Thai SMBs Take the ‘Hero’ Approach to Running Their Business

PayPal survey reveals that Thai SMBs rank creativity and imagination as top start-up skills


Thailand, 14 December 2009 – According to a regional PayPal study released today, when it comes to the way Thai SMBs conduct business, more than a fifth (21 percent) liken themselves to ‘heroes’ – committed to meeting any challenge before them and leading their business through all types of conditions.
Keys to success

Over a third (32 percent) of Thai SMBs consider creativity and imagination as the most important skill when starting your own company, followed by self-confidence (30 percent) and industry expertise (30 (percent).

The Internet is also playing an increasingly important role in the success of Thai SMBs, with over a third (37 percent) of annual turnover derived from online sales, equating to US $182,000. Global reach, additional sales revenues and staying ahead of the times were cited as the top three drivers for going online. Currently, 66 percent of Indian SMBs have a company website and 52 percent are engaging in e-commerce activities such as offering online orders (89 percent), online payment (56 percent) and online delivery (9 percent).
Potential roadblocks

Almost three quarters (73 percent) of the SMBs surveyed in Thailand intend to grow their business steadily in the next two to three years. However, they are encountering some challenges in meeting their goal. Forty-seven percent are concerned about surviving the current global downturn, 43 percent are facing increasing competition in their industry and 37 percent are having trouble building an online business.

Thai SMBs see e-commerce as one way to overcome those roadblocks and believe it will provide an additional avenue for more sales (71 percent), help them to increase global reach (53 percent) and keep up with the times (51 percent).
The future looks bright

The average annual sales turnover for SMBs in Thailand is currently US$492,200 and the majority of Thai SMBs (80 percent) are either very or quite optimistic about business growth in the next 12 months, with more than 2 in 5 looking at up to 20 percent growth. With over 1.6 billion Internet users worldwide, it is clear that e-commerce will play a very important role in Indian SMBs achieving that growth.

“Our research shows that Thai SMBs clearly recognise the value of ecommerce with the highest proportion (over 50 percent) across the four countries surveyed already engaged in ecommerce activities,” said Mario Shiliashki, General Manager of PayPal Southeast Asia and India. “Convenience, security and minimal set-up costs will help Thai SMBs to overcome their current roadblocks and satisfy their desire to grow internationally and drive additional sales revenues. With over eleven years of experience connecting buyers and sellers across the globe, we offer merchants a cost-effective, convenient and secure way to get started online and grow their business. Plus, research has shown that SMBs can receive an average sales increase of 14 percent when they add PayPal to their site. ”
About PayPal

PayPal is the faster, safer way to pay and get paid online. The service allows members to send and receive payments without disclosing financial information, with the flexibility to pay or get paid using a variety of secure payment options, including account balances, bank accounts (in approved countries), credit cards or promotional financing. With more than 78 million active accounts in 190 markets and 24 currencies around the world, PayPal enables global ecommerce.

In the U.S., PayPal is the most preferred payment service on the Web after Visa. In the UK and Australia, PayPal is the most preferred payment service on the Web .

PayPal’s Total Payment Volume, the total value of transactions in 2008 represented nearly 9 percent of global e-commerce .

PayPal is headquartered in San Jose, California. Its international headquarters (PayPal Pte. Ltd.) is located in Singapore.

PayPal is an eBay company. More information about the company can be found at www.paypal.com

Consumer advisory - PayPal Pte. Ltd., the holder of PayPal's stored value facility, does not require the approval of the Monetary Authority of Singapore. Users are advised to read the terms and conditions available at www.paypal.com carefully before use.
About the survey

The PayPal survey was conducted by BlackBox in August and September 2009 in India, Singapore, Malaysia, and Thailand. In each country, 300 small-medium businesses (SMB) with 5 to 50 staff and either an existing ecommerce site or plans to implement one in the next 12 months were surveyed. Respondents were either SMB owners, decision-makers or managers with financial authority or influence.