Indian Economy News

Most digitally adept MSME retail owners between 18-30 years of age: Report

According to recent research, more than 71% of Micro, Small, and Medium Enterprises (MSMEs) in retail are now embracing digital technology in some capacity in their day-to-day operations.

According to a study from PayNearby, a branchless banking and network, the MSME sector is expanding. There has also been a good shift in small business owners' attitudes towards technological adoption.

According to the report, more than 80% of MSMEs agreed that digital technology adoption had a beneficial influence on their enterprises and personal life. The first edition of PayNearby's 'MSME Digital Index 2023' highlighted MSMEs' last-mile technology use.

A nationwide study was performed to track their technological knowledge and consumption trends in their professional and personal life.

According to the report, business owners between the age group of 18 and 30 were the most technologically savvy, with more than 75% using a smartphone to operate their daily operations and access digital content. The increased use of smartphones also underscores the critical role that the internet can play in bridging the infrastructure gap and driving tech inclusion at the last mile by bringing MSMEs on board the digital bandwagon.

When questioned about the beneficial impact of technology on their enterprises, 32% said it has helped them grow by enhancing efficiency in business operations, and 28% said it has increased their sales and income. Regarding the difficulties in utilising technology for business operations, 30% of business owners claimed they could not afford the high cost of technology, while 29% struggled with shoddy internet connectivity.

According to the Chief Marketing Officer (CMO) of PayNearby, Ms. Jayatri Dasgupta said “India is at the cusp of a tech revolution. However, for this to happen, MSMEs need the necessary tools to get inducted into this fast-moving economy. The MSME Digital Index is our effort to understand the uptake of technology in the MSME segment and highlight areas that need to evolve to bridge the digital divide in our industry.”

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.