Mumbai: Exporting revenue accounts for the majority of the total revenue for SMEs, a study by logistics and supply chain management giant, FedEx, revealed.
In a study titled, “Global Trade in the Digital economy: Opportunities for Small Businesses”, FedEx states that 69% of Small and Medium Enterprises (SMEs) based in India surveyed forecast an average growth of 26% in export revenues for the next 12 months. In that light, supply chain improvements and multi distribution channels (like purchases through brick and mortar retail, e-commerce and mail orders) are playing a key role. Pebble, a mobile accessories brand, for example, earned most of its revenue from presence on e-commerce websites like Amazon, Flipkart and Snapdeal.
The SMEs surveyed are open to technologies like connected factories, 3D printing, robotics, Internet of Things and a number of them are already benefitting from it. 87% believed that technology innovation will help them export more.
Also, with the far-reaching arm and popularity of social media, 90% of SMEs based in India surveyed, use social media platforms for sales, the report added. This, in turn, as trends have had it, is giving rise to another crop of startups that help businesses establish their presence on social media. Organisations like TSD Corp, for example are one among many startups that are helping brands in their social media presence. They compete with established organisations like Webchutney, Avian Media, Wat Consult etc. Pebble, an SME that produces power back-up and other electronic products, for example whips up most of its revenue from presence on
Logistics came about to be an important differentiator in the responses. 97% of the SMEs surveyed agreed logistics played an important part in their export business.
SMEs or the category of Micro, Small and Medium Enterprises are firms employing up to 250 employees.
Source: The Economic Times
