70% European SMEs lack confidence to scale online
At least 70 percent of small and medium sized business owners in Europe admit to lacking the confidence needed to scale their business in the digital realm. A large group of them needs help in optimizing their logistics, while others need assistance in VAT and customs compliance.
Seeking support and guidance
Despite recognizing the inherent value and growth potential of digitizing their operations, these entrepreneurs find themselves seeking support and guidance. The study, which surveyed 2,500 SME owners across France, Germany, Italy, Spain and the United Kingdom, identified several key areas where businesses are yearning for assistance.
“70% of SME owners want help to navigate VAT and customs compliance.”
A whopping 73 percent expressed the need for guidance on optimizing their logistics and support networks. And 70 percent called for help navigating the complex terrain of VAT and customs compliance.
Growth of SME landscape
The SME landscape in Europe has been experiencing significant growth, with a notable 18 percent increase over the last 14 years. These enterprises now employ nearly 84.6 million people, presenting a substantial opportunity for them to leverage ecommerce to extend their reach and drive sales. In fact, 82 percent of these business owners recognize the benefits of adopting a digital sales approach.
“The SME landscape has grown 18% over the last 14 years.”
Ecommerce, in particular, is hailed as a game-changer by respondents. They said it allows businesses to be accessible 24/7 (45 percent), offering the flexibility to sell from any location (44 percent) and engage with a broader customer base (44 percent). However, the path to digital transformation is rife with challenges, and many SMEs are grappling with the barriers that stand in their way.
Diving in daunting without experienced partners
Yet, owners of SMEs spend 10 hours a week on average researching how to scale up and manage more online sales. For SMEs, diving into the complex world of international regulations can be daunting without experienced partners on board. Navigating the nuances of each country’s laws where they sell their goods adds extra pressure, emphasizing the need for reliable and knowledgeable allies.
‘Launching or scaling an ecommerce business can be time consuming for sellers.’
Xavier Flamand, VP Amazon Europe Seller Services, acknowledged these challenges, stating: “We understand that launching or scaling an existing ecommerce business can be a daunting, complex and time consuming experience for sellers. We want business owners to feel confident and supported in navigating the complexities of topics such as VAT and compliance to ensure that they can transition and grow their businesses smoothly.”