According to speakers at a webinar on Wednesday, for small, medium and medium enterprises (MSMEs), breaking out and scaling up is a barrier that only embraces multiple online channels where customers can be reached.
Konstantin Roberts, CEO of logistics platform Lockheed, says that “products, prices, promotion” are the three basic things that grow an e-commerce business. The hidden fourth will be the work behind seeing the three.
“Online storefront and channels like TickTock and Instagram help reach customers across all channels, but integrate them. [to your business] The challenge, ”he explained. “Non-stop logistical integration is key.”
MSMEs in the Philippines employ 99.5% of businesses, 63% of the country’s workforce and 40% of the country’s GDP in the last few years. 2021 data From the Department of Commerce and Industry (DTI).
However, many are unprepared to embark on digital transformation, which is the goal of DTI Recent Issues A self-assessment tool to guide MSMEs.
“If you do it on your own as an entrepreneur, it’s all consuming and the risk for MSMEs is that you get so deep into the operational rabbit hole that you don’t have time to take a step back and grow the business. Mr. Robertz added.
For Ansil Santos, founder and CEO of the exercise equipment store Manila Athletica, continuity was almost the downfall of his online business.
“It’s easy for big brands because they have a budget, but as a small business owner, you don’t have the resources to manage them,” he said.
When the brand grew to such an extent that it started receiving 20 to 50 orders a day, the utility of logistics integration provided by Locad was a huge help, especially since there were other necessary things for admin work and marketing choices.
Alexander Friedhoff, co-founder and CEO of eta-commerce enabler Etaily, suggests looking at multi-warehousing, a smart way to meet demand for scaling up.
The online-to-offline (O2O) strategy, which integrates online and offline channels, is also suitable for Philippine-based MSMEs.
“The Philippine landscape itself is very well positioned,” he said, quoting the 2021 e-Conmi SEA. Report By Bain & Company, Google, and Temasek, which found that 95% of consumers would continue to use at least one digital service after the epidemic.
“The average age in the Philippines is 25 years. There is high internet penetration. We see improvement in the average hours spent on social media, ”he added.
Meanwhile, Ms. for MSME owners. Santos’ biggest tips were to be authentic in terms of online presence, to attract consumers who now prefer affinity rather than perfection, and to be wary of end-to-end consumer experiences.
The same survey in 2021 found that seven out of 10 consumers in the region accounted for the rate of delivery as the most important reason for online shopping.
“Every touch point of the entire shopping experience should be a priority,” he said. – Bronte H. Laksamana