written by | September 15, 2021

COVID Impact: 99% of Indian SMBs looking to offer contactless services permanently

An increasing number of Small and Medium Businesses (SMBs) are focusing on contactless payments, mobile orders, and digital payments with a substantial majority of businesses (83%) having at least some of their operations online, according to a ‘Small and Medium Business Trends’ Report.

72% of SMBs across the world have increased their digital presence in the last year, according to the global survey conducted by The Harris Poll on behalf of Salesforce, with 99 percent of Indian respondents planning to offer such contactless services permanently.

The survey was conducted among 2,534 Small and Medium Business (SMB) owners and leaders across various countries, including India. The businesses that were surveyed had their annual revenue under $1 Billion (or the local equivalent) and employed between 2-200 people.

Customer convenience and security remained the topmost reasons for shifting to contactless services like secure digital payments (78%), mobile orders (68%), and online customer service (62%). With 83% of respondents admitting to having some form of online presence like social media, websites, emails, and digital marketing, it comes as no surprise that 95% of these have switched to digital services in the last year alone, considering the worldwide economic shutdowns due to COVID-19.

Key Insights

  • The report revealed that most of the growing SMBs (71%) said that their businesses survived the pandemic because of digitization.
  • Effective use of technology has proved a game-changer for small businesses to help build their businesses and establish a foundation for future growth.
  • Three in five Small Business Leaders said that their company could not have survived the pandemic by using technology that was used by them 10 years ago.
  • More and more businesses are now investing in technology as tech usage has increased manifold especially since the onset of 2020.
  • CRM or Customer Relationship Management system is a clear winner for many SMBs for making the best use of remote working scenarios and providing efficient digital customer service experiences.

According to the survey, the top motivators for the growing use of technology and digital services include -

  1. Increasing productivity, with 62 percent of respondents choosing it as a motivating factor
  2. Improving business agility and growth, with 60 percent considering it as a distinguishing feature
  3. Increasing data security was an important factor for as many as 54 percent of the business owners surveyed

At least 59 percent of the SMBs interviewed said that they had expanded ways that the customers can reach them while 48 percent said that they valued deepening relationships with customers over one-time transactions.

It is noteworthy that India was ranked ninth in the Asia Pacific digital maturity ranking in a study conducted by Cisco of 1,424 SMBs in the Asia Pacific Region. Post the COVID-19 pandemic, the importance of adopting digital channels was quickly realized by the small business owners so as to sustain their businesses and provide better customer service. In these uncertain times, small and medium businesses must leverage technology to enhance their digital presence and foresee challenges by taking operational shifts to keep moving forward.

For the latest updates, news blogs, and articles related to micro, small and medium businesses (MSMEs), business tips, income tax, GST, salary, and accounting, follow Khatabook.

Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.
×
Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.