HELPING MSMEs PROGRESS DAY BY DAY Barbara Dawn Dapul VP for Marketing

MSMEs account to 99.58% of all Business Enterprises operating in PH There are 1,103,044 business enterprises operating in the Philippines, as of 2011 count.

Small Enterprise

Medium Enterprise Large Enterprise

Micro Enterprise

969,889  

123,408  

5,118   4,629  

88%

0.5%

11.2%

0.4%

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F5.  How  do  you  see  your  business  5  years  from  now?  (SA)  [SHOWCARD]  LEGEND:  Significantly  higher  than  Total  at  95%  CL    Significantly  lower  than  Total  at  95%  CL  

SOURCE: Ground Zero 2014, U&A Quant report, TNS (

Star=ng  22%  

Growing  35%  

Expanding  11%  

Maintaining  31%  

Downsizing  1%  

Closing  0%  

F1.  How  will  you  assess  the  current  phase/  stage  of  your  business?  (SA)  [SHOWCARD]  Numbers  in  Blue  /  Red  are  significantly  higher  /  lower  than  Total  at  95%  CL  

Skewed  to  Small  (44%)  

Skewed  to  Small  (20%)  and  Medium  (37%)  

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MSMEs are the backbone of the Philippine Economy, they contribute to about 30% of total PH Output*

MSMEs are the largest employer; Employing to about 65%* of the total PH Workforce

#1 Think Global

#2 The Power of Informal Networks

Younger Entrepreneurs are getting into Business

#3

And they are expanding by branching out, rather than by acquiring new businesses.

Internet Penetration is significantly increasing. Unfortunately, PH MSMEs lag behind.

In PH, MSMEs face multiple challenges…

What are the marketing needs of SMEs?

1 •  Awareness

2 •  Consideration

3 •  Purchase

4 •  Loyalty

SME MARKETING NEEDS

DIGITAL ROADBLOCK WHY ARE SMEs NOT FULLY DIGITALLY ENGAGED?

A major challenge is the lack of:

-  Awareness & Vision -  Expertise -  Time & Budget -  Human Capital -  Simplified offerings -  Personalized Services -  A divide between young, hands-on

digitally-enabled companies, and more tenured companies foreign to digital

WAITING

WHAT ARE SMEs DOING TODAY?

FLYERING “ABOVE THE LINE”

Primarily through word-of-mouth marketing.

POLL QUESTION

What  is  your  business  classificaZon?    Micro  Enterprise  –  AsseZ  size:  below  3M  Small  Enterprise  –  3M  to  15M    Medium  Enterprise  –  15M  to  100M    

h]p://pigeonhole.at    

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HELPING MSMEs PROGRESS DAY BY DAY Barbara Dawn Dapul VP for Marketing