We are SMall but Exist

Opinion

Today I was just beginning to read a full page feature on Ratan Tata-the man spearheading India 's most trusted and loved brand-Tata. Though I thought I would read it, it would be interesting, yet I stopped after a few sentences. What else? It would be another pean to the already much much written about business behemoth. I’m tired of all this. Do I not have other stuff to read today? About some lesser known company, its success story.

The other day I read somewhere about Micromax, the mobile handset maker which is threatening the market leadership of Nokia. The company was started by Rajesh Agarwal as a distributor of computer hardware for brands like Sony, Dell HP etc. Later in 1999, three of his friends joined him as equal partners in the business. One of them, Rahul Sharma, convinced others to enter the crowded mobile phone market and they started making mobile phones in 2008. In two years time, Micromax has acquired the status of India’s 3^rd largest GSM mobile phone vendor, with a market share of 6% after Nokia-62% and Samsung-8%. The company claims to be selling about 1million handsets every month and targets a turnover of Rs.1500 crore by the end of this fiscal. What a wow story!

Why do 99% of business media talk about the big business houses that comprise hardly 5% of the overall enterprises in the country? I don’t know what is their underlying interest? How much of their advertisement revenues come from them? How else is the business of media houses connected to or dependent upon these fat cats? Leaving aside the business rationale, what can be the other underlying reasons explaining the media obsession and near saturation with these successful entities. As I can understand, it is more glamorous to read about a Ratan Tata finding a heir for his empire or Kokila Ben mediating the great Ambani divide. Is it in any way less adventurous to publish something about a startup which has achieved a 35 crore turnover within 2 years of starting up?

You will get to read about the developments taking place at companies like Micromax only on some blog or business website. Conventionally, all Small Business news will keep being relegated to a small corner unless it becomes a Nokia---when it is no more media hungry-when media gets hungry to write about them.

There are some 26 million micro, small and medium enterprises in the country. Nobody talks about them. We only know about their existence through figures-26 million enterprises, employing 62 million of the workforce; contribute 8 % to GDP; 45% to country’s industrial output…blah, blah, blah…nothing more. As if they are static entities where nothing is happening. These are actually the most active centres of our economy where most of the innovations take place, where great ideas are being nurtured into great businesses. It is time the media wake up to their lopsidedness.

Building Trust

How-to

The typical Indian customer is quite wary of trying new products and he simply wants value for every rupee spent. New enterprises are often viewed as just any other fly-by-night company. So no matter you are out with an innovative product or just another one in the competitive market, the first step towards brand building should be to establish faith in your startup. Other strategies to reinforce your brand should go hand in hand. Here's what you can do:

1. Put up your contact details on your website. By posting your phone number, email address, or whatever other contact info you have, you let customers know that you’re here and they can get in touch with you whenever they want. In short, it legitimizes your company and helps put your customer’s mind at ease. Make sure you actually respond to emails and pick up the phone when customers try to get in touch.

2. Add rich details in the ‘About Us’ page. The “About Us” page is the first platform for trust building and creating the important ‘first impression.’ It gives you an opportunity to share your credentials and experience with interested customers. The page can be used to explain the mission, vision and values of your company and thus establish an emotional connect with your customers and add a personal element.

3. Post testimonials from existing customers. Customers are curious to know what their counterparts have to say about their experience. This is for them the most credible source of information. Actually it is a reference check which provides them unbiased advice for and against your product. Let your potential customers hear positive things about your company by posting testimonials on your site. This effect can be enhanced by posting the customer’s picture and also a video.

4. Offer a money back guarantee. All new customers fear the risk of trying something new or from a new company. So what can work best than to eliminate this fear by offering a money-back guarantee. They will try your product thinking, ‘ok, nothing to lose at least.’ Secondly make sure you don’t spoil the good effect of this policy by having too many hidden rules and restrictions.

5. Start a blog. Blogging is a great way to position yourself as an expert in your industry. It is a subtle yet very powerful way to let your customers see that you know what you’re talking about, helping you earn their trust.

6. A well-designed website with quality content. Your business website is the reflection of your brand image. If you have a poorly designed website with incoherent, typo-riddled content, no customer is going to take you seriously. Design and content often create the first impression a customer gets of your company, so make the most of this opportunity.

7. Post your privacy policy. In this age of information hacking, customers are getting increasingly wary of giving out their personal information online because they don’t know who all will have access to it. By posting your privacy policy in clear terms, you reassure customers their information is totally safe with you.