Have you been dragging your feet about developing a disaster recovery plan? Maybe you don't want to take on the costs, or perhaps you have a DR plan, but you are one of the 36 percent of businesses who feel that your existing plan is insufficient. If you don't have a solid DR plan, or a DR plan at all, you are not alone. However, you do need to realize that not having one seriously cripples your chances of ever reopening, or surviving financially even if you do reopen for business. Here are the surprising statistics on disaster recovery.
1. Half of All Businesses Have Experienced an Outage
About 50 percent of all businesses have experienced some disaster bad enough to halt operations. The average downtime lasts about 18.5 hours, and each hour racks up some serious charges. The average small business faces a loss of around $8,000 per hour, while medium-sized businesses lose between $74,000 and $90,000 per hour, and large enterprises rack up costs of between $700,000 and $800,000 per hour for downtime.
2. Over 80% of Outages Last Longer Than a Day
Of those outages, 81 percent kept the business closed for a day or longer, and 80 percent of those companies were out of business within three years of the outage. A whopping 40 percent of those businesses were closed for good within one year of the outage.
3. Only 35% of Small Businesses Have Disaster Recovery Plans
About 36 percent of these small businesses want to invest in DR plans, but simply feel they cannot afford it. Only about one-quarter of businesses have discovered the low-cost option of cloud-based disaster recovery plans. Cloud-based DR is an excellent, affordable way to achieve the critical off-premises backup solution, and is readily compatible with any type of IT infrastructure. Cloud-based DR also provides the popular desktop disaster recovery solutions desired by about 63 percent of businesses that plan to invest in cloud-based DR products.
4. Only About 35% of Outages are Actually Caused by Natural Disasters
When businesses think of disaster recovery, most often they picture large-scale natural disasters like hurricanes, earthquakes, and out-of-control wildfires. While these are certainly important to consider and plan for, the majority of outages have nothing to do with headline-news disasters. About 45 percent of significant outages are operational, and 19 percent are due to human error. Data breaches and other cyber threats are another frequent cause. Unfortunately, 70 percent of the successful attacks on businesses came from insider threats like employees and contractors. Only 35 percent of significant outages are caused by natural disasters. Of those, hurricanes are the most common culprit, bringing power outages, floods, customer loss, and forced closures.
5. Three-Quarters of Companies Believe Their Disaster Recovery Plans are Inadequate
Of the businesses that undergo significant outages without having adequate disaster recovery plans in place, only 10 percent survive. When a business is hit by fire, 44 percent never are able to reopen for business, and 33 percent do not survive for another three years. About 62 percent of companies report having DR solutions but still want to expand their plans and solutions. Around 40 percent of businesses feel that their plans are only "fair" or "poor".
You don't have to be among the thousands of businesses that close and never reopen again. You can protect your business from whatever disaster might come along, and the price is surprisingly affordable. Learn more about Backbox and our hearty, reliable, affordable disaster recovery services today.