As the energy crisis in South Africa deepens, economists predict a 45% chance of South Africa sliding into a recession this year. This is exacerbated by the rising cost of living, unemployment, and the ongoing Russia-Ukraine war.
According to Damian Michael, CEO of Innovo Networks, if South African SMEs and businesses don’t use this time of adversity to deploy intelligent technology and digital communication strategies to scale their business, they risk the point of no return.
“We need the SME sector for job creation, so we cannot afford to see it crumble. Research has shown that a lot of small businesses struggle to recover after a financial crisis, if ever, with a key obstacle being the aftermath of low credit ratings. I urge them to avoid these obstacles and adopt preventative measures by finding smart and innovative digital solutions for their business to still grow while weathering the storm,” says Michael.
Having a clear loadshedding plan with regards to keeping communication flowing with customers, and optimising costs with smart CX tools is what Michael says are the best ways for SMEs to scale their business and stay on an upward curve in hard times. A lot of companies are relying on generators and solar systems to keep production and internal operations going, and while this is beneficial, it’s futile if a business does not also have systems in place that streamline communication channels and elevate customer service.
“Most customers are generally understanding, but it’s the companies that don’t communicate effectively or those who are perceived to not understand their customer’s needs, that will fail. Remember we’ve just lived through over two years of a pandemic, and customers are tired of excuses, they want solutions. Harnessing intelligent use of technology to scale up and streamline your CX will go a long way right now,” says Michael.
Michael recommends four key tech focus areas for SME leaders to scale and optimise their businesses in 2023:
- Prioritise digital CX– now is the time to know exactly what your customers are thinking and feeling. Invest in CX tools like real-time customer insights platforms and omnichannel tech solutions that centralise customer communication in one place, such as email, SMS, chat, and social media integration. The less scattered and fragmented your communication channels are, the more control you have in managing expectations. Optimise your servers and CRM systems and asses any missing connectors.
- Tech for SMEs by SMEs – there is a host of cost-saving and time-saving tech solutions and innovations, many created particularly for SMEs by SMEs and therefore, priced affordably. Find out how you can best utilise the services of these companies and automate routine business tasks, for example, explore the benefits of cloud computing, Software as a Solution (SaaS), and replacing telephone lines with fibre solutions.
- Harness digital tools for lead generation – with inverters or a UPS in place, you can keep your internet connection and pivot to online lead generation marketing to customers during load shedding hours. This can transform what could be downtime into the most valuable hours for your business. Use platforms such asYouTube, Instagram, and LinkedIn to expand your reach and target a wider audience for leads, as well as engage with existing customers. Becoming adept at using these platforms and actively making connections and building relationships greatly expands the pool of possibilities for your business. One thing you can count on is that most of your customers are more than likely using these platforms daily.
- Voice over IP (VoIP), and Hosted PBX solutions– optimise call processing duties with cost-saving solutions that can guarantee uptime like VoIP. Look at cloud-based call services so that you save on infrastructure costs and keep communication data reliably backed up. Also, find communication solutions that don’t require multiple licences and subscription fees. An example is Innovo Network’s video PBX system, which enables employees and clients to join online meetings and virtual events without having to pay multiple licence fees across platforms like Zoom, Microsoft teams, Google hangouts, slack, etc. This also a great tool for centralising and streamlining communication.