Technology advancements have transfigured the traditional technique of business into the digital space by introducing e-commerce. This technology up-gradation has dramatically led to the rise in internet users.
E-commerce or electronic commerce involves digital trading practices for goods and services that require digital devices and internet networks. This swift switchover from traditional to digital trading is also significantly dominating the current business climate and trends in several aspects, including academic, medical, banking, and government. Accelerated internet usage and smartphone penetration have allowed e-commerce to emerge as a game-changer in the Indian business.
Businesses through websites have marked major validation wherein websites are being considered to be the main platform that can ensure competitive advantages and is one of the factors that can determine e-commerce success. Government initiatives like Digital India, Make in India, Start-up India, Skill India, Innovation Fund, and more have contributed to the digital advancement and e-commerce growth in the nation. Also, rolling out the fiber network for 5G will notably intensify the e-commerce business in India.
Developing nations like India understand the elevating significance of MSMEs and see the segment as an opportunity to further expand our economic relevance as we incorporate more of them into e-commerce.
The increased participation of MSMEs in e-commerce has also been reflected by the International Trade Centre (ITC). In one of the ITC’s most recent surveys conducted on 2,262 firms, the statistics indicated that of the firms that engage solely in cross-border e-commerce, 82 percent are MSMEs. The fast-track upward growth trajectory of e-commerce platforms has made it clear how the digital approach can potentially pave way for the rapid inclusion of MSMEs in the industry.
The pandemic gave rise to many major developments in the online shopping segment highlight wherein brands that were traditionally offline, introduced their digital shopping options. The new normal has also revealed how most consumers prefer to shop online as it's a hassle-free process and time-efficient. Industry experts also suggest that many consumers are also embracing social media platforms like Facebook and Instagram to shop their desired lifestyle products. The easy accessibility and the real-time feedbacks through influencer marketing have taken the business game a notch higher for many existing and MSME brands.
An easy navigation website with a seamless checkout experience can garner more consumer traction for e-commerce websites. It’s important for MSMEs to safeguard the digital space, users’ data privacy, and security in order to drive uninterrupted growth. If a person can’t find the product they’re looking for on the e-commerce site, they won’t probably buy it. A good and clear digital navigation flow will allow users to get easy access to information or specific products on the website as per their wants.
The user interface and user experience on the website is an important key to the success of MSME that will also ensure consumer satisfaction. Incorporating the option for multiple payment options in the website will provide consumers the chance to pay using the method they prefer; hence they will be more likely to go ahead with their purchase.
MSMEs should also consider various digital advertising tools like Google Ads, SEO to make sure that there is a familiarity about them among the target audience. The way industries around the globe are transitioning digitally, it can be rightly assumed that the development of e-commerce platforms is the need of the hour to meet consumers’ needs and to enhance MSMEs.
E-commerce has been a tool for major business advancement since its inception. An efficient website can restructure businesses while unfolding prospects to earn a higher profit margin with optimum utilization of resources.