Digitization Is Also A Thing For SMEs

Today there is no company, large or small, that is not aware of the importance of digitization to survive. However, SMEs and family companies still have a lot of work ahead in this regard.

Digital transformation. How many times a day can we hear or read this concept? It is undoubtedly a term that is on everyone’s lips, all companies now boast of having immersed themselves in digital transformation, as proof of a commitment to the future, etc. All? No, not all. While large companies have jumped on the digitization bandwagon with speed and agility, this path has yet to be built for most SMEs.

Even though 79% of the family entrepreneurs surveyed say that initiatives related to digitization, innovation, and technologies are a priority, only 14% consider their digital journey completed, according to the World Survey of Family Business 2021, produced by PwC. Less than half, 46% of companies claim to have extensive digital capabilities, a figure that drops to 38% when we refer to family businesses.

Companies that had a digitization base before the covid have survived the crisis better

These are not very positive data, regarding the current situation, but, on the other hand, companies, large and small, are aware of the importance of digitization and are working on it. According to the survey, in the top 3 priorities of small and medium-sized businesses for the next two years, the first two are improving digital capabilities and increasing the use of new technologies.

Covid boost

In the last year, we have been able to observe the importance of digitization for small and large companies. The appearance of the covid and its consequences has been a great challenge for the business sector, which has perfectly experienced the advantages of being digitized, and how expensive it can be not to be.

The pandemic has undoubtedly plunged the entire sector into a major crisis, but those companies that had a more advanced digitization process have been able to survive better and recover more agilely. In this context, it has been precisely family businesses that have suffered the most from the effects of the covid crisis to the point that, according to the PwC report, 78% of them do not expect to return to previous growth levels to the pandemic until 2022.

Less than half of companies claim to have extensive digital capabilities, a figure that drops to 38% when we refer to family businesses

If something positive has been able to contribute to this fateful situation, it is the fact that companies have experienced, in the first person, the importance of having strong digital capabilities, since those companies that had an advanced digitization process, although they were a minority, have been able to better respond to the crisis.

How can my SME tackle digitization successfully?

It is a fact that small and medium-sized companies have notably accelerated their digitization processes in recent years, but there is still a long way to go. The QDQ Group they have developed a series of tips to address digital acceleration successfully:

• Corporate website: today it is essential to be present on the web and the first step is to have a website. This will be the company’s digital showcase while offering a complete and detailed view of its products.
• Profile in social networks: just as it is important to be present in web format, social networks have become an indispensable part of any business today. If your business is not on Instagram, Facebook, Twitter, Linkedin, etc. it’s almost as if it doesn’t exist. However, it must be borne in mind that the RRSS requires a particular language and its use is useless if each one is not treated appropriately. It is not necessary to have an account on all channels. It is important to know which one best meets the needs of our business and to use it appropriately
• Global business vision: according to experts, it is essential to establish a strategic plan for digital transformation, which is based on business objectives, as well as setting priorities to undertake in the process. It is common for SMEs to lack an inclusive view of all parties, instead, they have a biased view of each department, which negatively affects the achievement of objectives.
• Ecommerce: It has experienced a huge boom in the wake of the coronavirus pandemic and lockdowns, but it was going to come sooner rather than later. Once its importance is assumed, it is vital to have the appropriate web tools and propose an optimal sales strategy, with images and explanations of the products, a simplified purchase process, etc.
• Search engine optimization: once we have a presence on the web, it is important to work on SEO and SEM positioning strategies to promote business visibility. The first step is to include an address, telephone number, photos, and keywords, and from there, continue with more specific aspects.

Also Read: Digitization: The Key To The Future Of Pharmacies