The role of e-commerce in MSME’s growth story
Technological progress has the traditional business technique through the introduction of. transformed into digital space E-commerce. This technological upgrade has resulted in a dramatic increase in Internet users.
E-commerce, or electronic commerce, encompasses digital trading practices for goods and services that require digital devices and internet networks. This rapid transition from traditional to digital commerce is also dominating the current business climate and trends in several aspects including science, medicine, banking and government. The accelerated use of the Internet and the penetration of smartphones have enabled e-commerce to establish itself as a game changer in the Indian business.
Business through websites has seen significant validation that sees websites as the primary platform that can secure competitive advantage and is one of the factors that can determine the success of e-commerce. Government initiatives such as Digital India, Make in India, Start-up India, Skill India, Innovation Fund and more have contributed to digital advancement and the growth of e-commerce in the country. In addition, the expansion of the fiber optic network for 5G will significantly intensify the e-commerce business in India.
Developing countries like India are aware of the increasing importance of MSME and see the segment as an opportunity to further expand our economic relevance by increasingly integrating it into e-commerce.
The increased participation of MSMEs in e-commerce is also reflected in the International Trade Center (ITC). In one of the most recent ITC surveys of 2,262 companies, the statistics showed that 82 percent of companies that are exclusively involved in cross-border e-commerce are MSMEs. The rapid upward growth path of ecommerce platforms has made it clear how the digital approach can potentially pave the way for the rapid integration of MSMEs into the industry.
The pandemic led to many important developments in the Highlight online shopping segment, where brands that were traditionally offline launched their digital shopping options. The new normal has also shown that most consumers prefer to shop online as it is a hassle-free process and time efficient. Industry experts also suspect that many consumers also use social media platforms such as Facebook and Instagram to shop for their desired lifestyle products. The easy accessibility and real-time feedback from influencer marketing have brought the simulation game a step higher for many existing and MSME brands.
A simple navigation website with a seamless checkout experience can add more customer appeal to ecommerce websites. Protecting digital space, user privacy, and security is important for MSMEs to drive uninterrupted growth. If a person cannot find the product they are looking for on the ecommerce site, they are unlikely to buy it. A good and clear digital navigation flow allows users to access information or specific products on the website according to their needs.
The user interface and user experience on the website are an important key to MSME’s success, which also ensures consumer satisfaction. The integration of the multiple payment option option into the website allows consumers to pay using the method they prefer; Hence, they are more likely to proceed with their purchase.
MSMEs should also consider various digital advertising tools like Google Ads and SEO to make sure they are known by the target audience. Given the way industries are digitizing around the globe, it is fair to assume that the development of e-commerce platforms is the order of the day to meet consumer needs and empower MSMEs.
E-commerce has been a tool for great business advancement since its inception. An efficient website can restructure companies and at the same time open up perspectives in order to achieve a higher profit margin with optimal use of resources.