Impact of internet and digitisation on SMBs in India: KPMG study
A recent study by KPMG in India and Google, 2017, titled, ‘Impact of internet and digitisation on SMBs in India’, states that rising internet penetration and greater uptake for digital by SMBs could help increase their contribution to India’s GDP by 10 percentage points, taking it up to 46-48% by 2022.
The report further highlights that digital SMBs grow profits up to twice as fast as offline counterparts.
It says near 51% of digitally enabled SMBs cater to customers beyond city boundaries as compared to 29% of offline SMBs.
Digital SMBs employ upto five times more employees than those offline.
Stating that SMBs are the backbone of the Indian economy, the report says the sector contributes to important economic indicators as well as household incomes.
The report classifies the SMBs based in their levels of digital engagement into four tiers -- Offline, Connected, Enabled, and Engaged.
