As Chair of the Retail Consultation Forum, I am acutely aware that Covid-19 has brought particular challenges for retailers - large and small, across the country. Trading online is a very important route for retail businesses to grow and improve their business in the current crisis and will be an important element in their recovery over the longer term.
The objective of the €2 million Covid-19 Online Retail Scheme - a competitive scheme, administered on my Department's behalf by Enterprise Ireland, is to support companies in the indigenous retail sector who have already started an online journey, to further enhance and strengthen their online presence, which will have the most immediate impact enabling them to respond to both domestic and international consumer demand with a competitive online offer.
My Department proposed this Scheme in response to the COVID-19 crisis and the urgent need for retail companies to achieve a step change in online capability. Applicant companies must be an indigenous retailer, employing 10 or more people, have an existing online presence (e.g. website or social media), and have a retail outlet through which they derive the majority of their revenue. Successful applicants will be awarded funding to support a maximum of 80% of the project costs. Grants ranging from €10,000 to €40,000 will be awarded under the competitive scheme.
This Scheme is not about taking the first steps; it is about raising the bar, in an informed, planned and strategic way. Further details on this Scheme are available at https://www.enterprise-ireland.com/en/funding-supports/online-retail/online-retail-scheme/online-retail-scheme.html.
The Scheme closed for applications at 3pm on 27 May 2020 and eligible applications are currently under assessment by Enterprise Ireland against the criteria specified in the Scheme. Once the assessment is complete I will be in a position to announce the successful applicants and the funding that has been allocated to them under this Call of the Covid-19 Online Retail Scheme.
The Deputy may be aware that I recently announced, with Minister for Communications, Climate Action and the Environment, Richard Bruton, a major expansion of the Trading Online Voucher Scheme to help small and micro enterprises, with up to 10 employees, including those in the retail sector, to get online quickly.
The Trading Online Voucher Scheme is being expanded by €14.2m after the Local Enterprise Offices received 3 years’ worth of applications in 3 months following the outbreak of COVID-19 in Ireland. Following a previous expansion of the Scheme in early April, total additional funding for the Scheme is now almost €20m in 2020.
Under the Scheme, small businesses can claim up to €5,000 in two vouchers worth €2,500 each. The Scheme also facilitates subscriptions to low-cost online retailing platform solutions to quickly establish a retailing presence online.
I am committed to supporting the needs of the retail sector in developing their online capability and enhancing their competitiveness and will continue to review supports in this particular area, working with the industry through the Retail Consultation Forum which I chair.
