Ways SMEs Can Compete With Larger Firms

SMEs are the backbone of the British economy. They do a lot of good for the nation.

That said, these firms are often in a precarious position. Today SMEs struggle to get much of the funding they require to ease daily cashflow concerns. Smaller enterprises can typically struggle even when an economy is relatively stable. 

There are many things SMEs must do to remain afloat, but through it all, they must never lose their competitive edge. It gives them a fighting chance more than anything else, and in many cases, can help them survive and thrive too. 

How can SMEs compete with larger firms? Is a David Vs Goliath mentality truly feasible? Take a look at our musings on this subject below. 

Provide The Human Touch 

People increasingly want to work with personable and ethical businesses. Large and soulless corporations can turn off much of the buying public. 

You’re in a great position to humanise your brand while still enjoying SME status. Sustainability can be hard for SMEs, and everybody understands that, but doing what you can creates a wonderful first impression, especially in light of the challenges. Using less plastic or going paperless can be feasible.

Depending on how small your business is, you may also be able to remember customers’ names and use them. A generally informal approach to business is not only forgiven but can be quite cherished by fans of SMEs. If the nature of your enterprise is to be quite formal about matters, though, that shouldn’t be compromised.

While a community feel can be established by a genuine need to help others, reaching out for support can achieve similar results too. Making contacts, establishing partners, requesting donations – they can all establish goodwill whilst giving your SME a leg up.

Secure Top Tier Technological Support

If you know where to look, you can work with the same entities many big-name businesses do. Not only that, but the technological services they offer can boost your company’s productivity and output significantly.

You could work with entities like the award-winning Totality Services, as they are IT specialists that can help you get the most out of your computing infrastructure. They can help you guard sensitive business data, maximise productivity by managing things like routine maintenance on your behalf, and provide any expert guidance you need around the clock. All of the accreditations they have to their name means you can wholeheartedly trust their expertise.

Social media may not seem technologically complicated, but viral content nearly always depends on quality algorithms and high-quality digital marketing solutions. Working with firms specialising in those areas can also help expand your SME’s reach. 

SMEs are the future, but so too is technology. Establishing closer links with state-of-the-art systems and marketing techniques means your smaller enterprise can operate well beyond many of its constraints. You won’t be a specialist in these areas (unless it is part of your SME’s niche), so calling in the experts ensures you’re never a step out of sync with your competitors.

Master Your Niche

No business is a jack of all trades, irrespective of its size. Though larger businesses claim that they can easily jump between sectors, this is never the case.

Take Amazon, for example. They may ship goods and provide high-quality streaming services, but they also came up with shoddy, overpriced smartphone devices like the Fire Phone in 2014 and an eBay rival service called Amazon Auction that quickly perished. It’s not that expansion is bad, but it’s often only done as a misguided effort to make money in areas where a firm has no business. 

SMEs are more likely to be driven by pure passion. Despite having fewer resources, they can have huge aspirations that could change the world with enough time and hard work. Lean into that sentiment if you can. Not everything is about rapid expansion, but rather a slow-burn success powered by finesse. 

Limits can be frustrating, but they also equip SME leaders with rational thought and an aptitude for responsible business decisions. You can focus on your niche, perfecting your trade instead of being a poor and fleeting imitation of several others. Customers, clients, investors, and partners will respond to that, knowing you’re a safe bet for present and future dealings. 

Participate In Grant Schemes 

The more focused you are on the niche idea behind your SME, the more likely it will earn ‘specialist status’ in that field. More possibilities open up from there. 

After all, the UK government can sometimes reward SMEs with grant money if their proposed projects are particularly appealing. These schemes will vary between sectors, but the overall idea is the same; the more innovative your ideas are, the more likely they can be suitably funded to explore them further. 

Is your SME built on a promising idea? Are a thousand bigger and better firms already doing what you’re trying to achieve, but far better? Originality can resonate a good deal and turn heads, so if necessary, it may be worth returning to the drawing board and amending your mission statement.

Also read: A Practical Guide To Decide On The Right Advertising Medium For SMEs