Pandemic-hit MSMEs get a digital lifeline

Crafting Time’s Melody Manalaysay —CONTRIBUTED PHOTOS

For a Filipino enterprise to increase its chances of surviving the COVID-19 pandemic, digital transformation is key. Sadly, most micro, small and medium enterprises (MSMEs) here have been struggling to adopt digitalization.

Some 73 percent or more than 720,000 MSMEs need to increase their capability to digitalize their businesses, according to the September 2020 survey by the Department of Trade and Industry (DTI). The most needed skills include financial, marketing, content management. They also said they need to know the basics of e-commerce and starting an online business.

While loans can potentially help the digitalization of operations, some MSME owners like Melody Manalaysay are hesitant to borrow funds either from banks or through the DTI COVID-19 Assistance to Restart Enterprises Program, due to fears of failing to pay them back.

“I’ve declined several loan offers because, with all the uncertainties brought by the pandemic, I’m unsure if I can indeed pay it back. So I just squeeze all my resources to support my online marketing efforts,” says Manalaysay, co-owner of Crafting Time, a seller of handmade polymer clay jewelry.

The 45-year-old Manalaysay admits shifting operations to digital has been extremely tough for them who aren’t adept at technologies and are used to marketing their products in brick-and-mortar outlets. Thriving in e-commerce during a pandemic may be grueling for many MSMEs, but there are support services and resources available that could help them in their digitalization journey.

PayMongo’s chief growth officer Luis Sia

Accelerator programs

Online payments platform PayMongo, for example, recently launched its accelerator program that will provide local MSMEs with a two-month fee waiver across all payment channels, marketing support and features across all its social media platforms, and invites to exclusive webinars and content. Approved applicants will also receive assistance from PayMongo partners on financial discipline, software development and e-commerce fulfillment. Interested businesses must sign up at paymongo.com/accelerator before Aug. 31, 2021, and pass the application and screening processes.

Nonprofit organization Foundation for a Sustainable Society, Inc. (FSSI), which has been providing financial and capacity-building aid for local social enterprises, on the other hand, is conducting its “Digital Bayanihan” program. Under this, FSSI helps 15 social enterprises, mostly from the countryside, fast-track their digitalization efforts during the pandemic. The program includes a three-month online asynchronous training on the use of a computer, social media marketing, and legal considerations for MSMEs. The participants are each provided a laptop, pocket Wi-Fi and a Microsoft 365 license.

Another program promoting the Filipino “bayanihan” spirit for pandemic recovery is the BPI Foundation’s seven-year running accelerator program “Sinag Spark.” This startup program will select 10 social enterprises with the highest business viability and social impact this year. They will be awarded mentorship opportunities that will equip them with the tools, knowledge and skills to thrive during the pandemic. They will also each receive cash grants ranging from P100,000 to P300,000. For inquiries on future Sinag programs, interested entrepreneurs may send an email at [email protected]. Trias, meanwhile, has been helping its partner MSMEs develop a stable market for their products during the pandemic. One of the marketplaces is the Purple Market PH, a Facebook page through which food, accessories and household products crafted by 114 home-based women artisans from Quezon City, Caloocan, Bulacan, Rizal and Laguna are being sold.

Some handmade products are sold via Purple Market PH.

Online platforms, tools

In addition to the online platform, Trias has been helping microentrepreneurs develop their business plans, marketing skills, skills in social media management and content creation. Trias also helps the partners upgrade their products and packaging to stand out in the competitive online market.

Multinational technology firm Google, for its part, is offering Google My Business, a free tool that allows entrepreneurs to promote their business on Google Search and Maps. By creating an account, an entrepreneur can conveniently connect with customers, post updates and monitor how customers are interacting with their business within Google. The web tool also comes with a free mobile app with enhanced features that allow enterprises to manage their online presence on the go. For more details, go to: google.com/business.

MSMEs may access different technology tools, applications, platforms and resources available to cope with the challenges brought by the pandemic through DTI’s “Tech Tools for MSMEs during COVID-19” Google website. The site features tools and solutions—mostly for free—on e-commerce, e-payment, digital marketing, logistics, work-from-home collaboration, productivity and webinars offered by the government’s partners. To access these resources, go to: https://sites.google.com/view/tech-resources-for-msmes or send an email to [email protected].

Purple Market PH markets a line of unique products.

Webinars

Google is delivering more support for Filipino small businesses during the pandemic through its MSME Caravan that primarily offers free webinars, tools and resources for working remotely and transitioning to digital operations.

The online caravan’s wide range of free weekly virtual workshops on YouTube are taught by Filipino business owners, digital marketers or community volunteers. Topics include interacting effectively with customers through social media, learning how to start using e-commerce and keeping your business relevant to the market. MSMEs may also use Google Primer, a free mobile app that offers quick, easy-to-understand lessons for entrepreneurs and anyone looking to grow their business and digital marketing skills. Individuals may register to the MSME Caravan here: events.withgoogle.com/msme-caravan.

The DTI has also been offering a series of free webinars called “CTRL + BIZ: Reboot Now!” on the digital transformation of MSMEs. In this webinar series, industry experts share their knowledge and tips on how entrepreneurs can successfully grasp business concepts and implement strategies using the digital space. The webinars are streamed on DTI’s Youtube channel: youtube.com/c/DTI_Philippines

Similarly, Go Negosyo’s “Mentor Me Online” provides free live mentoring sessions on their Facebook page with Go Negosyo mentors and guests to equip entrepreneurs with technical and practical know-how on managing their business, and tackle issues and concerns confronting them during the pandemic. Recently, the program has been focusing on the promotion of COVID-19 vaccination in the business sector. To know more about the topics and schedules, go to the Go Negosyo Facebook Page: facebook.com/GoNegosyoOfficial.

—Contributed