NZ business embracing AI but missing customer connections

The 2025 .nz research surveyed businesses and consumers to get a snapshot of how New Zealanders use the Internet to run, or engage with, businesses.

The research found that nearly half of businesses, 47 percent, don’t have a website. This number is even lower for sole traders, with just one in four having a website.

"I understand the thinking," says InternetNZ GM Customer and Product Tim Johnson.

"You’re just a one or two person operation, and most of your customers come through word of mouth so why would you need a website?

"The problem is, that’s not how your potential customers see it," says Johnson.

Nearly three-quarters of the individuals surveyed said a business or organisation’s website is the most important tool for engagement.

More than half of consumers surveyed see a website’s usefulness in providing a means for online sales - but only a third of businesses see it that way.

"It’s potentially resulting in missed connections," says Johnson.

"There’s a heavy reliance, especially for small businesses, on social media. But this research shows people are using social media less, and the last World Internet Project report found most people think social media makes the world a worse place - it’s not necessarily the right place to pitch business now."

InternetNZ is the manager for New Zealand country code top-level domain, .nz - the research also tested perceptions of .nz.

The survey has consistently shown that there is high trust in websites with a .nz address - this year, 74% of businesses and 62% of consumers agreed a .nz domain name is more trustworthy than other domains, such as .com.

"Trust is a really big issue for Internet users right now," says Tim.

"With AI booming, there’s uneasiness about what’s legit and what’s not. Because we have such strong processes in place, people feel confident about websites on the .nz domain."

The survey also asked about AI use for the first time, and found that while businesses seem to be embracing it, consumers’ use of it varies depending on their age group.

To see more findings and a summary report, go to the .nz consumers and businesses research page.