A recent study conducted by Italian management software firm Zucchetti and Fecomércio Santa Catarina in Brazil sheds light on the prevalent use of WhatsApp among small and micro businesses in Brazil. The research, based on responses from 323 retailers across the country, revealed that WhatsApp is the primary communication tool for 82% of these businesses, surpassing social media platforms and other technological tools.
When it comes to customer communications, WhatsApp is the preferred choice for 96% of the businesses surveyed, followed by telephone at 76%. Despite the heavy reliance on digital communication channels, physical stores remain the primary sales channel, accounting for 82% of actual sales, with social media coming in second at 57%.
Brazil ranks as the third largest market for WhatsApp globally, following India and Indonesia. A separate study by Opinion Box highlighted that 79% of respondents in Brazil communicate with companies through WhatsApp, with purposes ranging from seeking information to receiving technical support and offers.
Aside from WhatsApp, other commonly used technological tools among Brazilian businesses include stock management systems, point-of-sale systems, and receivables/payables systems. However, full enterprise resource planning (ERP) platforms and e-commerce systems are less frequently utilized, cited by 33% and 10% of respondents, respectively.
The study also identified challenges faced by small businesses in adopting technology, including high costs, lack of skilled labor, and difficulties in developing technology usage strategies. In terms of technology adoption across different functions, admin and finance departments primarily use spreadsheets and documents, while logistics and inventory functions rely more on management software.
Despite the hurdles, the shift towards digital presence has become crucial for the survival of small businesses in Brazil. The study emphasizes the evolving landscape where digital tools are no longer just a competitive advantage but a necessity for staying afloat in the market.