SMEs unprepared for ecommerce

The Renault-Nissan-Mitsubishi Alliance has warned that small to medium sized businesses are unprepared for ecommerce, and those with fleets need to make better use of technology to improve deliveries.

Almost a fifth (18%) of small business leaders say the sheer pace of the fast-moving world of ecommerce and the rising demand for deliveries is the biggest business challenge they face logistically, closely followed by the ability to keep up with regulation changes (17%)⁴.

Small businesses surveyed across the globe also highlighted changing customer expectations for delivery times (12%)⁵ and urban traffic and congestion (11%)⁶ as key concerns.

While 40% of small businesses feel well set up for the increasing demands of ecommerce, research commissioned by the Renault-Nissan-Mitsubishi LCV business – which is part of the Alliance – has shown that almost a third (30%) believe their business is not ready for these demands as they need smarter technology.

These businesses have cited the need for smarter technology to improve delivery efficiencies, particularly companies with fleet sizes greater than 25 vehicles (45%).

With tech front of mind for driving business efficiencies, 70% of all small businesses believe that better connectivity could improve their business. In addition: 35% of small businesses already using smarter technology in their fleets said that business efficiency is the leading motivation for upgrading their vehicles, followed by cost-savings (21%) and increased sustainability (14%); the ability to speak with companies and individuals to whom they are delivering is considered the leading benefit of connectivity for 30% of small businesses; 29% of respondents also believe the capacity for vehicles in their fleets to communicate with each other is a key advantage of connectivity, while 21% hope to use their vehicles as a third screen; 55% predict their fleets will be fully autonomous in the next 20 years with 38% believing this may happen in as little as in 10 years¹.

Ashwani Gupta, senior vice president of the Renault-Nissan-Mitsubishi LCV business, said, ‘As on-demand consumerism continues to rise, this is a crucial moment to ensure small businesses feel empowered to succeed in e-commerce. We’ve heard from business leaders themselves that prioritising smarter technology for fleets will help to reach their customers with increased speed and scale – factors that are becoming ever more crucial for survival in this space.

‘The Renault-Nissan-Mitsubishi LCV Business recognises the importance of smart technology to increase efficiency and continues to work together to develop connected and autonomous vehicles that cater to the needs of business fleets of all shapes and sizes.’

The survey also looked at the wider expectations for autonomous and electric vehicle technologies, which are primed to bring far-ranging benefits and efficiencies to business fleet owners.

Encouragingly, business owners in multiple countries and from a variety of sectors, including retail, catering and leisure, sales, media and marketing and healthcare, are recognising this technology as being the future of the logistics industry.

Between now and 2022, the Alliance will launch 12 new zero-emission electric vehicles. Over the same period, 40 vehicles will be introduced with different levels of autonomy, all the way to fully autonomous capability.