Research has revealed that Tall Poppy Syndrome is discouraging small business owners in New Zealand from celebrating their achievements, despite widespread recognition of the benefits that celebrating milestones brings.

A study conducted by Xero, which surveyed small business owners from seven countries including Australia, Canada, New Zealand, Singapore, South Africa, the United Kingdom and the United States, has found that New Zealanders are both the most likely to have reached a business milestone in the past year (72% compared to an international average of 57%), but also among the least likely to celebrate these achievements.

The research highlights that almost a fifth (17%) of New Zealand small business owners do not celebrate any business wins. The most common reason given was that celebrating is not in their nature (34%) and because they are always focused on their next goal (32%). By contrast, the main reason cited globally for not celebrating was simply overlooking it (53%).

Cultural tendencies

Xero New Zealand Country Manager, Bridget Snelling, pointed to the country’s unique cultural disposition as a reason for this hesitancy. She commented that, “We know small business owners are hesitant to make a big deal out of their success and that they’re often stretched for time. But there are many reasons why taking the time to celebrate business wins is good for business. Now we are putting evidence in front of them that shows that it doesn’t always have to be all work and no fun.”

Despite the challenges, the benefits of celebrating business milestones are recognised by many New Zealanders. The findings showed that 79% believe that celebrating milestones positively impacts business performance, while 81% said it boosts employee morale and 80% highlighted improvements to employee wellbeing. Still, only 57% of those surveyed view celebrating milestones as important, suggesting a disconnect between understood value and real-world practice.

Generational differences

The reluctance to celebrate was particularly pronounced among older business owners. For those over 60, 59% of New Zealand respondents said they do not celebrate business achievements at all. This contrasts with 39% for the same age group globally, pointing to a stronger cultural effect within New Zealand’s senior business community.

Emotional journey

The same research explored the emotional responses associated with achieving business landmarks. Before reaching a milestone, about half of the business owners felt motivated, with 43% feeling excited. However, 20% experienced anxiety, 17% felt uncertain and another 17% reported stress. After achieving a milestone, these feelings were usually replaced by relief (43% – the highest among all countries surveyed), happiness (58%), pride (55%) and ongoing motivation (48%).

“This rollercoaster happens while owners are being buffeted by macro-economic conditions, with many reporting an impact to reaching their goals. So when small business owners feel they have achieved something worthy, it makes it all the more important to double down on this moment by pausing to celebrate and affirm their journey, purpose and business success,” says Snelling.

Milestones and moments

The research also explored what constitutes a significant milestone for small business owners. The majority of New Zealand respondents (58%) identified being able to pay themselves as a key milestone, a higher proportion than in any other country surveyed. Having repeat customers (48%) and receiving positive reviews (41%) were also regarded as notable achievements, while launching the business itself (36%) and reaching certain numbers of social media followers (24%) proved more important in New Zealand than elsewhere.

Snelling commented: “When you talk to small business owners, the reality is it can be small and big moments when they realise they’re onto something good.”

Pete’s Natural founder from Motueka, Mrs Pete, shared a personal experience: “I remember the first time our bakery sold more of our natural soft drinks than we did of the Coca-Cola range. That really stopped us in our tracks. It was an early made-it moment when we really started to think that this could be more than just a side project.”

Approaches to celebration

When New Zealand small business owners do choose to celebrate, they spent on average NZD$2,643 over the past 12 months. However, some remain cautious about potential costs or fear setting expectations among employees that might be difficult to sustain in the long term.

Snelling addressed these concerns by saying, “Celebrating business wins and unique made-it moments doesn’t need to come with a big price tag. From potluck morning teas, to an office ‘bell ring’, it’s taking that moment in time to reflect and celebrate, not how much you spend, that’s the important thing.”