Tag: small business

Small Stores’ Guide to Black Friday/Cyber Monday
You can be unaware of it only if you’re living under a rock. Big day for businesses all around the globe – Black Friday and Cyber Monday, collectively known as BFCM, are two of the most highly anticipated shopping events of the year. For both online and brick-and-mortar merchants, these sales periods offer a unique opportunity to boost sales, attract new customers, and increase brand visibility. In this comprehensive guide, we will delve into the origins and significance of BFCM, provide valuable tips and strategies for planning your sales, and explore various marketing channels to maximize your reach during this lucrative season.

Understanding Black Friday and Cyber Monday
- The History and Significance of BFCM
- The Popularity and Attraction of BFCM
Planning Your Black Friday Sale
- The Importance of Planning
- Creating an Online Catalog
Leveraging Communication Channels For BFCM
Extending the Sales Period
Identifying Products for Promotion
Crafting Irresistible Offers
Optimizing Shipping and Delivery
Rewarding and Retaining Customers
Reflection and Improvement
Organize Promo Events
Take Advantage of Cross-selling

Understanding Black Friday and Cyber Monday

The History and Significance of BFCM

Black Friday, which falls on the Friday after Thanksgiving, has its roots in the United States and was originally used to mark the beginning of the Christmas shopping season. It gained popularity in the 1960s when people would skip work to take advantage of the sales in retail stores. In the early 1980s, retailers recognized the financial benefits of this annual shopping spree and started offering significant discounts to attract shoppers.

Introduced in 2005, Cyber Monday was created to promote online shopping among Black Friday deal hunters. With the rise of e-commerce, online sales have surpassed retail purchases, making Cyber Monday an essential part of the BFCM shopping experience.

Black Friday Online Consumer Spending with Projection from 2024-2026

As per the reports from Statista and Adobe, the Black Friday 2023 online revenue reached over $9.80 billion, a 7.46% increase from last year. It was 188% higher than the average daily online sales and 179% higher than Q4’s daily sales. However, Black Friday’s revenue was 21% lower than Cyber Monday. From 2022 to 2023, online retail spending grew by 7.69%.

The Popularity and Attraction of BFCM

BFCM has become a highly marketed event, drawing in millions of shoppers in search of the best deals on a wide range of products. Retailers, both online and offline, offer substantial discounts, sometimes as high as 60%, to entice customers. The popularity of BFCM has even led to instances of violence among shoppers in stores. The allure of significant savings and limited-time offers drives customers to participate in this shopping extravaganza.

Planning Your Black Friday Sale

The Importance of Planning

Whether you’re a small store or a large enterprise, planning is crucial to ensure a successful Black Friday sale. Taking the time to strategize and prepare will help you grab the attention of potential customers, increase purchases, and build a loyal customer base. Here are three core steps to consider when planning your Black Friday sale:
1. Decide your discount amount: Determine the percentage or value of discounts you’re willing to offer on your products. Strike a balance between attracting customers and maintaining profitability.
2. Promote your store’s discount: Utilise innovative marketing channels to create buzz around your Black Friday sale. Leverage social media platforms, email marketing, and web push notifications to reach a wider audience and generate excitement.
3. Engage with visitors and provide stellar customer support: Ensure that your website is user-friendly and optimized for a seamless shopping experience. Offer exceptional customer support to maximize conversions and leave a lasting impression on shoppers.
Creating an Online Catalog

Creating an online catalog is a powerful way to showcase your products and reach a larger customer base. Digital catalogs are more cost-effective and easier to create than physical catalogs, allowing you to reduce production and distribution costs. They can also include interactive features such as product reviews, video content, and detailed product information, enhancing customer engagement and decision-making.

Leveraging Communication Channels For BFCM

Customers crave attention. They want to feel important as well as informed. To effectively market your Black Friday sale and increase visibility, consider leveraging web push notifications. Craft well-written notifications that highlight your sale and entice subscribers to visit your store and make a purchase. Businesses can also transform their social media into a sales and support engine during BFCM and make the most out of the Black Friday- Cyber Monday extravaganza. Reach out to your customers on Facebook, share behind-the-scenes footage on your Instagram, or simply send them order updates on WhatsApp. Convert your Black Friday visitors into subscribers to expand your audience and market to them even after the sale ends. Trust us, they love it!

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Looking for the best Black Friday 2023 deals? Here we have a collection of Top Black Friday 2023 deals on SaaS tools to save you money this year.

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Extending the Sales Period

To maximize your sales and revenue opportunities, consider extending the BFCM sales period beyond the traditional weekend. By planning for a longer sales period, you can take advantage of pre-Thanksgiving sales and promotions, as well as post-BFCM opportunities. Communicate your offers early and continue promoting them to capture the attention of customers who may be considering whether to buy online or in person.

Identifying Products for Promotion

Picking the right products to promote during BFCM is essential for driving sales and maximizing profitability. Leverage data and analytics to identify high-demand products that customers are most likely to purchase during this period. Utilise sales reports, conduct an ABC analysis, and leverage inventory management systems to make informed decisions about which products to feature in your Black Friday campaign. What has worked for you in the past, shall give you an idea as to what would work in the future as well. So, keep a tab on your sales history to make the most out of the period.

Crafting Irresistible Offers

Creating compelling offers is key to attracting customers and driving sales during the BFCM sales period. Consider running “jaw-dropping” sales on popular items to draw customers to your store. Utilise apps and features that promote discounts, upsells, and cross-sells to encourage customers to make larger purchases. Additionally, consider using flagship products as loss leaders to drive revenue and increase average order value.

Optimizing Shipping and Delivery

If you’re selling a physical product, then a well-defined shipping and delivery strategy is crucial for a successful Black Friday sale. Define your shipping options, including free shipping thresholds and expedited shipping, to meet customer expectations and incentivize purchases. Communicate your shipping policy, including transit times, on your website and during the checkout process. Consider offering additional shipping options such as buying online, and pickup in-store to cater to local customers. For those selling SaaS, or LTDs to their software – it is important to highlight the perks, benefits, and how the software experience would be delivered in the first place.

Black Friday And Cyber Monday Deals: What You Need To Know

Rewarding and Retaining Customers

Rewarding loyal customers is an effective way to drive sales and foster brand loyalty during the BFCM sales period. Offer exclusive discounts, early access to sales, and special perks for referrals through your customer loyalty program. Personalize your marketing campaigns and provide targeted offers to existing customers to encourage repeat purchases. Utilise email marketing and social media to engage with your loyal customer base and incentivize them to continue shopping with you.

Reflection and Improvement

After the dust of BFCM settles, take the time to reflect on your strategies and outcomes. Analyze your sales data, customer feedback, and marketing performance to identify areas of improvement. Document your decisions and outcomes for future reference and use the lessons learned to refine your approach for the next BFCM sales period.

How to Plan a Profitable Black Friday Cyber Monday Promotion 2024

In this article, we shall explore proven strategies to help you plan and execute a profitable Black Friday Cyber Monday promotion.

StartupTalkyRishi Mundra

Organize Promo Events

You can host a Black Friday live stream on your social media channels. People can join from anywhere, letting you showcase products, answer questions, and offer special deals to more people.

You could also use these events to raise money for charity. A live stream on Instagram with a donation link is a great way to support a good cause and strengthen your brand image.

Take Advantage of Cross-selling

Example of Cross-Selling

Black Friday and Cyber Monday are perfect for improving your cross-selling skills.

When a customer buys something, suggest another item that goes well with it. Simple examples of cross-selling include:
- Socks + shoes
- Yoga mats + yoga straps
To set up cross-sell offers, you can use third-party tools too.

Conclusion

Black Friday and Cyber Monday offer tremendous opportunities for businesses to boost sales and attract new customers. By understanding the history and significance of BFCM, carefully planning your sales, and utilizing the right marketing channels and resources, you can maximize your reach and profitability during this highly anticipated shopping season. Follow the strategies and tips outlined in this guide to ensure a successful and lucrative BFCM experience for your business.

FAQs

What is BFCM meaning?

BFCM is Black Friday – Cyber Monday. It refers to the major shopping events right after Thanksgiving. Many retailers offer big discounts during this time.

What is Cyber Monday?

Cyber Monday, introduced in 2005, was created to promote online shopping among Black Friday deal hunters.

How extending the BFCM sales period can help maximize your sales and revenue?

By planning for a longer sales period, you can take advantage of pre-Thanksgiving sales and promotions, as well as post-BFCM opportunities.

How can the customers be retained and rewarded during the BFCM sales period?

Rewarding loyal customers is an effective way to drive sales and foster brand loyalty during the BFCM sales period. Offer exclusive discounts, early access to sales, and special perks for referrals through your customer loyalty program.
October 24, 2024
What is ONDC? How will ONDC Impact the Ecommerce Industry of India?
Open Network for Digital Commerce (ONDC) was formed on 31^st December 2021. However, the initial pilot phase of this program was launched on 29th April 2022. The target behind the introduction of this platform in India is to bring scalability and accessibility to the field of e-commerce.

The initial idea of ONDC came from the Piyush Goyal-led Department for Promotion of Industry and Internal Trade (DPIIT).

The project is moving forward under the leadership of T Koshy (CEO), who was a former partner at the consulting firm EY, along with a 9-member advisory council that consists of names like Nandan Nilekani, the co-founder of software powerhouse Infosys Ltd, National Health Authority’s RS Sharma and more.

It is aimed to provide equal opportunity to the small retailers and merchants in the e-commerce market alongside big players like Amazon and Flipkart.

Nilekani has also earlier helped the Indian government in developing Aadhar biometric ID system. As per him, ONDC is meant to democratize digital commerce in India.

As per a survey, India in 2021 had around 289.1 million digital buyers. This number is expected to increase and reach around 377.6 million in 2025.

Number of Digital Buyers in India

To date, the maximum share of eCommerce in India is in the hands of a few big companies. However, the growing number of buyers invokes the need of including small sellers from remote places to become a part of this huge market.

To help resolve this issue with the aim of bringing more retailers and sellers online government brought forward the concept of Open Network for Digital Commerce (ONDC).

What is ONDC?
UPI and ONDC | What’s the Difference?
Why is ONDC needed?
How will ONDC impact the e-commerce industry in India?
ONDC Funding
Tracing the Growth of ONDC
ONDC Challenges

Impact of ONDC on the E-commerce Industry of India

What is ONDC?

ONDC Logo

Before understanding how the government will implement this and what are its benefits, let us first understand clearly what ONDC is.

Until now, digital commerce across India is abiding by the platform-centric model. This means there are different platforms available online through which a seller can sell his product and a buyer can purchase them by registering on the same platform.

This means that the buyer and seller have to be on the same platform for an online deal to occur.

The idea behind ONDC is to bring e-commerce to the open network model instead of the platform-centric model. This will make e-commerce approachable for all types of buyers and sellers.

The idea is to bring the buyers and sellers from different platforms into each other’s approach without any of them having to register on the platform on which the other exists.

It will allow the buyers and sellers from different platforms to connect with each other, provided that both the platforms are linked to ONDC. This is similar to the role UPI plays in terms of transactions. UPI is a fitting example of the concept that ONDC is working on. This is because where UPI united the banking partners and the merchants/users, via a single unified platform connected through the mobile number, ONDC is pivoting on a similar concept that will unite the buyers, sellers, logistics providers aggregators, payment gateways, and more on a single platform, which will make buying and selling easier for everyone in the ecosystem.

Therefore, the ONDC network allows the buyer to connect with the seller and make transactions to settle the deal irrespective of which applications they are using for buying or selling the products.

UPI and ONDC | What’s the Difference?

Often during the ideation and the development of the ONDC product, we have heard people, businesses, and media placing ONDC and UPI systems side by side. While both the systems are based on a similar idea, which is to link people and make things in the Indian market easier, they are poles apart really in terms of the functionality, complexity, magnitude, people, segments and markets involved, and more.

For example, the UPI system was involved in the secure transfer of finances, the main objective of which was to facilitate the transfer of funds, and keep the same secure between banks, merchants and customers. However, when it comes to ONDC, the concept of ONDC does not involve a direct transfer of goods and services but is related to the same.

Besides, ONDC also has a list of subjective variables, which the UPI doesn’t have. For instance, ONDC has to look after the quality of the products being sold, onboarding sellers and shops, making the communication between them easier, overlook the reliability of both the sellers and the buyers, looking after the speed of delivery and more.

Also, when it comes to the UPI system, nothing was dependent on physical interaction, which stands in sharp contrast to the ONDC system, where the latter is significantly dependent on the offline steps after the matchmaking is done online.

Why is ONDC needed?

Presently, if a retailer or merchant wishes to take his business online, there are only two options available for them.

The first option is to create its own website. This might require some technical support. Further, this is a cost-intensive process as it involves a lot of extra charges such as website creation and management costs, logistic charges, etc.

Also, even after the website is built and functional, the seller will have to invest a lot of money in advertising for his website in order to attract buyers.

The second option is to sell the products on aggregator platforms or so-called online marketplaces. Although this system appears quite convenient in comparison to building a website, it has its own issues.

The two top players in this field i.e. Amazon and Flipkart are both US-based companies. They keep a large share of profit in return for displaying and selling your products on their platform. In addition, sometimes, there have been complaints of brand preferences where these platforms are said to exhibit favoritism towards a few brands.

Moreover, sometimes these marketplaces collect data from the sellers and depending on the market inclination, introduce their own products, to stay ahead of the curve.

Another main concern associated with e-commerce is the lagging of small retailers, merchants, MSMEs, etc. Owing to the limited reach of e-commerce in small towns and villages, these small businessmen are deprived of the benefits associated with e-commerce.

Most of them have not been able to begin their online journey on these digital selling platforms due to restricted technical knowledge and the small number of options available.

To counter these problems and take digital commerce to a whole new level, ONDC has been formed. The aim is to make e-commerce reachable even for small retailers and merchants.

The ONDC platform is an idea that is focused on increasing 3 major things that most buyers and sellers dream of:
- Discoverability – The ONDC platform will help both the buyers and the sellers maximise their discoverability.
- Transparency – ONDC will offer clear visibility and the benefits of comparing everyone and everything that is listed on it. This will make things transparent enough for everyone and everything related to eCommerce.
- Interoperability – The ONDC network will have the buyers, sellers, aggregators, delivery partners, logistics providers, and more, and all of them will be operating freely with each other, forming a stable and trustworthy network for maximum benefits.
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How will ONDC impact the e-commerce industry in India?

The introduction of ONDC will encourage small retailers to step foot into e-commerce. ONDC will result in bringing separate buyer-centric and seller-centric apps that will be beneficial for anyone who is invested in e-commerce.

The new apps that may appear in the market can help resolve other issues for buyers as well as sellers. For example, it may help the sellers with logistics solutions while the buyers may be benefitted by shopping from the nearest available or cheapest store in town.

The main benefits expected out of ONDC are as follows:
- Formalization and democratization of e-commerce.
- Large scope for discovering prices and comparing them.
- Growth of local retail businesses especially MSMEs.
- Increased number of choices for buyers.
- Auxiliary support and services for both buyers and sellers.
- Enhanced business opportunities owing to the open platform.
- Option to outsource for both buyers and sellers.
- Reducing the monopoly of big shots in e-commerce.
- Rational process of business.
Some of the areas/industries that ONDC is expected to disrupt are:
- Cab services – Two major players driving the cab services in India are Ola and Uber. However, whether it is their drivers or the Indian customers, all are dissatisfied with the policies and the management of the companies. Here, the ONDC platform can come as a respite for the users, who can get the services they ask for at lower costs, while on the other hand, the cab drivers can freely sign in with ONDC to get a bigger and better reach.
- Food delivery – The food delivery ecosystem of India has been largely controlled by Zomato and Swiggy, where both the customers and the restaurant providers are at the mercy of these two foodtech giants. Many restaurant partners have earlier thought of delivering directly, but they failed. The ONDC can now empower them better to bring in the change!
- Quick commerce – Quick commerce, which is looked up to as the next big thing in India, was earlier in the hands of the Kirana stores, who were the original quick commerce players. However, they seemed to have lost the battle against the able quick commerce players like Zepto, Dunzo, Instamart, Blinkit, and more. This new initiative of ONDC can, therefore, gear up the Kirana stores and their owners to serve their customers faster and better.
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ONDC Funding

For the first couple of years, ONDC has set a budget of Rs 150-200 crore, mentioned by T Koshy, in a report dated July 2, 2022. CEO Koshy said that it has already raised 85% of its funding for the first phase of the operation. The platform had earlier chosen 20 institutions and asked them to put Rs 10 crore each from their funds. It has been earlier reported that the ONDC platform has raised over Rs 155 crore with the help of some of the largest banks of India – SBI, Axis, PNB, HDFC, Bank of Baroda, and Kotak Mahindra Bank, and some of the financial institutions like NSE, NPCI, NABARD, and SIDBI. T Koshy has further specified that ONDC has got 17 such investors to fund them with Rs 10 crore each by March 31, 2022, while the remaining organisations will extend their funds to ONDC by August 2022.

Speaking about the ownership of ONDC, T Koshy mentioned that no investor would be allowed to hold more than 50% of the ONDC stakes.

Tracing the Growth of ONDC

The ONDC platform is on the brink of completion and pilot have already started in a selected list of Indian cities. A trial run of ONDC has been conducted in 6 cities in India including Bengaluru, Shillong, Lucknow, and Coimbatore.

ONDC Onboarding Grows!

With players like Walmart-owned Flipkart, Reliance Retail-backed Dunzo, Alibaba-backed Paytm, and more already joining the revolutionary platform, and Amazon willing to join it ahead, ONDC is already creating waves. Many other seller platforms, buyer platforms, logistics providers, and payment gateways are also signing up with the ONDC concept. As per the latest news, nearly 24 startups, like Meesho, and numerous other subsidiaries of Flipkart have joined ONDC. The ONDC platform is looking to onboard around 200 companies ahead, as per reports dated July 19, 2022. Snapdeal has already signed the agreement with ONDC earlier in July 2022, and will likely be integrating with the platform by the end of August 2022.

After Dunzo, another Reliance Retail-owned startup Grab joined the ONDC platform, as per reports dated August 1, 2022. 80% of Grab shares are currently owned by Reliance Retail. Grab is a 9+ years old startup that offers a wide range of services including on-demand, reverse deliveries services, and first and last-mile logistics to clients including FedEx, Blinkit, Paytm, BigBasket, Myntra, Amazon, and Swiggy.

Dunzo’s B2B logistics arm, Dunzo for Business (D4B) has collaborated with ONDC with an aim to provide last-mile delivery services to local enterprises on the ONDC network, as per reports dated August 5, 2022.

Microsoft has become the first international company to join the ONDC platform. The American software giant will reportedly bring a social commerce platform or one that will allow a group buying feature for its Indian users. This association would enable Microsoft to connect with Indian users without depending on any e-commerce platforms. This partnership with Microsoft reveals the credibility attached to the ONDC platform of India, mentioned T Koshy.

ONDC Inked MoU with the Small Industries Development Bank of India (SIDBI)

ONDC inked a Memorandum of Understanding with SIDBI to onboard small and medium-sized businesses on the ONDC platform, which would help ONDC improve ecommerce participation. Signed between the CMD of SIDBI Sivasubramanian Ramann, and the Managing Director and CEO of ONDC, T Koshy, this agreement would lead both the entities to encourage the MSMEs access the open network ecommerce platform.

The ONDC platform is not here to challenge the big players like Flipkart and Amazon. The ONDC CBO Shireesh Joshi confirmed that the platform will stay essentially as “eCommerce enablers helping the small retailers leverage the digitisation of commerce through our network.”

The penetration of the eCommerce industry has only been 4-5% so far, as per July 2022 reports. To boost the same by increasing the number of retailers is one of the main objectives of the ONDC network. Joshi further revealed that the bigger players like Flipkart and Amazon will reap major benefits if this objective is fulfilled.

The ONDC platform will be launched in 75-100 more cities in India by August-September and will be open to the public during the same time in 2022, mentioned T Koshy, the CEO of ONDC, as per the reports dated July 2, 2022.

Koshy has added that the ONDC will be opened to be public whenever it will find that there are enough sellers in a pin code area. Launching the service in these cities ahead will help the initiative lay a foundation on which the network can grow in the times upcoming, organically. The ONDC platform is expected to see a “hockey stick-like growth”. The CEO of the platform also pointed out that if it gains the support of the CSC SPVs (common service centre – special purpose vehicles), which are designed to spread the government’s e-services to rural areas and remote places, then that can help ONDC reach at least half of the Indian villages.

Marquee investors like Sequoia India and SoftBank have advised their portfolio companies to join the Open Network for Digital Commerce (ONDC), as per reports dated July 20, 2022.

ONDC Challenges

ONDC has come up as a revolutionary product that will transform the Indian market in the times upcoming. However, due to the complex design of the product, it has already started to face numerous implementation challenges. In comparison to the UPI system, ONDC is way tougher to both design and implement.

Conclusion

With the schemes like digital India, no doubt e-commerce is the future of the Indian market. This is also clear from the fact that the Indian e-commerce industry is expected to rise from $46.20 billion in 2020 to $200 billion in 2026. Here, the ONDC can easily be identified as a new-age idea that has a huge market ahead.

At this stage, the e-commerce platforms, being totally captured by a few large companies can certainly impact the small businessmen from the remote areas of the country, who still are unable to utilize this amazing platform.

This is sure to have an adverse effect on the economy with these small retailers losing their business to a few big players.

The introduction of the Open Network for Digital Commerce (ONDC) at this point is certainly a great initiative by the government to help these small businessmen to maintain their position in the race.

This will also give them the opportunity to escalate their businesses to a larger scale by making their products reach a larger audience.

FAQs

What is ONDC?

Open Network for Digital Commerce (ONDC) is a non-profit organisation in collaboration with the Government of India that brings e-commerce to the open network model instead of the platform-centric model. This will make e-commerce approachable for all types of buyers and sellers.

Who owns ONDC?

ONDC is owned by the Department for Promotion of Industry and Internal Trade.

Who is developing ONDC Project?

T Koshy of EY is leading the Open Network for Digital Commerce (ONDC) project, supported by a 9-member advisory council consisting of names like Nandan Nilekani, the co-founder of Infosys Ltd., and others.
August 10, 2022

Windo: An App Helping People in Building Businesses Through Instagram Pages

Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Windo.

Are you finding work that is something cool and interesting? On today’s date, your personal interests matter a lot! So, how about starting your career with an online business? Do you need an appropriate website to do so? Who knows what, success might knock on your door a few days later. Anyway, who doesn’t love to be successful? We all definitely do!

Windo is a tech website and app that allows all the interested solopreneurs and small to middle-sized businesses to set up an online shop absolutely free of cost that too in just a matter of moments. Read the Windo success story below!

Windo – Company Highlights

Startup Name	Windo
Headquarters	Bangalore, Karnataka
Industry	Technology and Internet
Founder	Rakesh Vaddadi and Silus Reddy Chintapalli
Founded	2020
Parent Organization	Rare Bits Technology
Website	mywindo.shop

Windo – About
Windo – Industry
Windo – Founders and Team
Windo – Business Model
Windo – Revenue Model
Windo – Funding and Investors
Windo – Growth

Windo – About

Windo is an online platform which has got the ability to convert your Instagram page to an online shopping platform within few minutes of time. The company creates a free online store for you without any sort of coding and automates your regular deals.

Windo – Industry

Windo belongs to the Mobile App Industry. This industry is quite a fast-growing industry. Smartphones and mobile phones are increasing in numbers every day and so are the mobile app businesses. Each and every business is developing in its own way only because of its innovative ideas!

Windo – Founders and Team

The founders of the company are Rakesh Vaddadi and Silus Reddy Chintapalli.

Rakesh Vaddadi

Rakesh Vaddadi is the co-founder of the company Windo. He began his career as an intern at The Singareni Collieries Company Ltd. Rakesh was also a part-time research assistant at the Indian Council for Social Science Research.

Silus Reddy Chintapalli

Silus Reddy Chintapalli is also the co-founder of Windo. He began his career as an engineer at Hindustan Aeronautics Limited. Silus was also the Vice President of sales and marketing at TopTalent.in. He was the director of sales and marketing at 1Click.

Windo – Business Model

The business model of Windo is quite simple! The website helps small businesses to create their own online space hassle freely. Windo requires no credit cards also the company has got a free forever plan to offer to all of its users. The company aims towards minimizing the workload of the small businesses who are suffering real tough to make both name and fame!

Windo – Revenue Model

Windo has got 2 sorts of plans. They are:

Sprout plan (free)
Blossom plan

Sprout Plan

Online payments
Endless products
Customer support
Endless orders

Blossom Plan

Custom domain
Priority customer support
All in the free plan and more
0% transaction cost

Windo – Funding and Investors

Windo has raised a funding of $500 K in June 2021.

Date	Stage	Amount	Investors
June 2021	Seed	$500 K	Aravind Sanka, Srinivas Anumolu, Meena Ganesh, Vivek Bhargava, and Unicorn India Ventures

Windo – Growth

Windo is loved by 10,000 businesses. This is what their official website claims it to be. The love and the support of all of its users are helping immensely to this new startup to survive and grow with all.

Windo – Online and Social Media Presence

Windo is now quite popular on the web because it has got its own official website to showcase all of its products and services, along with its schemes. Not only this but also Windo has got its name on various popular websites like yourstory.com, business-standard.com, etc. The company has got a social media account at LinkedIn.

Windo is considered to be a very simple and a beautiful e-commerce app, especially for store creators. Any sort of small and pretty businesses might choose to register themselves at this platform and make the most of it. Windo is not just an app. It is an opportunity for all entrepreneurs.

FAQs

What is Windo App used for?

Windo is an app for Instagram-focused businesses. It offers solutions to manage small sized business.

Who is the founder of Windo?

Windo was founded by Silus Reddy Chintapalli and Rakesh Vaddadi.

When was Windo founded?

Windo was founded in 2020.

Who has funded in Windo?

Windo has received funding in a seed round led by Unicorn India Ventures. Top investors in Windo are:

Aravind Sanka – CEO of Rapido
Srinivas Anumolu – Founder of Growth Story
Meena Ganesh – CEO of Portea
Vivek Bhargava – Co-founder of ProfitWheel

June 24, 2022

Top 10 Small Business Ideas for Villages and Rural Areas in 2022

A village can be a hub of opportunities for an entrepreneur. There are fewer people and more problems to be solved. If you’re settled in a village or got some money to invest, what better way to provide value than to start your own business? These ideas require relatively less investment and can be a great way to start earning locally. The initiative by the government, Atmanirbhar Bharat has only boosted the startup opportunities in rural areas.

Startups based on local problems and businesses usually do well in villages as they’re trusted by the locals. That being said, here are 10 small business ideas for villages that you can start right now:

1. Kirana/Retail Store
2. Rice/Wheat Mill
3. Organic food supplier
4. Oil Mill
5. Arts and Crafts Store
6. Meat Shop and Poultry
7. Handmade Soaps and Candles
8. Tutoring
9. Internet Cafe
10. E-commerce Store
FAQ

1. Kirana/Retail Store

Minimum Investment required for Kirana Store – Rs.5 lakhs – Rs.15 lakhs

Kirana/Retail Store

Most people in a village have to make a trip to the city just to get essential supplies. This means that a journey has to be made simply to get what is needed for daily life. Even within the village the shops are mostly sparse and spread apart. Starting a Kirana store with essentials can be a well worth investment as people always prefer buying locally.

For getting essentials like dairy, everyday items, and groceries, it’s considered a blessing to have a good reliable retail store in the neighbourhood. Since you live there yourself, people are more likely to trust your business and buy your products.

Keep a standard for quality, inventory and supply chain. This will ensure that you get a steady flow of customers for years. A grocery shop can also be a storefront for many other businesses. Mobile recharge, DTH recharge, household items, etc. can be presented as well. This covid crisis proved that how Kirana stores can be a great investment, as when all the stores were shut retail stores were in great demand.

2. Rice/Wheat Mill

Minimum Investment required for Rice/Wheat Mill – Rs.10 Lakhs

Villages are almost certain to have rice plantations. Farmers normally depend on rice mills in the city to process their produce and this can get tedious over time. They have to pay for transportation and labour. Would you rather go to the city or prefer to get the job done in your village? Starting a rice mill business isn’t too much of an investment.

With the price for machines reducing, you just need a place to set it up and you’re good. Having a rice mill would enable villages to process their product from the village itself. By starting this business you’ll be doing the farmers a favour as well. A trustable mill to get the grains processed will always be welcomed by the people.

3. Organic Food Store

Minimum Investment required for Organic Food Store – Rs.10 Lakhs

If you’ve got the time or hobby to take care of plants then starting an organic food business might be the easiest and profitable business to start in your village. Fresh products are always high on value and in demand. Some people unknowingly grow enough organic vegetables in homes to start a small business. It doesn’t necessarily have to be a farm or large-scale produce.

Retail shops in cities nowadays have a separate section for organic produce. This is also one of those businesses that require the least investment. If you have some area to plant and time to look after the crops then it’s just a little effort to turn it into a successful business.

4. Oil Mill

Minimum Investment required for Oil Mill – Rs.5 lakhs

Oil is essential to almost any cooking project. The prices are also rising ever so slightly without you knowing it. Some people would prefer to get natural oil with their own supplies. In villages, it’s common for farmlands to have a considerable amount of coconut trees. Peanut, sunflower, and palm oils are products that people desire.

Starting an oil mill in a village enables its residence to convert products like coconuts into oils. These would normally be discarded and required oils would be bought. This means people wouldn’t have to travel to the city and they have access to it within the village itself. This does require you to buy the machines necessary but it’s sure to be generating revenue soon as you start.

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5. Arts and Crafts Store

Minimum Investment required for Arts and Crafts Store – Rs.10 lakhs

This is certainly one of the more interesting and low investment business ideas on the list. If you’re talented in art or know someone that is, starting an arts and crafts store could be a great idea. Tourists often visit villages and are willing to pay to get well-crafted memorabilia locally.

It could be pretty pottery, handmade toys, fans, or even handmade jewellery. Although it requires some talent, to begin with, it’s going to run smoothly as long as the place has visitors. Businesses like gift shops, tourist homes, and art stores are usually season-dependent. More people during the holidays will mean more sales. This is something to keep in mind while starting a business of this sort in rural areas.

6. Meat Shop and Poultry

Minimum Investment required for Meat Shop – Rs.5 lakhs – Rs.10 lakhs

In a survey, it was found that 98% of people prefer to buy essential products from a local store. This applies to meat shops as well. Being a mandatory part of the diet, people are meant to make this purchase. Nowadays shops like these sell all sorts of dairy products too. This can be a good business for anyone who sets it up in a rural area.

Butchers can be hired and poultry can be purchased from a farm. All it needs is good management and strict standards of quality. Once the sales start bumping up, you also have the choice to supply to nearby hotels and restaurants which can add to your source of income.

7. Handmade Soaps and Candles

Minimum Investment required for Handmade Soaps and Candles – Rs.1 Lakh

Another relatively easy-to-start small business is selling handmade soaps and candles. The craft requires no acquired skill and can be learned by another with time. People can be hired to work and eventually, your brand of handmade soaps can become a reality.

The same goes for candle-making. Handmade candles that are aromatic and cheap can sell fast. You can distribute your product with your own store or through other retailers within the area. Depending on how you perform, this is a scalable business.

8. Tutoring

Minimum Investment required for Tutoring – 0.5 – Rs.1 Lakh

Tutoring

If you’re qualified to teach or can hire teachers then starting a tutoring service in a small village is a great business idea. Schools in the area mean students who can use help with their studies. Math and Science are popular subjects for tutoring since students find it relatively difficult. With good intentions and a patient mindset, you can help out many children of all ages.

Like all businesses, if your services through an educational institute are good, it doesn’t take long before the place is crowded with students through word of mouth. Every year more students are in need and this means the business can sustain itself as long as you pay your bills.

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9. Internet Cafe

Minimum Investment required for Internet Cafe – Rs.10 lakhs – Rs.15 lakhs

Indian Villages are being transformed every day yet some places still lack basic internet connectivity. In a world where everything from booking tickets to paying taxes is done online, internet access is a must. If the village lacks this basic access then starting an internet cafe can be very profitable.

Cheap hourly prices along with photocopy and scanning will satisfy most needs of the people. In a village without this facility, they would have to travel to the city. This business does require some initial investment for the internet and computers but it will likely be a successful one.

10. E-commerce Store

Minimum Investment required for E-commerce Store – Rs.15 lakhs

E-commerce Store

No matter where you are if you’ve got a product or an idea the internet grants you a way to turn it into a business. The best part about this business route is the vast array of possibilities. It could be anything from a traditional clothing store to something different like earthen pottery. Technology makes it so easy to start up your online store in minutes.

If you’re new to e-commerce some of these platforms have guides to help you learn the ropes. You could have a store that sells a single unique product or multiple products. These products once online can be bought by anyone in the world if you choose. CMS software makes this process a lot easier. If you’ve already got a successful physical store in the village, getting an online storefront can breathe new life into your business and bring in more revenue. Customers will appreciate the convenience and take advantage of this facility faster than you realize.

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FAQ

Which business is most profitable in a village?

Poultry Farming, Milk centre, Flour Mills, and Drinking-Water Supply are some of the most profitable small business ideas in a village.

What are the most successful small businesses?

Cleaning, Social Media Management, Gardening, and Web Design are some of the most successful small businesses.

What business can I start in the village?

Milk Centre, Kirana Store, Electronics, Mobile and Accessories Store, Fertilizers & Seeds Storage Store, and Clothing Store are some of the businesses you can start in a village.

January 5, 2022
Facebook’s Small Business Loans Initiative in India via Indifi – Online Lending Platform
Has Facebook stepped into the banking sector? Will they be renamed for their new venture? Is there any other type of loans and services they provide? A lot of such questions popped up as soon as their announcement of the ‘Small Business Loans Initiative’ came out. However, it is important to note here that even in the past couple of years, Facebook has offered such loans or credit grants to small businesses around the world. They wanted to make it easy for SMBs to secure a loan quickly in times of need. India became the first country for Facebook to launch this ‘Small Business Loans Initiative’ programme, which was launched on August 20, 2021. Read further to know about Facebook’s new loan initiative and the reason for its commitment to it.

Facebook’s Small Business Loans Initiative
Components and Benefits of Loan Initiative Programme
Why Facebook started giving Business Loans in India?
Other initiatives by Facebook
SMBs effect in Indian Economy
A glimpse of Indifi
Conclusion
FAQs

Facebook Business Loans

Facebook’s Small Business Loans Initiative

Small Business Loan Initiative is a new initiative taken by Facebook partnered with Indifi, an online lending platform. Their primary vision is to provide loans to small businesses. They wanted to create an accessible and easy way for SMBs to take a loan without much delay in the process. Businesses that are attached/listed on Facebook, will have the eligibility to apply for this loan.

Though Facebook is leading this initiative, it does not directly involve in the entire process. Fixing the eligibility criteria, processing loans, risks in repayment are all borne by the lending partner. Facebook, on the other side, creates awareness of this programme and formulates regulatory frameworks for this business. It serves as a bridge to connect SMBs with lending partners. India is the first country where Facebook launched this initiative in August 2021. This facility is available to businesses across 200+ cities and towns in India so far.

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Components and Benefits of Loan Initiative Programme

Here’s a look at some of the key features of the loan programme:
1. Loan Amount: Facebook business loan for small business initiative offers the businesses a loan amount ranging from Rs 5 lac-50 lac, which is based on the business requirements. As the majority of the traditional business lenders often shy away from lending money to businesses nowadays, the Facebook loan initiative would certainly be a boon thereby solving the problem of the business capital.
2. A Quick Process and Collateral-Free: The applicants can apply for this loan online and it won’t even be needing collateral. Furthermore, the application process is really fast and simple. Once it is approved, the loan would be disbursed within three working days.
3. Fixed-rate of interest: The Facebook-backed business loan boasts of a fixed interest rate between 17%-20% annually. Notwithstanding, the loan amount, which might be anything between 5 lacs and 50 lacs, the rate of interest is capped the same.
4. Provision for the women: The businesses that are owned entirely or in part by women are allowed special concessions. This would mean a 0.2% reduction in the rate of interest. This initiative is designed to motivate more entrepreneurs in the time upcoming.
5. Quick Support: After the application, the users would be confirmed for the approval of the loan within one working day. After that, they would easily be able to find out the status of the loan by calling the customer service department of Indifi.
6. No processing fee: The Facebook loan initiative for small businesses does not require any processing fees.
7. Collateral-free: The loan initiative programme that has Facebook partnering with Indifi will not need any collateral security against the amount lent.
Why Facebook started giving Business Loans in India?

Facebook’s Business Loan Initiative in India

Facebook has conducted a survey in 2020 with OECD and World Bank, to analyze the challenges faced by Small and Midsize Business (SMB) sectors. The outcome of the survey was the reason for the birth of the ‘Small Business Loans Initiative’. Here are the reasons why:
- The survey showed that the major factors affecting Small and Midsized Businesses are Capital and Cashflow. Timely requirement of Capital is necessary for the efficient and smooth functioning of the businesses.
- Most SMBs expressed their concern about the time taken to obtain credits from financial institutions.
- So, Facebook along with Indifi has taken these issues into its own hands. They provide loans to businesses that advertise through Facebook.
- Under this programme, SMBs can receive credits in less than five days.
- It is evident that Small Businesses are going to push India’s financial and economic sectors. Facebook acknowledged it by saying that they are doing this for the economic growth of our country.
- In the words of Ajit Mohan, Facebook India’s CEO, “We’re not looking to make money from this programme and we don’t have any revenue share. But we are hoping, this creates growth in the economy that will eventually benefit us”.
- Facebook just serves as a platform to provide loans through Indifi. This retrieves the businesses from their constraints caused due to lockdown.
Other initiatives by Facebook

Small Grants Programme was launched by Facebook in 2020. Through this, they contributed a $100 million dollar grant to SMBs across the world. This programme was launched in more than 30 countries. This was to support the SMBs that were suffering from the effects of the Covid-19 pandemic.

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SMBs effect in Indian Economy

Small and Midsized business is the major occupant of the Indian business sector. They constitute roughly 63.4 million units spread across the country. They contribute to 6.11% of manufacturing GDP, 24,62% of the service sector’s GDP. They also contribute an enormous 33.4% towards India’s manufacturing output.

Such a huge sector, when affected largely, has an adverse effect on an economy. As a result, India’s GDP for the year 2020-21, has fallen by 7.3%. India hasn’t faced such a huge drop in GDP in 68 years.

Most of the SMBs operate regionally. They require capital for their day-to-day operations. The lockdown implemented across the country was the reason for their steep downfall. When they returned to business, there was no capital to invest. Facebook identified their issue and addressed it at the right time through the ‘Small Business Loans Initiative’.

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A glimpse of Indifi

Indifi logo

Indifi is an online financial lender that was started to provide business loans to small businesses operating in India. They serve with a motto ‘We Help Small Businesses Thrive’. They stand true to their words by taking all necessary measures towards SMBs development.

It is an Indian company started by Alok Mittal in the year 2015. They provide financial services to diverse business entities like travel, e-commerce, hospitality, retail, etc., Indifi serves to be the first lending partner to be associated with Facebook.

Conclusion

Facebook has taken measures to promote the country’s economy through various initiatives. It has promised to do more in the future. With these tech giants investing in the business sectors, it is going to be a boon for SMBs and as a result to India’s economy. It’s the right time for Small Businesses to capitalize on the opportunities showered on them.

FAQs

Has Facebook launched the Small Business Loans initiative in India?

Facebook India partnered with Indifi, an online lending platform to provide business loans to small businesses.

What is the loan amount offered by Facebook Small Business Loan Initiative?

Facebook Small Business Loan Initiative offers loans from 5 lakhs to 50 lakhs for small businesses.

What is the interest charged on loans through Facebook Small Business Loan Initiative?

Loans by Facebook for small businesses are offered at interest rates of 17% to 19%.
December 3, 2021
How can Small Textile Brands Recover from the Pandemic? | Survival Tips for Textile Industry

In the course of the ongoing pandemic, many businesses faced a downfall in their progress of making a profit. Likewise, small textile brands encountered a behindhand in making a life out of the pandemic market.

While the small textile brands are highly populated by poor people, in order to make a small earning by stitching, embroidering and threading clothes all day. After the government of India proclaimed lockdown, many small scale industry workers returned to their hometowns and migrated, waiting to get circumstances back to normal.

Things were normal when the Government set a time duration to conduct their respective business i.e. 10 am to 6 pm. Whereby, small textile brands worked for 24 hours to meet the targeted profit of the day or month or year. But, the coronavirus unfettered the nation with high cases from April to July 2021, imposing tight lockdown again.

According to the reports, it is stated that 70% of workers didn’t return to work and saw a 60% drop in the sales of textile. On the other hand, the small textile brands faced an epic hurdle in purchasing raw materials from the suppliers as it is unsafe in trading, due to escalating death rates in the country.

Besides, the small textiles have to accept those who are willing to do any task, as the industry is facing a lack of manpower. As is the case, there might be unskilled workers joining the small textiles brands which ultimately leads to the production of low-quality textiles; and people won’t buy poor quality products. Besides, the small textile brands are bungling the concept of technology.

Here, we’re gonna discuss the chance of small textile brands to expand their market from the effect of the ongoing pandemic.

Impact of the Covid-19 Pandemic on the Textile Brands
Things that hampered the production of small Textile units
How can Textile brands survive the Pandemic
FAQ

Impact of the Covid-19 Pandemic on the Textile Brands

The whole Covid-19 pandemic situation made the economic status of the entire world go upside down. As per the study, the 2020’s economy has gone down by –3%.

The world faced a major fallback economically correlated to the 2008–2009 financial crises and the surveys say that it may take at least a year to attain the normal state and solidify their thrift. India is one of the major countries that encountered a high difference, definitely not in a good way.

Considering the available resources and fast-growing markets many foreign institutions were ready to invest in India, and that may have cultivated a huge disparity in the availability of employment.

The textile industry has a huge part in employment creation in India. The closing of the mart ended in creating an unpleasant reaction in the growth of the textile industry; few minor cloth crews curbed their exposition.

Due to the low profit, many units limited their human resources and there were pay cuts. Out of all states, the worst pretentious states in cloth manufacturing during the epidemic are Punjab, Gujarat, Maharashtra and Tamil Nadu.

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Things that hampered the production of small Textile units

Fewer Transportation Facilities

Transportation is the primary element that makes a huge effect on production. The businessmen need transport to supply the product, to get the raw materials and to deliver the goods.

Due to fewer transport facilities during the lockdown, the transportation of goods and buying of fresh products for sales were halted. The people were not even able to deliver the finished products.

No Labours

As transport was not available frequently, the migrant workers shifted back to their hometowns. Their wages were cut short and the companies curtailed human resources.

Bihar, Jharkhand, Uttar Pradesh and Orissa are the states that produce large amounts of human resources, considering the less income, transport problem and their health risks, they moved to their places. So the limited availability of the labourers resulted in the production.

Lack of Raw Material

During the pandemic, the demand for the raw crops reduced and due to that agriculture underwent. As the overall demand for the crops reduced, the production of cotton and silk were also reduced, resulting in less or no availability of raw materials. And as the chemical units were focusing on other significant courses, the dealings of synthetic lessened and the synthetic textiles were affected.

No Capital

Many small textile units were shut down as the production and earnings lowered.

Market size of the Textile Industry in India

How can Textile brands survive the Pandemic

Well, in some way or the other, many businesses are recovering the loss from the effect of the pandemic by engaging efficiently in producing and serving the goods to the customers. And in the case of small textile brands also hyped their production in many ways during this ongoing pandemic.

Unlike other industries, small textile companies lack digital marketing and ergo became a great drawback in achieving their goals.

Here are some ways that the small textiles industries could employ to stay resilient in the market from the effect of the ongoing pandemic.

Make sure workers are Safe and Vaccinated

During the first lockdown in the nation, many small scale workers migrated as per the government rules. So, the first thing that small textile brands should take care of their workers is to prevent the fatal virus across the nation, whereby the necessity of healthcare nearby, nutritious food and safe & hygienic shelter should be rendered to the workers and make sure their vaccinated.

Stay Informed with the Latest Government Guidelines

Secondly, small textile brands should stay informed; the Government should inform the measures and up-to-date information regarding the pandemic to the small textile industries. As is the case, they will take necessary protocols assigned by the Government in order to prevent the spread of coronavirus.

Make sure your financially stable to operate your business

The small textile brands should be financially stable in meeting requirements such as paying wages to the workers, purchasing raw materials, light & power, fuel and transportation and so on.

Furthermore, industries should be producing goods & services at a minimum cost of production and maximum optimization of the product.

Stay in touch with your key stakeholders

Small textiles brands should be in touch with their key stakeholders in order to sustain an affiliate relationship with them.

Provide Recess time for Workers

Brands should provide recess time for workers, who are working 24/7, as this would aid to reduce the cost of excess labour & augment efficiently and effectively in the production of goods and services.

Make necessary changes according to the environment

Lastly, the small textile brands should accomplish the set of goals without any objections in doing so and respond to any changes happening in the working environment.

If the above points are followed by the small textile brands, then the chances of getting opportunities in the market are high during the pandemic.

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Conclusion

The countries confronted a huge economic deterioration. No country was nimble to evade the losses that the pandemic resulted in. The economic rate of the country is poorly approximated to the financial crisis the world faced in 2008–2009. But it doesn’t mean it’s not possible to improve it.

Fetching back to regular and recouping the stability like before the pandemic may take a few months or also years. And the small textiles that faced a great loss have to find a way to improve their state. They have to create new strategies to sell their products in a modern way and yet not skip and obey the government protocols.

FAQ

What is textile business?

The Textile industry consists of the design, production and distribution or marketing of yarn, Fabrics or readymade clothing.

Which city is famous for textile in India?

Bhilwara is India’s largest manufacturer of fabrics and is also known as Textile City of India.

Is textile industry profitable?

Yes, textile industry is considered as a profitable industry for new and aspiring entrepreneurs.

October 2, 2021
Is Amazon Killing Small Businesses? [Case Study]

The pandemic has transformed the world into a digital one. There has been observed drastic change with the people in the field of shopping. And with such an advancement, people are entirely relying on the internet for any purchasing.

From household products to festive clothing, everything is available on the Internet and people are purchasing these as well. A wide fraction of people prefer online shopping apps for any purchase.

Among these, Amazon is one of the most established shopping applications across the world. In fact, Amazon is counted among the triumphant companies that hold the position to beat the consumer and retail industry!

With the popularity of Amazon, many small businesses consider it quite dominant in the retail industry. People are acknowledging how Amazon’s immense success is causing great loss to small businesses. Whether these are accurate and true, can’t be asserted right away! But a question arises, Is Amazon killing small retail businesses?

Well, looking back at some previous analytics, this accusation on Amazon isn’t something new. As of 2019, Steven Mnuchin, the United States Treasury Secretary also mentioned that Amazon, being a harm to the retail industry. To discuss this matter briefly, we have presented this case study- Is Amazon killing small businesses? Let’s begin!

Amazon and Small Businesses
Consumers’ perspective during the Stay at Home orders
Amazon’s perspective on being responsible for the downfall of Small businesses
Modifications by Amazon for Success of Businesses
FAQ

Amazon and Small Businesses

Amazon, being the world’s one of the biggest online shopping companies, managed its way to success even in the dreadful pandemic of 2020. It made a huge profit towards the sales. At the beginning of 2020, Amazon made a profit of $5.2 billion beating its previous record of $2.6 billion in 2019.

The most significant thing about Amazon’s success is that the company modifies its policies and practices based on the resources and customers’ requirements. The company adjusted its services during the pandemic, that’s why it made such a remarkable profit.

With the immense success and fame of the company, the accusations on Amazon for killing the small businesses increased more vibrantly. The small businesses entirely blame Amazon for destroying the consumer and retail industry. Many examples and proves came out claiming Amazon for killing the small businesses but, many of these couldn’t be proven accurate.

Amazon Annual Net Revenue (in billion U.S. Dollars)

Consumers’ perspective during the Stay at Home orders

With the dreadful condition of Covid-19, people have become more cautious with their lifestyle, especially in the shopping part. People across the globe changed their offline shopping techniques into digital ones. And on that note, Amazon experienced massive progress and development. Because of this, Amazon made such a great profit even during the global crisis.

Amazon spent over $4 billion on further Covid-19 costs. And with this, the company took over various services adaptation. Amazon functions with great strategies and process improvements.

But even after this, Amazon is considered the destroyer of small businesses. It is highly criticized by the critics in a bewildering manner. But the company believes in helping and driving more audience to the small businesses but not in being a destroyer for them. However, the company remains on the top, regardless of its various accusations.

No matter how many proofs come out, any company itself cannot be blamed responsible for the downfall of small businesses.

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Amazon’s perspective on being responsible for the downfall of Small businesses

On asking about the accusations made on Amazon, Jeff Bezos, the founder and executive chairman of Amazon mentioned in an interview that the company itself holds a very strong and beneficial relationship with its sellers, who are small and medium-sized businesses. Amazon believes in helping the sellers to gain profit and success as it would bring more choices that could actually lower the prices of their products.

In fact, Amazon works with around 1.5 million small to medium sellers, just in the United States. As the more such sellers would join Amazon, the more benefits the customers will get such as free delivery, shipping, and low prices.

Although Amazon is affecting the small businesses, it means no harm or demise for them and brought a performance standpoint in the marketing field. Amazon has brought a great advantage in the retail industry as reaching customers has become very easy and profitable.

With the digitization in every sector, people are becoming more connected with E-commerce platforms. That’s why small and medium-sized businesses are also enrolling in the digital platform as an advanced marketing tool.

There’s huge competition in the market among established brands and small businesses. And those who would adapt to the changes that come to them will be known as being the biggest.

Modifications by Amazon for Success of Businesses

Amazon has taken the retail industry to an advanced level. And with its popularity and services, it has brought absolute convenience for the sellers to reach out to more customers and suppliers. Many concluded this as contraction to the claim made on Amazon.

It is entirely undeniable that Amazon has basically lifted up the performance level in the retail industry. Due to this only, dozens of independent brands and small businesses are holding the potential to compete with large corporations and established brands.

As the consumers on the global level are increasing rapidly and so as the digital marketing platforms. People are preferring online shopping more promptly. On that note, small and medium-sized businesses must acknowledge this advancement and work accordingly. This would help them to embrace the changes that come on the way, instead of complaining.

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Conclusion

Amazon has worked tremendously to gain the customer’s support and its success. In order to do so, it has widely increased the competition in the retail industry which has not been well received by the small and medium-sized businesses.

Various claims have been made on Amazon, accusing it of killing the small business. But as it has raised the competition, it has also brought several opportunities for sellers (including small and medium-sized businesses) to reach the customers more frequently and with good services in hand.

The whole world is digitizing and as people are becoming more reliant on digital sources for any purchase, it’s a great opportunity for small businesses to modify their services and take up the stand with the E-commerce platforms. This would bring immense advantage for the small businesses. Just that, Amazon has accepted the changes that came for it and adapted it as well. That’s why it has grown to be the biggest online shopping company.

FAQ

Is Amazon killing small business?

Amazon is helping small business and retailers. As because of Amazon independent brands and small businesses can compete with large corporations and established brands.

What impact does Amazon have on small businesses?

The more sales businesses do the more money Amazon generates. Amazon has also invested more than $30 billion in logistics, tools, services, and employees to help small businesses.

Do small businesses sell on Amazon?

Yes, many small businesses are selling their products on Amazon.

August 27, 2021
Impending Challenges in 2021 for Small Businesses

Small businesses are in fact the biggest assets of any nation, especially developing countries. The amount of employment that they generate and hence the ripple effect that it gives to multiple families at different levels helps in the upliftment of the economy as a whole in its self.

This is one of the major reasons why every government put in a lot of effort to boost small businesses. However, 2021 will not be a cakewalk for them due to various reasons. The pandemic and lockdown restrictions only add to their pile of problems.

Mounting Uncertainties
Lack of Physicalities
Technological Divide
Unemployment
Changing Market
Work-Life Balance
Skewed Production
FAQ

Mounting Uncertainties

Long gone are the times when businesses used to plan their events at the beginning of every business year and stick to them. Now due to the uncertainties regarding the intensity of waves, casualties and restrictions in place, it is extremely difficult for these firms to plan their activities to ensure a proper flow of revenue or interactions at least.

The fear of plans being shut down and the resulting economic loss prevents them from planning things at the site of slight improvement as well. This lack of planning further aggravates the uncertainty and adversely affects the companies

Lack of Physicalities

Considering the fact that Coronavirus situations are bleak and uncertain everywhere it is likely that the remote working will be continuing during a larger part of 2021 as well. Although it has proven to be a very effective method, it comes with its own disadvantages. Many small businesses find it difficult to run their business in the absence of off-line interactions especially due to the nature of the kind of business they do.

Technological Divide

The lack of adequate technology has rendered a lot of small businesses rather helpless. The continuous technological advances on the other side further push them back in the race. This technological divide costs small businesses a huge sum of money.

The pandemic further aggravated the situation by creating a circumstance wherein they had no other option but to update their technology. While this has also helped quite a number of small businesses to adopt newer technology which they would have never done otherwise, it has also led to the permanent shut down of many others due to their inability to cope up with this competition.

There is still continued neglect by the government with regard to helping small businesses to bridge this technological divide. And hence it will continue to be a huge challenge for them in 2021 as well.

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Unemployment

As most of the economic activities came to a standstill since March 2020, many organisations had to cut down a lot of employees to sustain themselves without permanently shutting down.

Unlike most of the cases, this unemployment was detrimental to the smaller businesses in its self and not just to the employees. On one side they had no other option but to let go of even their most valuable workforces while on the other side it cost them a fortune by letting them go.

With the lack of a proper workforce and the continued financial constraints that these small businesses are facing, unemployment and the loss caused by it will continue to be a challenge for them.

Changing Market

Earlier the changes in trends and the strategies required to stay afloat and even prosper were more far fledged than now. But these days patterns and desires of consumer behaviour are changing so drastically that every business needs to adapt to newer marketing strategies to be active in the industry.

This can be clearly observed with regard to the larger changes that have come to the television industry wherein the patterns of viewership changed drastically post lockdown and almost all businesses had to change their marketing strategies to fit into this new change.

Such a highly dynamic market situation will stunt the growth of small businesses. Unless and until they evolve techniques to shift from one strategy to other in a cost-effective manner the current situation will continue to be hostile for them.

Work-Life Balance

The lack of work-life balance is one of the biggest challenges that is going to affect the productivity of small scale businesses. Earlier people were clearly able to divide their professional and personal life by giving proper time to both.

With the advent of work from home, people had no other option but to mix both of them together endlessly which makes them feel that there is no end to work and there is no time for themselves away. This makes them more burned out.

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Skewed Production

The varying restrictions across the globe have also affected every component of businesses. Small scale firms being not so established becomes the worst affected. Those companies whose materials are sourced from other states or countries get affected due to the restrictions that are in place there. This lack of uniformity staggers the activity of the firm as a whole.

When production gets affected it has a ripple effect on each and every aspect that follows; up to the delivery of the product to the customer. Improper production also means increased cost. Since the pandemic situation is not completely tackled, small businesses will continue to be at the risk of skewed productions and the confusion and stagnation that follows.

Conclusion

An analysis of all the challenges that small businesses are facing in 2021 brings one conclusion. All of the obstacles can be tackled with effective support from the stakeholders and the government. Addressing the issue of the technological divide is the most important thing to be done immediately.

As far as the restrictions are concerned governments can plan them in such a way that it does not hamper economic activities while controlling the extent of overall movement of the population. The businesses should also adapt to effective mechanisms wherein they can shift their strategies and tools as the business climate demands.

FAQ

What are the challenges of small business?

Finding the right talent, Tax complexity, Cash flow issues and lack of adequate technology are some of the challenges faced by small businesses.

What is one of the common difficulties faced by small business owners?

Lack of cash flow is one of the most common difficulty faced by small business owners.

How many employees should a small business have?

A small business should have 50 or fewer than 50 employees.

August 6, 2021
Organic Farming in India: Tips & Tricks
Starting with something new has always been a fascinating idea. Especially when you are about to start something exclusively for you and your family then it comes with a layer of responsibility since you have to think widely about the positive outcome that they will be expecting from your venture.

Now, if you are looking to giving organic farming in India a kick start, then there are few things you might need to keep in the mind and at times make your family understand your ideas and convince them so you could accommodate their trust and support as a whole. But before you try and enlighten others, make sure you have enough knowledge with you so you don’t sound confused while answering their doubts.

What is Organic Farming?
Basics of Organic Farming
Volume of your Venture
Selecting Site for Farming
Understanding the Soil
Things to Consider
Taking Care of Crops
Understanding the Market
FAQ’s
Conclusion

What is Organic Farming?

Organic farming in India is a wide-spread strategy for yielding food crops and livestock that includes significantly more than picking the idea of not utilizing fertilizers, pesticides, genetically altered organisms, antibiotics, and growth hormones.

Organic Farming in India

Organic farming in India is a comprehensive framework intended to enhance the profitability and wellness of various networks inside the agro-environment, including soil organisms, plants, animals, and individuals. The chief objective of organic farming in India is to create ventures that are reasonable and sustainable for the environment.

Organic farming in India is an agrarian strategy that involves utilizing organic information sources and essentially diminishing the measure of synthetic substances. This method of farming also includes no usage of growth hormones in any way that it brings about decreased contamination and soil corruption.

In this way, the food we consume post-production becomes healthier and we get the absolute fresh and natural things to eat. Not to mention if you are diet conscious or a fitness freak then you must be an admirer of the all-natural way of producing food and consuming them.

Basics of Organic Farming

People often perceive things in a different way. What one person involved in organic farming in India believes is correct, trusts in, and practices probably won’t suit the prerequisites and objectives of another person who is also into organic farming in India. As a rule, quickly executing the informal advice can be counterproductive. Therefore, learning the basics of natural and organic farming in India is the initial phase. This certainly gives traces of what one may expect and where one ought to be beginning from. It is useful to infuse resources into pre-hand research.

Organic farming is growing

Additionally, it is also crucial to be attached to discussions with individuals who are presently doing the business. Partake in organic farming in India training projects and farmer-meet-up conferences. The experience of another farmer who already had gone through a similar phase can be extremely useful in making the exploratory process more polished.

The internet too has an enormous function as there is a huge playlist of instructional exercises, recordings, and online discussions about Organic farming in India. You might also get several books talking about organic farming in India as well. You can stay updated with the latest news related to the most recent patterns in organic farming in India, its advantages, and furthermore its significance with the assistance of OFAI (Organic Farming Association of India) — One of the biggest network of organic farmers in India.

Also, there is NPOF – the National Project on Organic Farming is, indeed, an extraordinary stage for all the organic farmers in Hyderabad to associate with a differing set of similar people container India.

Volume of your Venture

If you are undertaking organic farming for your weekend schedule, you could start in your backyard or terrace. Many of the working experts across the country have begun seeking organic farming in India as of their minor perspective with controlled agricultural techniques that are less labor-oriented.

However, in case you live in a gated community where this idea is shared among many like-minded individuals, a plot inside your locale can be distributed to make smaller than normal organic farms at a more prominent frequency. If you want to change your passion into a profession then you might need more prominent arrangements and a large-scale investment as well.

Selecting Site for Farming

The location of your venture plays an imperative part in any venture to be successful. The area of your organic farming in India typically decides how the endeavor will turn out. The organic farming site ought to be close to a clean water source: water is the most important asset for crop development and health.

In case, your water source is far away, it is significantly harder to deal with the irrigation measures. As an initiation, this might seem to be a monotonous thought to make but on the other hand, is essential for effective working on your farm.

The closeness of the organic farming area to the commercial center adds a major function in the manageability of the farm. The farm’s closeness to the market includes easy communication for selling. Likewise, this helps spare costs while shipping materials to the farm.

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Understanding the Soil

Soil is considered to be the foundation base of your farm. Starting from its appearance, well-being, and equalization everything is responsible for the production result. Therefore, it essentially becomes important to get when and how to develop your soil and make the most ideal condition for your harvests to endure and flourish.

Soil is essential- Organic farming in India

Things to Consider

Here are some things you need to consider before starting your farm.

1. Cultivation Time

Not everything will grow every time you put them under the soil and expect them to yield. So need to have a track of time and know which time is suitable for what step you will take.

Spring (February to April) – Best suitable for preparing the soil for new plantation.

Fall (October to November) – Suitable for the purpose of covering and layering the organic matter from your farm on the top-soil.

2. Analyse Your Soil

Clay or dense soil – Retains a lot of water and is preferable season is the fall, for utilizing the moisture-rich soil effectively.

Loose or sandy soil – Lower in water retention and is advisable to cultivate during the spring to add the suitable moisture-retention and to create a good ecosystem for your farm.

3. Types Of Crops

Deep-rooted crops – Drought resistance as the roots are capable of drawing a high amount of water from within. For instance, tomatoes, pulses, melons, and coarse cereals fall under this.

Shallow Rooted Crops – Higher dependency of water supply and requires continuous hydration. Monsoon is the best season for these crops. For instance, corn, cabbage, cauliflower, and mustard are the perfect ones.

4. Organic Manure

Green Manure – Green fertilizer helps in fostering a superior soil structure and the richness of the soil. They provide organic matter, an extra measure of Nitrogen, particularly if you are going for vegetable cultivation.

Compost – New deposits from the farm and household residues can be accumulated, saturated, and turn to get aerated at times and deteriorate steadily by reducing the Carbon: Nitrogen proportion.

Usage of fertilizers

The residues that you can use are the following.
- Crop straws
- Crop residues
- Leaves
- Bagasse
- Groundnut husk
- Paddy husk
- Sugarcane trash
- Cattle dung and urine
- Kitchen and vegetable wastes
- Household garbage (biodegradable)
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Taking Care of Crops

The way toward growing a crop is very time-consuming. Organic farming in India requires some serious devotion and more consideration contrasted with regular cultivating. There are sure procedures that should be considered relying upon the plant and farm condition.

Understanding the Market

Marketing for any startup is a pivotal process to grow. Even in farming, it is imperative to know what sort of market you will need. to provide a good increase. Some horticultural items may not make a good sell in a specific sort of market. This thought is useful in making your venture sustainable.

The growth of organic food sale

While the consequences of organic farming may appear to be alluring, the way toward setting up and keeping up the farm is an extremely hard one. It takes difficult work, tolerance, perseverance, and a high level of confidence. If you need assistance, refer to InAcres — a team of devoted individuals with a goal to promote and produce integrated organic farming in India and there is Community Supported Agriculture (CSA) — another team that fosters the pursuit of involving eco-friendly ecosystems all around the country.

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FAQ’s

Why organic farming is bad?

There is a huge downside because of the extra land that is being used to grow organic crops,” said Stefan Wirsenius, an associate professor at Chalmers. “If we use more land for food, we have less land for carbon sequestration. The total greenhouse gas impact from organic farming is higher than conventional farming.”

What is organic farming and its benefits?

Compared with conventional agriculture, organic farming uses fewer pesticides, reduces soil erosion, decreases nitrate leaching into groundwater and surface water, and recycles animal wastes back into the farm. These benefits are counterbalanced by higher food costs for consumers and generally lower yields.

Is Organic Farming Profitable in India?

According to International Fund for Agriculture and Development (IFAD), India has more than 15,000 certified organic farms. Organic farms are generally more profitable and environmentally friendly, as it uses fewer chemicals and the residue is comparatively less chemical-intensive.

How can I start organic farming in India?

Things You Need to Know When Starting an Organic Farm
- Learn the basics of organic farming.
- The site is key.
- Match the land with what it is best for.
- Know your market.
- Prepare the soil and make good compost.
- Take care of what you plant.
- Seek a mentor and network with people.
- Seek a mentor and network with people.
Why Organic farming is expensive?

Organic foods are difficult to grow as they need high involvement and more time to grow. Moreover, lower yields of such crops and poor supply (still developing) chain further increases the production cost.

What are disadvantages of organic farming?

Disadvantages of organic farming
- Organic food is more expensive because farmers do not get as much out of their land as conventional farmers do.
- Production costs are higher because farmers need more workers.
- Marketing and distribution are not efficient because organic food is produced in smaller amounts.
Is organic farming difficult?

Some areas are natively organic, but others that are large producers of pulses etc., have been farming with chemicals. Converting these into organic has many challenges, however, from a broader perspective, these challenges can be met with proper counter-measures and government policies.

Conclusion

Farming these days is done by putting people’s lives at risk with harmful pesticides and fertilizers. The main problem is the population growth in India. As the population increases, the demand and supply for foods are also increased. To cater to the needs, food production is done by using chemical fertilizers, toxic pesticides, and hybrids. Due to the excess use of chemicals, human health and nature are being adversely affected. To solve this issue, Organic Farming is the best possible solution to protect ourselves and nature from deadly chemicals.

Organic farming is a traditional way of farming that has been followed for ages. In India, organic farming is an agricultural method that is aimed to grow crops so as to keep the soil alive. It is done by following good practices using organic waste, waste crops, animal and farm waste, aquatic waste, and other organic materials.
March 25, 2021
All About Microfinance Models In India
Microfinance – also called microcredit- is a way to provide small business owners and entrepreneurs access to capital. Small and individual businesses don’t have access to traditional financial resources from major institutions. It is harder to access loans, insurance, and investments that will grow their businesses. This sector has been instrumental in creating opportunities for low-income households by providing credit access to 64 million unique live borrowers who were previously beyond the reach of traditional financial services. Additionally, the microfinance sector has its own set of challenges, ranging from lack of formal credit history, absence of collateral, laborious customer acquisition process, and low digital and financial literacy. There are various microfinance models in India many of these models are indeed ‘formalized‘ versions of informal financial systems.

Some of the significant features of microfinance are as follows:
- The borrowers are generally from low-income backgrounds
- Loans availed under microfinance are usually of a small amount, i.e., microloans
- The loan tenure is short
- Microfinance loans do not require any collateral
- These loans are usually repaid at higher frequencies
- The purpose of most microfinance loans is income generation
Market share of financial institutions in outstanding portfolio

Government initiatives play a significant role in channeling the credit flow to underserved sectors through priority sector lending, Micro Units Development, and Refinance Agency Ltd. (MUDRA) Yojana, loan co-origination, and private sector investments. In the last couple of years, the microfinance sector has seen promising growth on the back of the rapidly growing Indian economy.

Microfinance in India

Small and medium enterprises (MSMEs), thereby increasing the contribution of these segments to India’s overall GDP. In FY19, the microfinance sector displayed 40 % growth in terms of the loan portfolio. INR 10 billion funds have been released by the Small Industries Development Bank of India (SIDBI) to boost the microfinance sector. SIDBI has tied up with non-profit organizations and social ventures to channel funds at below-market rates to facilitate affordable borrowing.

In recent years, the microfinance sector has faced new challenges such as:
- Limited access to low-cost funding for Microfinance Institutions (MFIs)
- Low financial and digital literacy among targeted Borrowers
- Over-borrowing
- The demand for more innovative
- Customer-centric products
Reserve Bank of India (RBI) has played a significant role in enabling the microfinance sector to reach out to new geographies. Recently, the Government of India has also increased the microlending limit of borrowers to INR 1.25 lakh to expand the reach of the microfinance sector.

Needs of the microfinance ecosystem
- Availability of alternative capital funding channels
- Customer centricity
- Mature risk and regulatory landscape
- Streamlined operations of customer-facing personnel
- Robust credit risk assessment mechanisms
- Technology enablement for the ‘high-touch’ industry
- Women empowerment and the emergence of an entrepreneurship-driven landscape
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Different Models of Microfinance in India

Associations Model

The target community forms an ‘association’ through which various microfinance (and other) activities are initiated. Such activities may include savings. These associations or groups can form of a youth, women. It is also formed around political/religious/cultural issues. It can create support for microenterprises and other work-based issues.

According to NABARD, SHG-BLP is the world’s largest microfinance program in the world.

Bank Guarantees Model

A Bank guarantee is used to obtain a loan from a commercial bank. This guarantee may be arranged externally ( through donor/donation, government agency, etc. ) or internally (using member savings). The loans obtained may be given to an individual or they may be given to the self-formed group. It is a form of capital guarantee scheme. Guaranteed funds may be used for various purposes, including loan recovery and insurance claims. The guaranteed funds can be used for various purposes such as loan recovery or insurance claims.

Bellwether Microfinance Funds (India) is one such example.

Community Banking Model

In India, community banking looks very different. Self Help Groups (SHG) are often instituted in which members of the local community join together and pool capital resources for lending to members. They value transparency in their practices and utilizing their savings for their purposes of lending.

A successful example is the Royal Bank of Scotland (RBS) Foundation India, which has various microfinancing programs to help the poorest communities across India.

Challenges in accessing credit from the formal sector

Cooperatives Model

A co-operative is an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically-owned enterprise. The members are the shareholders and have their share in equity capital. They also share the profit.

Co-operative Development Forum Hyderabad is a successful example of this model. It has built a network of women’s thrift groups and men’s thrift groups.

Credit Unions Model

This model is based on a member-driven credit union, a self-help financial institution. A union of members is formed. These members form the common community. They agree to save together and give loans to each other at a nominal rate of interest. A credit union’s membership is open to all who belong to the group, regardless of race, religion, color, or creed.

The members are people of some common bond:
- Working for the same employer
- Belonging to the same church
- Labor union
- Social fraternity
- Living/working in the same community
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Grameen Banking Model

It promotes credit as a human right and is based on the premise that the skills of the poor are underutilized. The Grameen Bank (GB) is based on the voluntary formation of slight groups of five people to provide mutual, morally necessary group guarantees instead of the collateral required by conventional banks.

The whole center is jointly responsible for the repayment. Grameen model is being followed by Sarv Seva Abhiyan (ASSEFA), Activities for Social Alternatives.

Intermediary Model

This model positions a third party between the lending institutions and the borrowers. The intermediary plays a critical role in generating credit awareness and education among the borrowers. Intermediaries could be individual lenders, NGOs, microenterprise/microcredit programs, and commercial banks (for government-financed programs). The intermediaries are incentivized in monetary and non-monetary forms.

Individual Banking Model

This is a straight forward credit lending model where microloans are given directly to the borrower. The individual banking model is a shift from the group-based model. The MFI gives loans to an individual based on his or her creditworthiness. It also assists in skill development and outreach programs. Co-operative banks, Commercial banks, and Regional Rural Banks mostly adopt this model to give loans to the farming and non-farming unorganized sector.

Self-employment women’s association in India s one such example to have adopted this model. The members own and govern the group.

NGO Model

NGOs are one of the key players in the field of micro-financing. They help the cause of micro-financing by playing the intermediary in multiple dimensions. Non-governmental Organizations (NGOs) played a vital role in rural reconstruction, agricultural development, and rural development even during a pre-independent era in our country. NGOs became a supplementary agency for the developmental activities of the government and in some cases, they become alternatives to the government.

Non-governmental Organizations are committed to the upliftment of poor, marginalized, underprivileged, impoverished, and downtrodden and they are close and accessible to their target groups.

Various NGOs are helping the cause of micro-financing. For example, MYRADA in Karnataka, SHARE in Andhra Pradesh, RDO (Rural Development Organization) in Manipur, RUDSOVAT (Rural Development Society for Vocational Training) in Rajasthan, and ADITHI in Bihar.

ROSCA Model Or Chit Funds

Rotating Savings and Credit Associations or ROSCAs, are essentially a group of individuals who come together and make regular cyclical contributions to a common fund, which is then given as a lump sum to one member in each cycle. At the end of a cycle, the total fund collected goes to any one member. Rotating Savings and Credit Associations are a means to save and borrow simultaneously. There are lakhs of ROSCA functioning in India today.

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Village Based Model

It is closely related to the community banking and the Group model, this is the community-based saving and credit model. A group of 25-50 people gets together to enhance their income through self-employment activities. They get their first loan from the implementing agency, which helps them form the community credit enterprise.

Small Business Model

This model places a big responsibility on small and medium enterprises. This has been changing, as more and more importance is placed on small and medium enterprises (SMEs) – for generating employment, for increasing income, and providing services that are lacking.

Future of Microfinance in India
- Affordable borrowing for one and all: Easy access to microcredit
- Reaching the doorstep of every unbanked customer
- The road ahead for a digital microfinance
- Leveraging women empowerment and mobilizing the entrepreneurial landscape
India aims to become a USD 5 trillion economy by 2025 and the microfinance industry will play a leading role in uplifting the lives of millions of low-income households and enabling them to contribute to the country’s economic growth.
December 21, 2020