The MSME sector is a vital pillar of the Indian economy, making a significant contribution to the country's socio-economic development. With an impressive count of 6.33 crore MSMEs operating in the country, this sector is crucial for generating employment, fostering GDP growth, encouraging entrepreneurship, and driving innovation, especially in semi-urban and rural areas.
Remarkably, MSMEs account for half of India's exports and contribute 30% to its GDP. To further boost this growth, the Ministry of MSME aims to increase their contribution to 50% by 2025. As a result, the Indian government has implemented various policies and initiatives, including credit schemes, digitalization, and e-commerce promotion, to support and facilitate the growth of MSMEs and enhance the ease of doing business.
Flipkart's role in enabling MSMEs: Overcoming challenges
Like any other sector, MSMEs come with their own set of challenges. However, these obstacles can be overcome with the right support and technology adoption.
At Flipkart, one of the key challenges we are addressing is the need for upskilling and reskilling MSMEs. We conduct nationwide workshops and training programs, helping sellers digitize their businesses and make informed decisions based on our platform's insights." Rakesh Krishnan, VP and Head of Marketplace at Flipkart, shared.
Another hindrance to the growth of MSMEs is limited access to necessary infrastructure, such as logistics and warehousing networks. Flipkart's robust supply chain solutions facilitate the seamless movement of shipments, connecting sellers, customers, and stakeholders from tier-3 cities and beyond.
Furthermore, MSMEs must embrace digital-first habits and preferences, especially in tier-2+ markets. Flipkart's initiatives, including having vernacular content on both the website and the app, as well as the training it imparts, help empower sellers, enabling them to tap into these markets effectively.
Inspiring entrepreneurial stories
The impact of Flipkart's expertise is evident through transformative experiences shared by entrepreneurs like Charu Gupta, founder of Saikara Collections.
Charu attests to Flipkart's role in transcending the limitations of a small business, helping her achieve an unprecedented growth of 400%. Charu, an aspiring and independent woman, has always believed that there is no shortcut to hard work. As the founder of Saikara Collections, which deals in party supplies and home decor, the initial few years were tough to develop her business. She was working for different jobs before becoming a small business owner, but the initial step towards starting something of her own was owing to some crisis in the family.
However, with an initial capital of INR 5,000 in hand, she founded her own company. Guided by Flipkart's insight and support from her loved ones, she transformed her small business into a thriving enterprise, and within six months, her business earned a gold tag on Flipkart.
These success stories of millions of sellers and entrepreneurs on our platform serve as a testament to the effectiveness and transformative potential of Flipkart's initiatives in propelling the achievements of ambitious entrepreneurs, regardless of their gender, geographical location, or socio-economic background.
Embracing adaptability and unlocking growth potential
While MSMEs have immense potential, their adaptability remains crucial in overcoming future challenges. Flipkart is pivotal in assisting MSMEs by providing them with technology, accessible credit, and customer feedback.
Rakesh, a key member of Flipkart since 2013, further added that, "Our platform enables MSMEs to establish a robust digital presence, enhancing their market reach, improving operational efficiency, and reducing barriers to entry. Through initiatives like the Flipkart Samarth Program, we integrate artisans, weavers, women-led businesses, and persons with disabilities into the e-commerce ecosystem, creating a sustainable and inclusive platform for underserved communities."
Flipkart Samarth program was launched in 2019 to democratize e-commerce through technology and build a sustainable and inclusive platform for underserved domestic communities, with a special focus on women-led enterprises and people with disabilities. Under this program, Flipkart has been working with several government entities, livelihood missions and NGO partners to onboard rural entrepreneurs from across the country. Today, Flipkart Samarth impacts over a million livelihoods by helping them adapt and leverage digital commerce.
The platform's collaboration with banking partners also ensures financial assistance, enhancing affordability, convenience, and inclusivity for MSMEs.
Empowering MSMEs for India's prosperous future
As India's economy aims to reach new heights, MSMEs will play a pivotal role in driving growth, fostering innovation, and creating employment opportunities. In this regard, Flipkart has pledged to make comprehensive efforts and is dedicated to supporting the success of MSMEs to address India's evolving business landscape.
Upcoming Big Billion Days
Flipkart's The Big Billion Days (TBBD) is a marquee event for India and one that sellers look forward to as it brings huge financial benefit to them and creates new growth baselines for them.
Events like TBBD allow Flipkart to scale up its impact on the ecosystem in tremendous ways; by helping seller partners create lakhs of jobs, boost Indian manufacturing, and grow local businesses. TBBD is about scale, innovating for India and creating/leaving an impact on the ecosystem. It isn't just a sale but an annual, collaborative event that expands the Indian e-commerce market.
It allows millions of new customers to experience the benefits of e-commerce, many of them for the first time. These include offering them consistency in catalogues, prices and growth opportunities across the country. TBBD is an opportunity for thousands of sellers across India to access a customer base of millions, which allows them to grow their own businesses at a rapid pace.
