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Why does an Indian SME business need Digital Marketing


The digital world has opened a whole new window of opportunities for businesses. It has expanded the reach of businesses to unimaginable bounds. However, to fully leverage this development, businesses need to constantly update their operations and adapt to new technologies.

Digital Marketing is one area that has evolved at a very rapid pace in the past few years. Website creation, SMS or e-mail marketing, search engine optimisation, social media marketing and consumer feedback are some of the most common forms of Digital Marketing.

Small and Medium Enterprises (SMEs) are yet to embrace the digital sector completely. Most of them still rely on the traditional forms of marketing like banners, billboards or newspapers. They are hesitant in adapting to such digital strategies, considering it as an extra expense. They need to increase their awareness about Digital Marketing and understand that investing in it will make an incredible difference to their reach and revenues.

Particularly, for a developing country like India, where SMEs make up over 90% of industrial units and 45% of total industrial employment, even a slight improvement in sales will significantly affect the economy.

Thus, here is a list of some of the potential benefits that SMEs can derive from Digital Marketing.

  • More cost-effective

Contrary to what most SME business owners think, Digital Marketing is more economical than traditional marketing. A survey by Google revealed that a business could generate 2.8 times more revenue through Digital Marketing, in comparison to a business that does not rely on it.

Since SMEs work on limited resources, Digital Marketing can help them cut their expenses in the long run. Payments made to middlemen are also eliminated in the process.

  • Drives sales and boosts revenue

As we know that online content lasts longer than traditional marketing forms like newspapers or pamphlets; thus, it is better to promote your products online. This leads to an increase in lead generation and conversion rates. A well-thought-out marketing strategy can increase traffic on your website. It can lure customers into buying your products, instantly. Thus, investing in Digital Marketing can maximise your ROI dramatically.

  • Creates a level playing field

The online space has, in particular, proved to be a boon for SMEs. Without it, they cannot even think about competing against the big brands dominating the market with their large amount of resources. Digital Marketing has given a leveled playing field to all brands, big or small, to promote their products in the best way possible. This has led to SMEs catering to a wider audience than before.

  • Builds brand reputation

The objective of Digital Marketing is not just to increase sales, but much more than that. It is a very wide term that serves various purposes. One of its long-term benefits is that it builds your brand’s reputation. A proper digital strategy can create the brand image that you desire. You need to engage with your audience regularly. This will help you earn their trust and make them loyal customers. A good word about your business can spread like wildfire, online.

  • Provides insightful inputs

Digital Marketing tools enable a brand to gain deeper insights and data on consumer behaviour and future trends. This helps the brand to allocate its limited resources in the most efficient way and be prepared for any fluctuations in the market.

Internet access will only expand in the coming years, and more and more people will shift online to make purchases. The e-commerce boom has already started this shift and made the shopping experience very convenient for customers.

The COVID-19 pandemic came as an eye-opener for businesses, as they realised how important it is to be accessible online, to ensure their survival. In today’s time, if you are not online, you are out of the competition. Thus, it is the need of the hour for SMEs to embrace the digital landscape, wholeheartedly.

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