To increase their success, small businesses invest in various marketing channels. Visual Objects surveyed 500 small-business owners. They found that websites and social media are the most popular channels for small businesses in 2020. Small businesses might not be investing enough in SEO.

More than 30,000,000 small businesses are located in the United States and all of them are competing for success across different industries.

Businesses will look for new channels of marketing to attract customers, while also evaluating the effectiveness of previous strategies.

Visual Objects surveyed 500 owners of small businesses in the U.S.

• Which marketing channels worked for them and which didn’t in 2019?
• Which marketing channels do they intend to use in 2020?        

Small businesses are those with limited revenues and between one and 500 employees. This matches the Small Business Administration’s definition.

Our research revealed that small business owners don’t prioritize search engine optimization (SEO), and instead invest more in social media campaigns.

Top Findings: Small Business Marketing Statistics & Trends

• Only 25% of small businesses (21%) intend to increase their use of SEO in 2020. Only 5% say SEO was their most effective tactic in 2019. This could influence their decision to not use SEO in the future.

• Nearly three-quarters (70%) plan to increase social media investments in 2020 to reach wider audiences, despite the low conversion rate of social media.

• Surprisingly nearly one-third of small businesses (29%) intend to use a website for the first time in 2020. Every business should have a site.

• 25% of small businesses plan to use Los Angeles digital marketing agency in 2020. Small businesses can gain an edge even with low-effort digital marketing.

• Small businesses will seek new ways to reach their customers. Nearly 25% of small businesses (22%) intend to market an app to better connect to customers and 8% plan on using augmented/virtual realities.

Five Small Business Marketing Statistics

Small businesses are always looking for ways to be more competitive than their competitors. Particularly small businesses are interested in learning about the advantages and disadvantages of SEO and social media, as well as the website, digital marketing, and mobile app options.

Small businesses don’t focus on improving their SEO strategies. Small businesses are only 21% likely to increase their use of SEO in 2020. This could lead to a decrease in customers. Businesses are instead focusing on social media strategies. 70% of small businesses plan to increase their investment in social media. Even though social media isn’t often a high-converting medium, businesses want to be more connected and in touch with their customers via social media.

A third (29%) of small businesses are only just getting started with an online presence. As they seek to connect with customers online, 29 percent of small businesses intend to start using a website by 2020. A website is a great way for small businesses to get more exposure and increase their customer base. 25% of small businesses (25%) also plan to use digital advertising. This can help them stand out from their competitors.

A further 22% of small business owners are interested in investing in mobile apps. Companies can use mobile apps to reach customers in a new way. The mobile app is accessible from anywhere, at any time. This makes it a valuable tool to grow businesses.

For small businesses to succeed, they must choose the right channels.

Only 25% of small businesses will increase their investment in SEO

SEO is often overlooked by small businesses, which could lead to them losing customers.

Only 21% plan to increase their investment in SEO in 2020. This was the second-lowest-ranked marketing channel in the survey. Only virtual reality/augmented reality was lower.

More than half (61%) of internet users will search for a product online before purchasing it.

To be found by most people, a business must rank high in search engines. Google’s top five search results receive nearly 70% of users’ clicks. The second page receives only 5%. 

Small businesses may not be able to rank for high-value keywords. Only 5% say that SEO is their best strategy to achieve business goals. This statistic can be changed by hiring an SEO company.

Although small businesses might understand the importance of SEO, they may not be able to see the benefits immediately. It is not easy to increase the SEO value of your site within a short time. You may see results for months.

Local SEO can increase small business web traffic and sales

Local SEO results can be a boon for small businesses.

Although a small digital marketing agency in new york might rank well for the general keyword “digital marketing agencies”, it may not be able to rank for specific keywords like this. It can compete for localized results like “Kansas City Digital Marketing Agency.”

Google recognizes the importance of local businesses appearing first in results. People looking for a nearby clothing shop or restaurant will want to find one that is convenient.

This location bias can be used by businesses to advertise their county, city, or region on their websites. Customers can find you by listing your business in online directories.

Local results are more likely to convert into sales. Small businesses should optimize for local searches.

Small businesses rely heavily on social media despite low conversion rates

Although social media is often credited with great success, actual conversion rates are very low.

37% of small businesses believe that social media is the best channel to achieve their business goals. 70% of small businesses also plan to invest in social media by 10% in 2020.       

However, small businesses need to be cautious about the effectiveness of social media in direct sales conversions.

Hence, why do small businesses continue investing in social media marketing companies in Phoenix?

Because of the potential for increased spending by small businesses on social media,

• Increases brand awareness
• Establishes strong relationships with customers

A social media campaign that stands out from the rest grabs attention, and communicates your brand message can result in more loyal customers. These customers can be nurtured to increase sales through other marketing channels.

Michael Alexis, the owner, and director of marketing at Museum Hack (a museum-tour company), said that his business was able to think outside the box to create a successful social media campaign.

Alexis stated that the museum-inspired March Madness was our most successful social media campaign. “We would post two images of famous paintings on Facebook each day and allow our followers to vote by liking or hating them. What was the result? The result? We saw a huge increase in engagement and followers on our page.”

However, social media campaigns can still be difficult to implement, especially if businesses don’t understand their target audience.

Mostafa Yasser is a marketing executive at Stacks Market. He is a mobile application development company and website development company. He explained that one of his first social media campaigns went wrong because Stacks Market did not understand the customers it was targeting.

Yasser stated, “After developing our product…We began splitting our budget between different countries and our message was simply about how great our new products are.” We didn’t pay attention to our customers or their problems. All messaging was focused on our product. The campaign was a disaster, with no conversions.

“We didn’t pay attention to our customers or their pain points. All messaging was focused on our product. The campaign was a disaster, with no conversions.

To stand out, small businesses need to create unique and targeted social media campaigns.

While social media can increase brand awareness, it can also be less effective in driving direct sales.

Small businesses want to improve their websites

Many customers start their journey with websites. As e-commerce grows, businesses must ensure that their website is reliable and provides information.

Surprisingly, however, many small businesses don’t feel satisfied with their online presence or have no presence.

Nearly one-third of small businesses (29%) intend to have a website by 2020. Another 29% believe their website is the best marketing channel for 2020.

Nearly all people (86%) use the internet for local business information.

Lauren Williams, founder, and CEO of HarmonyHR Experts (an organizational development agency), stated that “Your website should always be your first salesperson” 365 days a calendar year. “Everyone purchases things online all the time. You must be able to sell your service online, even if you are a business.

A website can make a small business seem untrustworthy or difficult to find potential customers. A website can help you promote your products or services even if your small business is closed.

Small businesses that do not invest in websites could miss out on potential customers.

One-fourth of small businesses plan to use digital marketing in 2020

Digital marketing has been a hot topic since the ’90s. However, not all small businesses have taken advantage.

25% of small businesses plan to use Los Angeles digital marketing agency in 2020. These businesses missed potential sales opportunities up until now.

Good digital marketing can help businesses increase their brand awareness, connect to customers and improve their reputation. Small businesses can promote their services through email marketing by sending out campaigns to alert customers to the latest information about their products.

Digital marketing companies have 2.8x higher revenue growth than those that do not. Digital marketing in Las Vegas strategy is a disadvantage for small businesses.

Digital marketing doesn’t require a large budget as people can create content organically without spending any money on advertising. Businesses can offer unique value to potential customers by writing blogs and sending articles.

Or they will lose customers.

Nearly one-quarter of small businesses plan to market with mobile apps in 2020

Small businesses have an easy way to reach customers through mobile apps.

Nearly 25% of small businesses (22%) plan to market via mobile apps by 2020.

Mobile apps are a great way for businesses to reach large audiences, especially when you consider that 3.5 billion people have a smartphone globally.

Small businesses shouldn’t create a mobile application just for the sake of it. A high-quality mobile application is a costly investment.

Businesses need to consider why they want to invest in a smartphone app, and how it will differ from their website.

Small businesses underestimate the importance of SEO and digital marketing while relying on social media

Although small businesses are looking for new ways of marketing their services, they often overlook the long-term benefits.

Small businesses only 21% plan to increase their SEO investment. This means that it will be harder for them to rank higher on Google.

70% of small businesses are looking to increase their social media spending. Although social media can increase customer engagement, it can also be difficult to convert to sales without the help of an experienced Social Media Consultant.

A majority of small business owners (29%) intend to use a website. Another 29% plan to improve their website in 2020, so that customers can easily understand and products are easy to find. A strong online presence is dependent on a website.

Miami digital marketing is still a great way to reach your target audience, but 25% of small businesses plan to use it only in 2020.

22% of small business owners want an app, but they need to first determine what value a mobile application offers their clients.

Although small businesses may have a split budget for marketing, they might need to focus on one channel to be successful.