Small businesses have contributed significantly to India’s GDP growth. Our country is one of the fastest growing economies in the world and the expansion of Small and Medium Enterprises (SMEs) has played a critical role in the same. With SMEs being the backbone of the Indian economy, it is imperative to identify key drivers that can help the SME sector flourish without any hindrance. Below are some of the latest small business trends that will set the course for the future of SMEs.
- SMAC Technologies
With the advent of digitization, a large number of businesses are adapting technologies for providing quality products and better services. SMEs are also planning to introduce SMAC technologies in order to compete with the larger players in the market. SMAC which combines technologies like social, mobile, analytics and cloud be extremely beneficial in enhancing the overall business performance of SMEs. It will not only aid small businesses to sell their products and services efficiently but also make customer engagement more personalized. The introduction of SMAC technologies is certainly one of the finest small business trends to watch out in 2020.
- Availability of easier loans
One of the major obstacles that SMEs face is getting access to working capital loans to carry out their daily operations. SMEs also require substantial capital for their expansion. However, most SMEs fail to avail a business loan due to their inability to provide collateral, poor credit score and stringent eligibility criteria set by the lenders. But nowadays, due to the increasing number of financial institutions, SMEs have a wide range of financing options at their disposal. Various online lenders and NBFs offer small business loans to SMEs at competitive interest rates. Flexible repayment options and less processing fee are some of the other advantages of availing an SME business loan with a leading financial institution.
- Rise of Internet of Things (IoT)
In 2020, the Use of IoT system might increase exponentially. A large number of SMEs might make use of the Internet of things for extending internet connectivity into physical devices and everyday objects. This will make the business flow more efficient. However, the introduction of the IoT system would require a new approach to both cybersecurity and resource consumption.
- Social media will remain a top priority
Most SMEs use social media to promote their products and services in a better way. Social media plays a vital role in their marketing strategy. Facebook has been one of the most preferred social media channels for expanding the reach of SMEs. Also, Facebook keeps introducing new features to help them connect with new customers from different cities, regions or countries.
Therefore, making optimum use of social media for marketing and customer engagement is one of the key small business trends to watch out for in 2020.
So, if you are an entrepreneur owning a small business, you can consider making use of all the above-mentioned business trends for expanding your business and taking it to greater heights.
