Closing the SMB Trust Gap: Growth Opportunities for CSPs

This Industry Viewpoint was authored by Accenture’s Dan Rice.

It’s not easy being a small and medium-sized business.

Small and medium-sized businesses are the engine of America’s GDP (representing 43.5% of America’s GDP) representing a staggering percentage of global economic activity.   They are facing an unprecedented storm. Economic volatility, regulatory shifts, and the complexity of modern technology are squeezing their ability to thrive. Yet, amidst this reality lies an equally immense, often overlooked, opportunity—especially for Communication Service Providers (CSPs).  While consumer markets plateau and enterprise segments fiercely compete, the SMB sector remains a fragmented frontier, ripe for a new kind of partnership and significant growth. The question is not whether SMBs need support; it’s who will step up to become their indispensable ally.

Who understands SMB challenges?

SMBs who buy telecommunication and media products, for example, are expected to identify and assemble their own IT solutions to achieve their desired business outcomes. That is a daunting task when technology, and how to manage it, is far from being their primary interest or skillset. They would rather spend their time serving customers or managing their business.

SMBs also struggle with the level of support they get from those that serve them. The gap between what SMBs want and what they currently get points to a wider disconnect. SMBs and enterprises have different perceptions of the effectiveness of their relationship, and closing this gap is crucial.

Telcos are well-positioned to assume the trusted partner role for SMBs. CSPs are among the top three providers SMBs rely on to implement information and communications technology (ICT) solutions. CSPs that offer targeted, resilience-focused solutions can become trusted partners, enhance loyalty, unlock new revenue streams, and take a leap ahead of the competition.

How can CSPs support SMBs amidst volatility?

There is an opportunity for CSPs to create new value propositions and provide access to digital services such as security, edge computing, and cloud storage. Stepping away from traditional product and sales models, they can instead build a marketplace model and be an orchestrator bringing providers and channel partners together in a partnership ecosystem platform for SMBs.

Here are specific ways for how CSPs can better support SMBs:

1. Strengthen the Core: Make Connectivity Smarter and More Predictable:Rising raw material prices, expensive components, and cross-border service fees are putting serious pressure on SMBs. CSPs must evolve core services to reduce cost pressures and operational complexity. They can meaningfully assist SMBs by offering pricing structures and service models that reduce financial ambiguity and support more confident decision-making. Examples of these include:

• Simplified and transparent pricing plans with fixed monthly rates
• Bundled services (connectivity, security, collaboration tools) at discounted rates.
• Usage caps or alerts to help control variable expenses.

2. Deliver Beyond Connectivity: Accelerate Digital Transformation:When input costs spike and supply become unpredictable, SMBs face serious challenges in setting consistent pricing. Exchange rate volatility continues to disrupt international pricing and margin stability. CSPs can drive SMB growth by bundling targeted digital solutions that empower SMBs to transform and simplify their operations.

A few examples of these include:

• Provide managed services such as cybersecurity, cloud solutions, and unified communications.
• Enable automation, remote work capabilities, and collaboration tools tailored to SMBs.
• Offering industry focused solutions through partnerships or the marketplace and focusing on traditional pain points across industries. E.g. supply chain visibility in retail or predictive maintenance in manufacturing.

3. Become a Trusted Business Partner:Higher costs and unstable revenue streams are tightening cash flow, making it difficult for SMBs to reinvest. Financial institutions are increasingly wary of lending to the vulnerable sectors, leading to fewer investments in innovation, and little room to build resilience. CSPs should deepen relationships to drive long-term value by ensuring collaboration and drive customer success for the SMBs. Examples of how this can be achieved include:

• Position the CSP as an advisor that understands the unique pressures and goals of SMBs, offer consultative support and tools to help SMBs make the right technological choices.
• Host SMB-focused campaigns, webinars, and events to guide digital adoption. Enable channels to provide personalized guidance, tech support, and growth strategies.
• Offer integration services to connect telecom tools with SMBs’ existing business apps, provide tech support.

By focusing on these strategic priorities — enhancing core connectivity, enabling digital growth, and fostering partnerships—CSPs can help SMBs build resilience and stay ahead of the competition.

What next?

Resilience will be the key factor for CSPs navigating this uncertain economic and geopolitical environment. The imperative for CSPs is undeniable: transform uncertainty into a growth catalyst for SMBs. Building resilience isn’t a passive exercise; it demands proactive engagement. 

Scenario planning is essential to building enterprise, and financial resilience. As an immediate next step, we recommend that CSPs take the following actions:

• Map your exposure: Identify telecom and ICT services that may be sensitive to economic or geopolitical shifts, such as international voice/data usage and collaboration tools. Identify the SMB segments most exposed to geo-economic changes, inflation, or international supply chain risks. 
• Engineer Resilience Plans: Create tailored improvement plans for each SMB segment, including product evolutions, pricing adaptations, digitization support, and cost management tools. Quantify the financial impact of these interventions for both SMB customers and the CSP.

In closing, building resilience requires a holistic approach that allows organizations to sense, absorb, adapt, and recover from disruption more effectively than competitors. This isn’t merely about closing a trust gap; it’s about igniting a new era of collaboration and shared prosperity. CSPs that embrace this holistic, forward-thinking approach will not only secure their present but also build a significantly more profitable and impactful future. Seize this moment to redefine your role and become the essential partner in SMB success.

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Categories: Industry Viewpoint