As soon as the COVID strike on Indian soil, our Prime Minister, Mr. Narendra Modi, made a swift decision to implement the national lockdown so that the government could save as many lives as possible from the deadly COVID virus.
However, the lockdown which lasted 6 months had an impact on both small entrepreneurs and wage earners as businessmen lost demand for their products resulting in huge loss and wage earners were dismissed from their respective jobs.
Our Prime Minister took note of the issue and motivated citizens to start up and promote local products in global markets, and advised people to convert from job seekers to job givers. Besides, the government has also launched many programs to make it easier for borrowers to get business loans with fewer demands and low interest.
As there is a low sense of demand among the consumer, the consumers faced difficulties on how to capture the share of the wallet from customers. Ecommerce platforms have emerged as the “ Knight in the Shining Armor ” and saved them by showcasing the entrepreneurs’ products on their online platform.
So in this blog, we are going to tell you how e-commerce has helped small businesses increase their sales.
Paytm Mall Maha Shopping Festival
Although the Maha Shopping Festival for Paytm is the year-over-year phenomenon, however, this year Paytm has focused on boosting MSME activity which has been going through a tough time due to Covid. The festival will take place from October 16 to October 23, where it will showcase over 4000+ local brands supporting artisans, women craft entrepreneurs, and more. and the plethora of products at good prices during the flash sale between 11 am and 3 pm with the additional discount on payment by credit card with the additional cash back. Although this event is shorter in duration, it will provide good financial support to these entrepreneurs.
Read also: What is an MSME loan and who gets it?
MSME Accelerate by Amazon
The program is run by Amazon providing discounts, offers and cash backs for businesses to accept products in bulk. It was an Amazon initiative in June to help MSMEs recover from the aftermath of Covid
Flipkart Samarth Program
Launched in July 2019, the Flipkart Samarth program provides an online platform for often overlooked communities comprising artisans, weavers, artisans by helping them set up the online business at a reduced cost and providing them with support dedicated to cataloging, account management, business insights, vendor and warehousing support. Over 5,000 artisans, weavers and small businesses have benefited from this program.
9 day sales program by Grofers
Grofers aimed to sell 9 crore items produced by its partner, which also included the locally produced 5.5 crore items. He partnered with around 800 micro, small and medium enterprises for the Grand Orange Bag Days (GOBD) in August. The company provided around Rs 50 crore of working capital support to its small manufacturing partners in a month.
Shopclues ‘Atma Nirbhar’ Section
After the Prime Minister’s announcement, Shopclues introduced an Atma Nirbhar section on its platform which includes categories of locally produced products such as clothing, footwear, home and kitchen, watches, electronics, etc. . ‘badges on all products to accompany the movement to achieve the motto’ Vocal for Local ‘.
A social commerce business launched by the Farm to Retail start-up Agritech Crofarm works with reseller partners to facilitate contactless home delivery of Agri products to end consumers.
E-commerce has been able to add value for MSMEs by providing wider market access and efficient supply chain management to contactless end consumers and by performing well in accordance with COVID guidelines from the government and WHO.
Due to the liquidity crisis created in the market by the continued foreclosure, e-commerce has been able to channel the business with digital payments, ease of access, etc., creating more value for customers.
For MSMEs to survive, they must embrace the digital revolution and climb the train of other small brands, which understand the power of digital technology and the reach it offers that breaks the limited geographic boundaries prevailing in offline channels.
The digital orientation of e-commerce has helped bridge the gap between supply and demand during the lockdown and has helped most MSMEs through the tough times and absorb the effects of the lockdown.
We need to understand that the MSME sector alone contributes 30% of the country’s GDP and creates livelihood opportunities for a large number of people, so all possible measures should be taken to ensure their survival and growth.