SMB Digitalization Could Add Up To $216 Billion To India’s GDP By 2024
Look around you: the lockdown and global coronavirus pandemic has had massive ramifications on the economy. In some sectors, business has come to a grinding halt (like hospitality), while other sectors are struggling to stay afloat and still others are adapting to the new normal (many restaurants have now changed to delivery-only models, while apparel manufacturers have pivoted to making masks and PPE kits).
Adapting is the only way forward and adoption of digital technologies will be one of the key drivers in determining who will survive. According to the Cisco India SMB Digital Maturity Study 2020, SMB digitalization (small and medium businesses) could add anywhere from $158 to $216 billion to the country’s GDP by 2024. Indian SMBs currently contribute to 30% of the nation’s GDP and employ over 130 million people, forming the bedrock of the economy.
Digitalization: The Way Forward
For the study, Cisco teamed up with International Data Corporation, which collected and analysed data from 1400 SMBs across 14 countries in the Asia Pacific region. According to the study, 68% of Indian SMBs are already on their way to digital transformation, already having digitized various products and services. 60% are aware of their digital transformation by their peers and want to do it themselves to keep up with the competition. And another 50% want to digitize to cater to changing customer preferences. (This is important to note – according to experts, customers who have started using digital platforms are unlikely to go back to offline transactions post the pandemic).
So which areas of business are SMBs looking to digitize? The study shows that cloud technology is at top priority (16%), followed by security (13%) and purchasing or upgrading IT infrastructure software (12%). There are some hurdles to digital expansion, though. 16% of the respondents say there is a shortage of digital skills and talent, as well as a shortage in the right technologies.
In spite of the hurdles, digitizing is the only way to sustain, going forward. As per the study, SMBs that have a higher level of digital maturity will enjoy twice as many benefits in terms of revenue and productivity compared to those that are indifferent towards digitization.
Paytrac: Empowering SMBs
With the digitization of payments, merchants now have money coming in from multiple sources, and keeping track can be a tedious task. Paytrac can help overcome that problem.
Paytrac is an app that tracks incoming and outgoing payments from multiple sources like UPI, QR codes, PoS and online bank transfers. The app automatically scans payments and puts them all together in an easy to read dashboard that you can filter by mode. Get an overall glimpse of your daily, weekly and monthly settlements and view your business performance over a 28-day period. (Paytrac also supports cash transactions, which can be entered manually. Select cash in or cash out, then add the name of the person linked to the transaction, the amount and then save).
The app also serves as an order management tool. Customers can send in their orders and shopping lists via WhatsApp and Paytrac will scan it and capture it. Then you can upload it into the orders section, edit it and generate a manual receipt.
Paytrac also makes it convenient for you to stay connected to your customers with its broadcast feature. You can send mass messages to your customers via WhatsApp, Telegram, Facebook and SMS using this feature. Create a new message or choose from an existing message template. Once your message is ready, just hit send on your platform of choice! The broadcast feature allows you to update your customers about shop timings, delivery schedules, deals, discounts and more – so that when it’s time to make a purchase, your customers will come to you first!
All these nifty features come in an app that is free, safe and secure (Paytrac never asks for your personal information). So why not download it today and see how to can positively impact your small business?