Who does it: The SMB owner or a junior "computer guy" handles software discovery. In businesses with 5–50 employees, the founder makes the final decision on operational software. No dedicated IT or procurement role exists. In metro and tier-2 cities alike, the buying process involves a trusted local consultant or reseller who is often a friend-of-a-friend who also does their accounting or hardware.
What they use:
- WhatsApp voice notes to describe the problem to a known reseller
- Google search in English (often through a nephew or employee who speaks English)
- IndiaMART leads — vendors advertise on IndiaMART and get inbound calls
- Word of mouth in local business WhatsApp groups (Vizag, Surat, Indore business owner groups are famously active)
- For accounting/ERP software: Tally, Busy, or Zoho is often already in use; switching cost keeps people locked
- For newer categories (CRM, project management, HR tools): no systematic discovery. Owners hear about something from a conference, a LinkedIn post, or a vendor's cold WhatsApp message
- SMB owner spends 3–8 hours per software purchase decision, spread over weeks, because no neutral comparison exists
- SaaS vendor pays a 20–40% reseller commission to get SMB business, because they cannot reach SMBs directly at low ACV
- Resellers hold the relationship but add no technical value — they are essentially a lead-gen and trust layer that takes a large cut
- Free trials offered by SaaS vendors go unused because: credit-card-required onboarding, English-only documentation, no hand-holding, no context-setting for the SMB owner's actual workflow
- SMB ends up buying the software the reseller pushes (who has the highest margin), not the right fit