Research supported by Google New Zealand, InternetNZ and the Innovation Partnership has found the economy could be $34 billion larger if businesses used the internet more effectively.
The research, by Australasian consulting firm Sapere Research Group, has found many businesses are using online tools to find new customers, improve their data collection and customer service, and do their work in the cloud.
Sapere says such businesses are 73 percent more productive than businesses which make little use of the internet.
Innovation Partnership chairperson Murray Sherwin says the purpose of the survey was to get a better handle on how businesses are using the internet and the potential for greater use.
He says the first step is to make businesses aware of the potential gains that are available through smart internet usage.