Small and medium, local enterprises (SMEs) are essential to the economy’s health and predicted to lead an economic recovery post-COVID. However, many of these businesses are fighting to keep their doors open since the onset of the pandemic. 89% impacted by the recent rioting and looting in KwaZulu-Natal and Gauteng, according to research by BeyondCovid. Positively, the latest data by Skynamo’s Industry Thermometer for July 2021 reveals that the political turmoil did not have as big an impact on sales as expected.
Zane van Rooyen, Product Marketing Manager at Skynamo, South Africa’s leading field sales app, says that data from the Industry Thermometer, which benchmarks industry sales activity and sector health, showed decreased sales in previous months, but not as much as had been anticipated. “It does indicate though that there might be a bigger longer-term impact on the recovery. SMEs are working so hard to recover post the pandemic.”
“When comparing July with June orders, we see technology, accessories, sporting goods and pharmaceuticals taking the biggest knocks. These sectors showing lower combined ordering values,” adds van Rooyen. “However, the ordering demands of our services customers increased by more than 500%.” He believes this could be linked to the urgent need to restock after supply disruptions in July.
Continued Growth Across Key SME Sectors
“Encouragingly, our usual steady growth frontrunners — including food and beverages, electronics, building materials and hardware, waste management, and health and safety — have all maintained the consistent month-on-month growth we’ve seen throughout the year,” he says.
Ongoing Economic Uncertainty Still Threatens SMEs
However, with South Africa’s delayed vaccination rollout and concerns about renewed volatility, SMEs still face significant risks. There is critical work ahead to ensure small businesses don’t suffer long-term setbacks in the coming months.
Why Local Support for SMEs Matters Now More Than Ever
Government funding and support remain essential, but Van Rooyen stresses that South Africans also play a crucial role in helping SMEs stay resilient.
“Small businesses should form a community and assist each other whenever possible,” he says. “For those who can, now is the time to mentor other entrepreneurs. Support local non-profits with your time and skills, and back small businesses and startups. Consider offering free training workshops and be generous with your network.”
How the Skynamo Community Stepped Up
This collaborative spirit is exactly what Skynamo’s community of SMEs demonstrated during July.
“We reached out to businesses affected by the unrest and offered to connect customers whose products could help others repair their damage. We also provided a once-off 10% discount on a one-month subscription,” Van Rooyen explains.
Businesses Rally to Help Each Other
The response has been overwhelmingly positive, with customers offering discounts on paint and related goods, PPE, cleaning materials, paper products, industrial supplies, hand sanitiser, disposable masks, IR thermometers, flooring, brooms and office-related products.
Thriving Through Collaboration
<strong”>“It’s been heartening to see businesses rally to support one another,” Van Rooyen concludes. “It has reminded us that when we work together, we can not only survive difficult times but also thrive despite them.”
A related article also appeared in:
Why Africa on Aug 31, 2021
IT Online on Sep 1, 2021
Construction World on Sep 1, 2021
