Medac targets to help with the digitalisation of 25,000 small businesses

BY just handing out grants would not be adequate as many B40 group level do not have the slightest idea of what digitalisation or e-commerce is all about. The grants might go to waste as they would not know what to do or how to make use of the grants given.

They require a more holistic approach – the right tools and the right marketing approach in order for them to successfully migrate their business online. Given the current situation, it is important to ensure their survival in the post COVID-19 era.

The Ministry of Entrepreneur Development and Cooperatives (Medac) aims to assist some 25,000 small businesses nationwide to go digital within one to two years in order to help the small businesses to cushion the impact of COVID-19.

“This is largely due the multiplier effect that the ministry expects to see from the various programmes conducted by its agencies, where the most recent include a collaboration between S ME Corporation Malaysia (SME Corp) and Warong Riders delivery service via SME Corp’s Micro Connector Programme,” Minister Datuk Seri Wan Junaidi Tuanku Jaafar explained.

Under this programme, Medac targets to have some 5,000 delivery riders joining the Warong Riders programme nationwide, which will set up in all the parliamentary areas, across the country.

Riders will also serve as peer-to-peer counsellors who would significantly help create the awareness and assist in the migration process of Mak Cik Kiah businesses from traditional to digital

Thereafter, other relevant agencies such as National Entrepreneurship Institute (INSKEN), can help out with the necessary awareness and skill enhancement through trainings and coaching.

To re-cap, INSKEN has helped train about 5,000 entrepreneurs to shift their tradition brick and mortar businesses operations to digital via a special coaching programme the Online Onboarding Coaching (E-Board) – was introduce last July.

Both programmes – E-board and INSKEN Business Training (IBT) – focuses on digitalising businesses through e-market place such as Shopee, Lazada as well as online marketing platfoms such as Facebook advertising, WhatsApp and many more.

The E-board programme has shown good results. In its 1st cohort, an average of 17% increase of sales was tabulated with a total of 250 participants upon acquiring the vital skills and knowledge on how to conduct their businesses online. In fact, there are participants who have enjoyed more than 100% jump while highest sales increase recorded was more than 500%.

Wan Junaidi pointed out that it is a challenging task to convert these small businesses from traditional to digital as it requires end to end assistance as well as hand holding.

Besides that, it is costly to help small business go online and the allocation given Medac as well as its agencies would not be sufficient to carry out this challenging task alone.

Thus, Medac is keen to work with other ministries, on various programmes to help the small business in digitalising their operations. – Dec 13, 2020

 

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