A new report by The Small Business Institute (SBI) claims that South Africa only has a quarter of a million formal small, medium and micro-sized enterprises (SMMEs) – some way off many other reported estimates.
Moreover, the research shows that while 98.5% of the country’s economy is made up of small and medium-sized enterprises (SMEs), they’re only delivering 28% of all jobs. These sample findings are part of a comprehensive study conducted by the SBI, in partnership with the Small Business Project (SBP), which will be released in early 2019.
Previous reports put the number of SMMEs at 5.6 million – of which 3.3-million were ‘survivalist businesses, 1.7 million micro-enterprises and 554,000 small enterprises’.
According to SBI’s report, as many as 56% of jobs in South Africa are created by the 1,000 largest employers, including the government. And the institute warned that the National Development Plan’s goal of small business creating 90% of jobs by 2030 will be stillborn unless this vital segment of our economy is properly understood. (Business tech 2018)
Let us examine one of the reasons why small businesses are failing quicker than they are starting up………………… YES ……..You have guessed………………POOR CUSTOMER SERVICE!!!!!!!!!
A new concept, NO!!!!! but one that continues to devour the small business community, as many fail to realize the importance of this concept. In this new millennium, our customers are picky, and feel they have the right to be, and I guess they have that constitutional right. What often becomes the deciding factor between businesses today, especially those with similar quality products, is the differentiating factor of Extraordinary Customer Service
I am talking about the basics here folks, a welcoming smile, a friendly greeting, clean premises, competent staff members, by no means rocket science, yet these are the simplicities that constantly get overlooked or ignored……and trust me……….can lead to the failure of your small business.
Maybe it is time to get back to basics ,as we investigate the small business sector, in South Africa. What are you doing in your business today, that will make a customer think?, “ That’s me hooked, I will definitely be back here again”
Some food for thought………until next time……….when we look at more ways in which we can ensure small business prosperity in our country.