When almost every enterprise that uses IT in some or the other way is on the cloud or making its move to the cloud, why should SMBs fall behind. Reasons could be many. Lack of awareness is one big challenge, but experts say that they see a change happening.

The Indian cloud market is a huge million dollar opportunity. There is again a huge untapped opportunity in the SMB space. Numbers suggest that almost all the top 150 global cloud companies are doing business in India directly or indirectly. So there is no doubt that there is a demand for cloud services and adoption is on the rise. Awareness is gradually increasing and enterprises that have not yet moved into the cloud space are considering its potential advantages.

The Opportunity
Numbers suggest that the SMB space is certainly not dormant as far as cloud adoption is considered. Praveen Bhadada, Director, Zinnov Management Consulting, says, “25 percent of IT investments happened through SMBs and around $6-7 B came from there in 2011.”

The Challenge
Although a great opportunity, it will be a challenge for cloud service providers to fully capture the SMB market. Even the mindset is different most of the times. Small sized enterprises usually resist changes and are not very open to new things. Then there are fears that coexist with cloud adoption. Security issue is certainly a factor. Another factor is the investment required. SMBs may not know where to invest and what to invest in.    

A lot depends on the creation of awareness and the right value proposition. The right message has to be conveyed to these enterprises. That is how the cloud can enable them to transform their business models. Bhadada says, “There is need for more case studies that substantiate cloud usage and its advantages for the SMBs.” Enterprises in this space rely on evidences and testimonials, and are more likely to do what their next door neighbor successfully does.