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Digital Divide Limiting Growth of Women Entrepreneurs: Report

Limited internet access and low digital literacy are among the key barriers holding back India’s women entrepreneurs, according to a report by Nasscom Foundation and LEAD at Krea University.


The study highlights significant challenges such as network unavailability, high data charges, lack of familiarity with technology, and hurdles in after-sales payment processing that impede women’s participation in digital commerce. Rural women entrepreneurs, in particular, struggle with limited broadband access, though 81.1% reported regular mobile data connectivity.

Rostow Ravanan, Chairperson of Nasscom Foundation, emphasised the transformative potential of empowering rural women entrepreneurs, noting its impact on job creation and community sustainability. However, he pointed out that while many women are keen to embrace technology and social platforms, systemic barriers to full digital integration persist.


Financially, social commerce holds promise but requires further progress. The report revealed that 67% of surveyed businesses earn an annual turnover of up to ₹1 lakh, while 74.4% reported annual profits under ₹1 lakh. Despite the increasing adoption of digital tools, translating this into substantial financial gains remains a challenge.


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Sharon Buteau, Executive Director at LEAD, highlighted the transformative power of social platforms, which enable rural women to transcend geographical barriers, minimize intermediaries, and connect directly with consumers. “Technology access is rarely neutral. Addressing these challenges is critical for crafting effective strategies to empower women entrepreneurs in digital commerce,” she said.


The report noted that smartphone access among women entrepreneurs is widespread, with 79.5% owning their devices and 20.5% sharing family-owned devices. However, a preference for offline business practices remains dominant, with 82.3% favouring traditional sales and marketing methods over online platforms.

While significant strides have been made, the report underscores that targeted efforts are needed to bridge the digital divide, foster higher earnings, and enable women entrepreneurs to fully leverage the benefits of social and digital commerce.

EN
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Elets News Network

Elets News Network reports on governance, public policy and digital government across India.

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