eCommerce as the Pathfinder in the Expansion of MSME!

The Indian economy has a special significance for micro, small and medium enterprises (MSME) as they play a pivotal role in strengthening the borders and corners of the overall financial structure of the country. Thanks to the thriving pace of digitalization and higher connectivity to the Internet, the online web space has been transformed at an unprecedented speed. Innovative entrepreneurs engaged in the eCommerce businesses with specialization into the cross-border variety are effectively adopting and mastering new and hybrid techniques to comply with the national and international trade practices

Snapshots at a Glance

eCommerce is a power booster for the longevity of the MSMEs as the convenience and ease of quick transactions has enabled even the small players to aim for the International skies. According to the data revealed by the India Brand Equity Foundation, considering the current upward trajectory of the eCommerce run, India is likely to surpass the US to become the world’s second-largest market by 2034. It is expected that India's revenue generation may achieve a whooping record of $84 billion in 2021. Not to forget, the expected number of online shoppers will reach 300-350 million by 2025.

Role of eCommerce in Driving MSME in India

A technology-driven and customer-centric marketplace is a prerequisite for expanding the MSME market in India. The following determinants highlight the thriving pace of eCommerce in the country

Expanding Outreach

eCommerce gets its wings from the Internet technology that expands its outreach even to the international markets. It saves a fortune on establishing a visual appeal to convince global customers by incurring a minimal investment. Narrowing the lanes of the online marketplace, the online marketplace routes all the international customers to reach a single virtual marketplace.

International Reputation

Transparency and worthiness are the charms of the online marketplace. Anyone from any geographical location can get a verified track record of a company’s performance and usefulness. Through the power of words, customers can reach out to the most credible and worthy provider in a few clicks.

Less Marketing Costs

Traditionally, companies need to invest vast amounts of money in understanding their targeted customers, which is not possible in the case of MSMEs. eCommerce websites use intelligent online analytics to tap into the users’ browsing history and suggest similar services for their needs.

Enhanced Disintermediation 

One of the most significant advantages of using eCommerce as the backbone of modern MSMEs is disintermediation. The emerging power of digitalization in the hands of small players encourages them to take risks and reach out to their customers. It is the power that says, yes, you can do it!

The Bottom Line

eCommerce is the oxygen for the mushrooming fleet of micro, small and medium enterprises as they rely highly on this platform to fulfill their entrepreneurial dreams. Even the government has launched many new programs and initiatives to boost the spark in the highly bullish virtual world. Having built the right environment, the online market moves into the latest phase of sustainability, growth, and mutual gains in the longer run.