Oman’s commitment to economic diversification and fostering innovation has led it to become a hotspot for entrepreneurs seeking to launch Small and Medium-sized Enterprises (SMEs), with numerous companies and resources available to help you craft your business every step of the way. While starting a SMEs is a journey filled with promises, it is not without obstacles.
Shatha al Maskiry, Country MD of Protiviti Oman, shares her advice on navigating the pathway across Oman’s entrepreneurial landscape, explaining “in a market with low spending power, SMEs must consider various factors to navigate challenges and scale effectively. Firstly, prioritize being customer-centric – understand market dynamics, economic conditions, and consumer behaviors.”
This is evident in the statistics of today’s hypercompetitive market, with up to 89% of consumers switching to a competitor after a poor customer experience (Harris Interactive), while good brand customer experience generates 5.7x more revenue than competitors who fall short (RCE). She stresses a critical factor to consider, advising the entrepreneur to “align their business model with the needs and financial capabilities of target customers,” explaining “this is an area requiring constant attention as it is subject to change influenced by external factors beyond our control”.
By tailoring their business models and product offerings to suit the financial capabilities and preferences of their target customers, SMEs can enhance their chances of success”.
Succeeding the challenges of today’s low-spending market landscapes depends on understanding and adapting to economic conditions that directly influence consumer behavior. Economic conditions play a pivotal role in shaping consumer behavior within these markets.
As Shatha advises, “Today's customers seek new experiences and value for money, so focus on essentials and maintain lean operations by remaining resilient, agile, and adaptable. Continuously optimize your processes to enhance efficiency, and negotiate wisely with suppliers to reduce costs.” In markets with limited spending power, prioritizing customer-centricity goes beyond understanding, and actively engages with consumers by soliciting feedback, and continuously seeking to improve products or services to stay up to date with evolving needs.
Another aspect to consider is utilising your resources efficiently, specifically, she advises SMEs to “utilize digital marketing strategically to minimize your marketing budget; social media is a powerful tool for reaching and engaging customers. Pay attention to customer feedback, as customer loyalty is crucial for business sustainability. Loyal customers serve as valuable brand advocates, significantly contributing to our business growth and sustainability.”
Flexibility and adaptability is another key to the success of your SME, as Shatha explains that implementing a flexible pricing model attracts a broader customer base, and advises the entrepreneur to “actively solicit customer feedback and iterate your products or services to meet evolving needs and preferences.” She stresses the importance of collaboration, advising us to “embrace partnerships and collaborations to share resources, reduce costs, diversify products/services, raise funds for expansion, or access new markets,” explaining, “the power of collaboration can be instrumental in overcoming challenges and fostering growth”.
To conclude, we leave you with the thought that standing out in a crowded market goes beyond just the product or service. It involves leveraging location advantage and crafting a compelling, unique value proposition.
Shatha stresses that "in a market cluttered with copycats, our emphasis on strategic location and a distinctive value proposition sets us apart”. Recognize that simply offering the same product or service isn't enough.
Consistency in delivering superior quality, both in offerings and service, forms the cornerstone of an SME’s identity. While others may focus solely on aesthetics, a successful SME will prioritize a seamless blend of exceptional product/service quality and customer experience, to ensure that each interaction with us isn't just about ambiance but an unwavering dedication to excellence, setting us apart from the sea of competitors.
In essence, the landscape for SMEs in Oman, amid challenges of low-spending markets, demands a comprehensive approach. Shatha al Maskiry’s insightful guidance underlines the necessity of customer-centricity, adaptability, and resource optimization. Thriving in such markets requires not only understanding economic conditions shaping consumer behavior but also actively engaging with customers to deliver exceptional value. Moreover, the emphasis on uniqueness, quality, and customer experience differentiates successful SMEs.
By weaving together innovation, adaptability, and customer focus, SMEs in Oman can navigate challenges, carve a niche, and thrive in the vibrant landscape, setting themselves apart in a market crowded with competition.
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