The past year has given a significant blow to small business owners. The COVID-19 pandemic has certainly hampered their operations, making them struggle to gain considerable leads. However, with changing customer behavior during the lockdown, these businesses have acknowledged the need to transform their business models, especially digitalization. In a report by Salesforce, coping mechanisms of small businesses have been studied. It stated that 65% of small companies had amplified their incorporation of technology due to the pandemic. Even further, 55% have admitted that their customer interaction is being governed by technological means. These stats surely give an insight into the support small businesses are garnering and the way ahead for them.
Settling with the New Normal: Post COVID Tips for SMEs
Innovation & Transformation are two things that have been identified as critical aspects of business recovery in the ongoing and post-COVID-19 pandemic period. But how can small businesses around the globe make better use of their limited available resources to sustain themselves in the market? Here is what the face of small businesses should look like in 2021 and beyond.
- A holistic digital transformationThere are no brownie points for guessing that digitalization is a must for every business, as customers of all industries are becoming digital enthusiasts. They need solutions in a click, and to remain relevant, companies must serve them just that. In the new age, you must digitize your business presence, keeping a purpose in mind. As customer behavior changes, so should your approach. For instance, Giant Food Store incorporated the concept of curbside pickup. This means customers can place orders from their phone and be notified when a staff member can load their order. It will not only save them the waiting time but also provide a smoother experience. We are referring here that you need to attach some purpose to why digitization is essential to your business.
- Take some societal responsibilityPeople have changed their outlook towards businesses in the pandemic period. They have become increasingly aware of how small businesses have suffered during the period and have not stepped back from catering to their customers. Firms with a definite cause have received more support, and the trend is expected to continue. For instance, businesses associated with the 1% model are getting more support from customers. This is because the model suggests associates donating one percent of their profit, product, equity, and time to a worthy cause. Giving back to the community will be one of the prioritized global agendas as we move forward to the post-pandemic new normal. Taking up societal responsibilities will help companies grow stronger affinity with their customers, investors, partners, and employees in the long run.
- Hold attention within a few secondsCompetition in the digital world is cut-throat, and if you fail to capture your audience’s attention, they will probably choose a competitor for their next purchase. However, customers are looking at the bigger picture. They do not just want to purchase something and exit the website; instead, they are seeking experiences. For instance, if a customer searches for the best digital camera, they are likely to redirect to a page that offers crisp and precise information, adding to a smooth experience. Read More: What eCommerce will look like in 2021?
How can SMEs make it big?
As per a study on recovery strategy for SMEs during the pandemic, following a methodological approach can act as an insulator for small businesses. Looking closely, you will find many SMEs that fail early due to already existing challenges such as
- Little or no investment and knowledge of the market.
- Lack of managerial and technical skills
- Limited economic resources
- Lack of formal planning and technical skills
The absence of the above factors makes an SME vulnerable to many internal and external events, including
- A decline in financing options
- Critical employees leaving the enterprise
- Reduction of product demand
- Competitor getting an advantage in the market
If you aim at making big in the long run, here is what you must do:
- Innovation: Keep an eye on the upgrades or development of new products that meet the current and upcoming needs of the market.
- Optimization: Make sure you improve the business processes to reduce waste and avoid any extra costs.
In Essence
It is all about what small businesses bring to the table in the present day. The trendier your technological incorporations are, the more customers will incline towards your business in the coming days. P.S Contact us for more information on establishing your eCommerce business!