Is Entering New Markets a Priority for Philippine SMBs?
Data from a survey conducted in early 2024 shows that global SMBs are prioritizing two regions to grow their customer base.
Fintech company Payoneer has released its second annual SMB Ambitions Barometer, which surveyed decision-makers from 3,779 small- and medium-sized businesses (SMBs) across 15 countries, and found that entering new markets is a major theme. The 15 countries are as follows:
- Argentina
- Bangladesh
- Brazil
- China
- Colombia
- India
- Israel
- Pakistan
- Philippines
- Serbia
- South Korea
- Turkey
- Ukraine
- United States of America
- Vietnam
According to Payoneer, the survey seeks to examine the goals, progress, and barriers to success of SMBs. Based on the results of this survey, one of the key themes that emerged from the SMB Ambitions Barometer is the expansion of the customer base of SMBs. Particularly, SMBs are looking to grow into new trade corridors.
Data from the survey shows that two in five SMBs surveyed are prioritizing two specific regions to grow their customer base over the next five years. These regions are Europe and Central Asia.
Why Europe and Central Asia?
The top reason respondents gave for wanting to expand into these areas is the availability of business and revenue opportunities (45%). Other reasons given by respondents include meeting customer demand (38%) and regional proximity (37%).
Payoneer points out that this is “part of a larger trade diversification trend.” The fintech company notes that the ongoing trade tensions between China and North America have made it more challenging to do business.
Are New Markets a Priority for PH SMBs?
According to the SMB Ambitions Barometer, SMBs in the Philippines are likewise keen on entering new markets. However, for 86% of these SMBs, hiring local talent remains their top priority.
These SMBs believe that this move allows local talent to reap the rewards of globalization while boosting local economies at the same time. In fact, 90% of Philippine SMBs expect the health of local economies to improve.
In addition, 93% believe that their organizations are capable of increasing their revenues over the next 12 months.
