Running a business anywhere in the world can be difficult, especially if you’re domiciled in Nigeria; multiple taxation, poor electricity, limited access to credit facilities, unpredictable government policies, etc, are some of the daunting challenges to surmount to break even.

According to the National Bureau of Statistics (NBS), in 2020, Nigeria had 39,654,385 Micro, Small, and Medium Enterprises (MSMEs), with micro enterprises making up 96.9% and SMEs accounting for 3.1%. They also account for 80% of employment and over 40% of the nation’s Gross Domestic Product (GDP). These figures reveal the significant role MSMEs play in Nigeria’s economy, as they contribute to employment generation, poverty reduction, and overall economic growth.

The MSME Survey 2024 by PricewaterhouseCoopers covered 557 businesses in 29 states, across the six geopolitical regions recommended adopting digital and technology transformation as one way to improve productivity and profitability.

In an earlier post, we highlighted the importance of SMEs having a digital presence. But this is foundational and just scratching the surface. Here are additional ways technology can help SMEs grow.

1. E-Commerce and Online Sale Channels

Your business now runs round the clock without any location restriction. Customers from within and outside Nigeria can order your products.

Making use of platforms like WhatsApp Business provides you with product cataloguing and order tracking while partnering with payment gateways like Paystack and Flutterwave ease the flow of transactions. Deliveries can be outsourced to logistics companies. Platforms like Jumia and Konga make accessing a wider audience easier.

2. Proper Bookkeeping and Inventory Management

Many SMEs fold up not due to a lack of revenue but due to poor tracking of inflow and expenses.

With technology, you can manage sales, monitor expenses and keep stock of product inventory. Tools like Google Sheets and Microsoft Excel are good for inventory management. You can also create invoices for customers using QuickBooks.

For a business to grow, there has to be a tracking mechanism and these tools not only help you to plan better but also to minimise waste.

3. Data-driven Marketing

Being in the eyes of customers is a great way to gain attention and be top of mind when they make purchasing decisions. In the past, large corporations with deep pockets were majorly the ones who got slots to advertise their products and services in traditional media. However, technology has changed the game — totally. With as little as ₦5,000, any business owner can reach their intended audience.

Social media platforms provide you with data-driven insights that reveal not only what customers want but what they need. With cookies, these platforms store customer history, thereby predicting and providing personalised content to enhance their online experience.

4. Automation

Technology helps automate repetitive tasks, giving you the time and space to focus on more productive things.

Creating the right systems using tech will cut down the time you spend responding to customers’ messages and preparing invoices. Chatbots and scheduling tools make you work smarter.

The business game has changed and technology is at the forefront. Adopting and getting familair with these tools is paramount. You don’t need to learn or use them all at once. Baby steps lead to stronger feet. Get your feet on the ground, leverage technology to grow your business today!

Want to integrate technology into your SME. but don’t know where to start?

Let’s talk. We can help you set up the right tools, systems, and strategy to grow — without breaking the bank. Contact us via email at dev@revocube.com or phone on 08121236904.