We have all been there before, technology failing right at the moment you need it the most.

According to new research from Vodafone Business, Australian small-medium businesses (SMBs) have collectively lost an estimated $3.75bn billion annually in the last year, due to unreliable tech.

This research delves into the real challenges, behaviours, and attitudes of Australian business owners and leaders, uncovering some critical insights:

The cost of ‘winging it’:

  • Over half of leaders (56%) optimistic about growth but fear their technology won’t support it.
  • Time-strapped Senior Decision Makers (SDMs) often aren’t proactive, with 51% confessing to ‘winging it’ with their tech strategy.
  • This approach comes at a significant financial cost: 69% report losses due to unreliable tech in the last year, with businesses experiencing an average loss of $3,794 over the last financial year.

Always-on culture: Even though technology facilitates flexibility, it can blur personal and professional life.

  • 61% of business owners admit to regularly working outside standard business hours.
  • 67% of SDMs confess to work from personal spaces, including the couch (47%), bed (41%), or even the toilet (10%).

Reactive tech planning is costing businesses:

  • 41% of SDMs say they review or plan their tech approach only once a year.
  • Without a clear strategy, Aussie SMBs are operating reactively. As pressure builds, businesses look for ways to claw back their time. For example, a quarter (24%) admit to uploading company data to public AI platforms in the last month.
  • The cost of an unclear approach is real: 42% agree that poor planning around tech and systems causes lost revenue or unnecessary expenses.

And from a personal perspective, the percentage of businesses that does not understand the importance of Business Continuity never fails to amaze me.

Matthew Ball, Vodafone General Manager Small and Medium Business, says: “This data shows what we all know – small business owners are ambitious, dedicated and will get the job done no matter where they are. But there’s a real cost, to the tune of billions of dollars, to running your business reactively, waiting for that cracked phone to inevitably stop working or for an EOFY sale to roll around.

“That’s why we’ve introduced new offers to help Australian SMBs proactively take stock of their tech at the beginning of the year.”

 

Methodology: Vodafone Business worked with YouGov Plc to sample 323 senior small-medium business decision makers (with 2-199 employees) aged 18 years and older. Fieldwork was undertaken between 16th – 20th February 2026. The survey was carried out online. The figures have been weighted and are representative of businesses with 2-199 employees in Australia.
*SDMs estimate their business incurred on average $3,793.96 of financial loss in the last financial year due to unreliable technology, multiplied by 988,856 employing businesses of 1-199 people (as of June 2025, ASBFEO), equating to $3,751,680,109.76