After years of uncertainty, global suppliers are feeling optimistic about their businesses. What is driving their confidence?
After years of market uncertainty, suppliers around the world are experiencing a newfound sense of optimism.
In Taulia’s latest Supplier Survey, a striking 85% of respondents felt either somewhat or very optimistic about the year ahead for their business. The percentage of suppliers who described themselves as very optimistic remained strong at 56% -- down slightly from 57% last year, but a world away from the caution seen in 2022, when just 18% of suppliers felt the same way.
Meanwhile, pessimism has all but vanished from supplier sentiment. Just 3% of respondents described themselves as either somewhat or very pessimistic – again, a considerable change from 2022 when 10% felt this way.
Larger companies, with their greater stability and resources, are leading the charge in optimism. Suppliers with more than $5 billion in revenue recorded an optimism score of 4.47 out of 5, compared to 4.28 for businesses with revenues under $10 million. However, even small businesses – which made up nearly half of the survey’s respondents – are feeling high levels of confidence.
“Our latest findings indicate that businesses are turning a corner. The focus is shifting from merely surviving economic challenges to actively planning for growth and innovation, with a positive view of the future,” says Cedric Bru, CEO of Taulia.
Global trends in optimism
As always, a closer look paints a more nuanced picture. Not all regions are experiencing the same surge in positivity, and Western Europe, in particular, has lagged.
Argentina saw the biggest increase in optimism at the country level, with Argentinian suppliers’ optimism score rising from 4.06 to 4.22 year-on-year. This could be attributed to ambitious new economic policies aimed at tackling sky-high inflation in the country. Similarly, Spain’s optimism score rose from 3.98 to 4.11, likely reflecting strong economic growth in 2024 compared to its European neighbors.
On the other hand, optimism declined most significantly in France (from 4.05 to 3.94) and Germany (from 3.84 to 3.74), where economic and political challenges have weighed heavily.
A focus on growth and innovation
With optimism rising, suppliers are shifting their focus toward expansion and innovation. Growth has now emerged as the top priority, with 53% of respondents citing it as top of mind – overtaking inflation for the first time in recent years.
Inflation, which was the leading concern in last year’s survey, at 50%, has now dropped to being top of mind for just 37% of respondents. Relatedly, concerns about interest rates have also declined, from 32% last year to 27% this year.
At the same time, AI is making its way into suppliers’ strategic priorities, with 38% of respondents highlighting it as a key focus. This is the first time AI has been included in Taulia’s Supplier Survey, signaling its rapid rise as it promises to reshape industries and finance. A separate Taulia study recently found that 92% of finance leaders expect to be using AI-generated data insights within the next year, while 57% are already leveraging AI for decision-making.
The latest findings indicate that businesses are moving beyond immediate macroeconomic concerns to focus on growth and adapting to new technologies. While challenges remain – particularly in some regions and industries – the overall sentiment among suppliers is one of optimism and opportunity.
Other key findings from our 2024/25 Supplier Survey include:
- 51% of suppliers are paid late by their customers on average
- 63% are interested in taking early payments
- 45% are interested in taking early payments most of the time
The Taulia Supplier Survey analyzes responses from more than 9000 businesses across 129 countries. For more insights, read the full report.
