study Indicates Small Businesses Use Social Networking to Better Serve Customers and Connect With

WASHINGTON, DC, May 18 (MARKET WIRE) --
Sage North America announced today the findings of a recent independent
survey conducted by AMI-Partners which revealed that small businesses'
attitude towards social media is maturing and they are embracing new
online networking tools which are generating quantifiable results that
directly impact their bottom line. Further results show that fifty-seven
percent of respondents found that tough economic conditions were very or
extremely important in their decision to use electronic social media as
part of their business strategy.

"These research findings confirm that the current economy is pressing
entrepreneurs to find new and effective tools to stay on top of industry
trends, and to keep in touch with peers and customers in order to remain
competitive," said Rob King, vice president of strategic marketing, Sage
North America. "Small businesses are embracing social networking as an
affordable, easy and effective way to reduce marketing and operational
costs."

According to the study, more than half of small businesses consider
digital social media to be a significant factor in acquiring and
retaining existing customers.

"I signed up for Known Locally through Sage Spark and got a domain and a
web page in less than 10 minutes," said Moira Milligan, certified public
bookkeeper. "Not only was it quick to do, it was quick to pay off! In a
few days I had a new customer and I know it was from the Known Locally
webpage and submissions."

The survey indicates that connecting with peers and customers are the two
main drivers for small businesses to engage in social media. Moreover,
entrepreneurs regard social media as an online extension of traditional
word-of-mouth marketing and believe social networking will improve their
image among customers and business partners. In contrast, 52 percent of
respondents said that online security continues to be a top concern
preventing them from embracing new social media technologies.

The study revealed that the age of a company has an impact on the triggers
and drivers of digital social media. Whereas younger companies (less than
5 years) are more driven to adopt social media by peers (68 percent),
competitors (49 percent) and clients (65 percent), older companies (more
than 5 years) are driven to using social media by a desire to promote the
company and its products (44 percent). The survey also found that younger
companies are more concerned with finding business services and getting
advice on starting and managing their business as compared to their older
counterparts.

"Social networking has become an increasingly important tool for small
businesses and they are quickly adopting this new marketing tool with over
33 percent more users in 2009 than a year before," said Nikki Lamba,
Associate at AMI Partners. "AMI expects to see continued growth in this
area over the next few years, particularly as small businesses find an
increasing number of their peers, clients and competitors engaging in
social networking."

Further survey findings reveal that:

-- Almost two-thirds (65 percent) of small businesses feel more
comfortable using digital social media as compared to a year ago.
-- Just over a third (38 percent) of small businesses are spending less
time on traditional marketing in order to make greater use of emerging
social media tools.
-- The survey also shows that the lines between professional and social
networking online are blurring. Research shows that small businesses are
using the same sites for both business and personal use, with the exception
of LinkedIn, which is used more for business purposes.

"Small businesses are recognizing the importance of integrating social
networking into their overall business and marketing strategy," added
King. "That's why we created SageSpark.com, an online resource destination
helping entrepreneurs succeed in business as well as stay connected with
peers and the latest technology."

SageSpark.com delivers the elements entrepreneurs need to get started
inexpensively, via free and low-cost services; and get motivated, via a
strong community of experts and peers, sharing best practices and
providing encouragement for entry-level businesses.

About Access Markets International (AMI) Partners, Inc.

AMI-Partners specializes in IT, Internet, telecommunications and business
services strategy, venture capital, and actionable market intelligence --
with a strong focus on global small and medium businesses (SMBs), and
extending into large enterprises and home-based businesses. The
AMI-Partners mission is to empower clients for success with the highest
quality data, business strategy perspectives and "go-to-market" solutions.
Led by Andy Bose, the firm has built a world-class management team with
deep experience cutting across IT, telecommunications and business
services sectors in established and emerging markets.

About Sage North America

Sage North America is part of The Sage Group plc, a leading global
supplier of business management software and services. At Sage, we live
and breathe business every day. We are passionate about helping our
customers achieve their ambitions. Our range of business software and
services is continually evolving as we innovate to answer our customers'
needs. Our solutions support accounting, operations, customer
relationship management, human resources, time tracking, merchant
services and the specialized needs of the construction, distribution,
healthcare, manufacturing, nonprofit and real estate industries. Sage
North America employs approximately 4,100 people and supports 2.9 million
small and medium-size business customers. The Sage Group plc, formed in
1981, was floated on the London Stock Exchange in 1989 and now employs
more than 14,500 people and supports more than 5.8 million customers
worldwide. For more information, please visit the web site at
www.sagenorthamerica.com or call 866-308-2378.

Copyright 2009 Sage Software, Inc. All rights reserved. Sage, the Sage
logos and the Sage product and service names mentioned herein are
registered trademarks or trademarks of Sage Software, Inc. or its
affiliated entities. All other trademarks are the property of their
respective owners.

Contacts:

Monisha Khanna
604-207-8676
monisha.khanna@sage.com

Eric Tang (Canada)
416-422-7200
eric.tang@porternovelli.com

Emily Lotz (US)
404-995-4531
emily.lotz@porternovelli.com

Copyright 2009, Market Wire, All rights reserved.

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