Between rising competition and growing customer expectations, small businesses in India must navigate the wave of technological breakthroughs. Embracing these advancements is no longer optional but essential for remaining competitive in the dynamic market landscape. From collaboration platforms to artificial intelligence (AI) tools, technological developments are transforming how small businesses in the country operate.
Facilitating this transformation is India’s rapid adoption of technology, particularly AI. It reflects a forward-thinking approach to workplace innovation, positioning the country as a leader in leveraging these tools for better collaboration and productivity, thereby enabling Small and Medium Businesses (SMBs) to maximize their impact.
According to a whitepaper, AI in the Micro, Small and Medium Enterprises (MSME) market is estimated to reach $90.68 billion by 2027, growing at a CAGR of 22.10%, fueled by the adoption of cloud computing and IoT-driven solutions. Additionally, 94% of MSMEs recognize AI’s ability to drive business growth, while 87% believe it improves overall productivity. Indeed, SMBs are increasingly exploring leveraging AI-powered tools to enhance collaboration, boost efficiency, and maximize their impact in an evolving digital landscape.
AI Leapfrogs From Buzzword to Business Essential
AI adoption has surged in the country over recent years, with Indian business leaders among the heaviest users globally. A recent Zoom-commissioned report indicates that 80% of Indian leaders use AI daily or frequently, second only to the Netherlands (85%). This high adoption rate highlights AI’s shift from a buzzword to an integral tool for Indian businesses that’s found its way into daily routines. Used for brainstorming, document summarization, automated meeting notes, and advanced search capabilities, these AI tools are enhancing efficiency & workplace collaboration. This automation eases the burden of mundane workloads, empowering employees to redirect their focus toward strategic, creative, or complex problem-solving endeavors that demand human insight and innovation—tasks that are often more critical to organizational success.
The research further indicates that 86% of Indian leaders believe AI significantly boosts productivity, with 90% reporting it enhances the quality of their team’s work—outperforming global averages. Businesses in India are also leveraging AI to free up time (95%), improve communication (95%), and enhance brainstorming (95%), as indicated in the report.
Human Element in Customer Experience
While AI has transformative potential, there still exists a strong need for human involvement & active presence in customer experience to bring in empathy and understanding. The same report indicates that 89% of the participating respondents expect agents to be friendly and 90% expect them to be knowledgeable.
Cloud Contact Center Softwares Taking Centre Stage
Cloud contact center software is gaining traction in India, offering flexibility, scalability, and cost-effectiveness, and transforming the ways businesses interact with customers. The global cloud contact center market is projected to reach $82.43 billion by 2030, with a CAGR of 21.3% from 2022 to 2030. In India, the contact center as a service (CCaaS) market is expected to reach a projected revenue of $879.4 million by 2030, growing at a CAGR of 23.5% from 2023 to 2030. This sector has seen exponential growth, primarily fueled by the rising demand for cloud-based solutions, technological advancements, and an ever-growing need for seamless customer interactions.
For Indian small businesses, cloud contact center software increases the ease of providing robust customer service —such as self-service chatbots and advanced call queues, previously exclusive to larger businesses—without significant on-premises investments. Tech-enabled streamlined processes are also contributing to the increased adoption of cloud contact center software among other technologies.
Cybersecurity for SMBs
Despite growing tech adoption, many small businesses remain vulnerable to cyberattacks with their limited resources and security measures. A SMB Cybersecurity report on SMBs in the Asia-Pacific (APAC) region revealed that despite widespread organizational confidence in cybersecurity, 88% of India SMBs were targets of breach attempts or cybersecurity incidents in the past 12 months. A lack of employee cyber awareness emerged as a key risk factor, with half of Indian respondents acknowledging it as a major contributor to cyber threats.
The consequences of a cyberattack can be devastating for a small business, including financial loss, reputational damage, and operational disruption. It’s essential for SMBs to choose communication and collaboration tools from trusted providers that prioritize cybersecurity and invest in measures to protect themselves from these threats. Choosing trusted tech providers with strong security measures is critical to prevent financial loss, reputational damage, and operational disruption.
Remote Work and the Rise of Collaboration Tools
The rise of remote and hybrid work has increased the demand for collaboration technology. The global collaboration software market is expected to grow from $5.8 billion in 2022 to $19.86 billion by 2032, with a CAGR of 13.1%. In India, 80% of leaders and 82% of employees find in-person meetings productive, but AI and communication tools are helping balance synchronous and asynchronous collaboration, reducing meeting overload.
Remote work demands that businesses have the right tech to help teams work together, even when physically apart. Tools like video conferencing, team chat, and project management software have become essential for maintaining productivity and fostering a sense of team cohesion. For SMBs, unified communication software on mobile devices helps business owners keep their necessary documents at their fingertips when on the move.
The article is authored by Anand Bala, Commercial and SMB Sales Leader, India & SAARC, Zoom
