Three in four Irish businesses eyeing international expansion

Almost three-quarters of Irish businesses are planning to expand into other countries within the next two years, according to a report by online payments giant Stripe.

The report from the fintech draws on aggregated transaction data from its platform as well as surveys with 1,700 business leaders and 11,500 consumers in Ireland, Australia, France, Germany, Japan, Mexico, Singapore, the UK and the US.

The company’s data also indicated that 15 per cent of Irish businesses expect more than 51-75 per cent growth internationally over the next five years.

Stripe said businesses in Ireland feel there are fewer restrictions on how they operate today compared with the past. Almost half think it is easier to run an international business today than it was five years ago, while about a quarter says they find it harder to do so.

Student accommodation: A market plagued by bed shortages, rising rents and 51-week leases

---

An attempt to buy the next election with a giveaway budget would be a gross miscalculation

---

The outlook for interest rate cuts is changing - so should Irish borrowers be worried?

---

IDA gives Intel €30m in aid package

---

The data found 83 per cent of sole proprietor businesses in Ireland now sell internationally. At the other end of the business spectrum, large traditional enterprises are “leaning into” cross-border expansion as well, the report said. There was 28 per cent growth in Irish enterprises selling internationally via digital channels on Stripe last year.

The Irish figures reflect well against a wider global picture that showed 50 per cent of businesses plan to expand further internationally in the next two years.

The trend of increased online trade also extends to consumers, with 83 per cent of Irish people open to the cross-border purchase of physical goods in comparison with 68 per cent globally. The figure rises to 72 per cent when buying digital services.

While many of the fastest-growing digital export routes are between neighbouring countries, the report found that Ireland was the fastest-growing digital export destination for Australia in 2022. Digital exports refer to the cross-border sale of digital products and services, as well as physical goods, via digital channels.

Growth in these types of exports from Australia to Ireland grew 300 per cent in the year, although the report noted the relationship is “nascent” and starting from a relatively small base. It said the increase was driven by the return of travel and tourism.

There was also a 90 per cent increase in digital exports from the UK to Ireland, as well as a 78 per cent increase from Ireland to France.

Stripe said the data indicated that both businesses and consumers are optimistic about buying and selling more outside of Ireland.