The third version of the MSME Digital Index 2025 showcases digital consumption, tech consciousness, behavioural patterns, and enterprise transformation amongst micro-entrepreneurs, with a concentrate on gender illustration. The insights had been gathered by way of a nationwide survey performed amongst 10,000 people and MSMEs in retail-focused segments comparable to kirana shops, cell recharge shops, medical outlets, customer support factors (CSPs), and journey companies.
Smartphone utilization stays central to their operations, with 71% of respondents citing it as their main enterprise gadget. Amongst ladies entrepreneurs, this quantity is considerably larger at 84%, indicating rising consolation with mobile-led infrastructure in driving buyer engagement. Every day web utilization continues to rise, with 69% respondents consuming between 2GB to 5GB of information, largely supported by cell hotspots, with 86% spending round ₹500–₹1,000 per thirty days on web utilization.
Digital funds proceed to achieve sturdy acceptance amongst MSMEs, with UPI rising as essentially the most most well-liked mode of transaction at 48%, adopted by Aadhaar-enabled banking at 39%. Amongst ladies entrepreneurs, Aadhaar banking noticed even larger choice at 42%, reflecting growing belief in safe, tech-enabled companies comparable to fingerprint and face authentication. These channels supply transaction effectivity and fee comfort, whereas additionally serving to them construct digital credibility for improved entry to formal credit score sooner or later.
The impression of going digital is changing into extra tangible for small companies. Of these reporting advantages from digital adoption, 33% cited improved operational effectivity. These insights level to a rising realisation amongst MSMEs that digital instruments should not simply handy however vital for scaling companies sustainably in a aggressive market.
As digital instruments develop into extra embedded in each day enterprise, the position of language and ease of use turns into more and more necessary. 56% of respondents desire English for understanding and navigating platforms, adopted by Hindi at 25%. Amongst ladies entrepreneurs, 38% expressed a choice for vernacular interfaces, highlighting the continued want for regionally localised, intuitive tech platforms that higher mirror how Bharat operates.A small however notable 7% of respondents have begun exploring automated or AI-powered instruments, together with stock apps, automated billing techniques, and buyer engagement platforms, principally by way of third-party options. This rising development is mirrored within the rising use of structured digital workflows comparable to transaction stories, WhatsApp-based follow-ups, and service-wise earnings monitoring. It marks a shift towards extra environment friendly, process-driven methods of working. These early indicators level to rising curiosity and readiness amongst small companies to discover superior instruments, as options develop into easier to grasp and use.A rising variety of respondents, each women and men, are actively constructing their expertise to make use of these instruments extra successfully. Round 26% of respondents reported attending some type of coaching, whether or not by way of area people packages, on-line tutorials, or partner-led workshops. This displays a shift from passive adoption to energetic studying, with small companies displaying growing curiosity in constructing digital expertise for long-term success.
Amongst ladies respondents, 79% reported that digital adoption had a measurable optimistic impression on their enterprise efficiency. Practically half stated that entry to digital companies enabled them to contribute extra actively to family funds, make impartial choices, or broaden their buyer base. Past monetary positive aspects, many additionally cited improved confidence in managing their companies digitally, marking an early however necessary shift in long-term behavioural and social change.
The usage of enterprise software program amongst MSMEs continues to evolve. Accounting instruments are actually utilized by 30% of respondents, adopted by 18% utilizing point-of-sale (POS) techniques and 13% adopting buyer relationship administration (CRM) platforms. POS utilization amongst ladies respondents has proven a notable improve, with 22% reporting adoption.
YouTube continues to be essentially the most most well-liked leisure platform, with 70% of respondents utilizing it throughout leisure hours. Past leisure, additionally it is extensively accessed for studying, how-to movies, and brand-related content material. WhatsApp and WhatsApp Enterprise stay essentially the most generally used communication instruments for enterprise functions throughout each female and male respondents, supporting actions comparable to product promotions, buyer engagement, and order coordination. Whereas the social and leisure app panorama continues to evolve, the selection of platforms more and more displays enterprise intent.
Anand Kumar Bajaj, Founder, MD & CEO, PayNearby, stated in a press release, “The MSME sector is the spine of Bharat’s financial system, and the speedy adoption of digital instruments comparable to smartphones, UPI, Aadhaar-enabled banking, and rising AI workflows is proof that this section is embracing modernisation. What stands out is not only utilization, however rising digital confidence throughout the nation. That confidence is enabling entrepreneurs to function extra effectively and faucet into formal monetary techniques with ease and transparency.”
Jayatri Dasgupta, CMO, PayNearby and Program Director, Digital Naari, stated in a press release, “This 12 months’s report highlights the rising participation of girls within the digital financial system, significantly throughout monetary companies and buyer engagement. As extra ladies tackle entrepreneurial roles, it turns into important to design options which can be localised, simple to make use of, and constructed for comfort. Their engagement is creating tangible outcomes not only for their companies however for his or her communities, accelerating change the place it’s wanted most.”
She added that girls respondents, who accounted for 34% of this 12 months’s pattern, are demonstrating better confidence in managing their enterprise digitally.
