Social media active SMEs project revenue growth for 2021
A recent survey reported that more than half (56 percent) of small businesses in the U.S. engaging on social media on at least a weekly basis are projecting revenue growth in 2021, despite continuing COVID-related business limitations, according to B2B services group Visual Objects.
“If small businesses want to genuinely connect with consumers in their daily lives, it only makes sense to turn to social media,” said Sydney Wess, study author. “Almost 4 billion people use social media and users have doubled since 2015.”
Wess added that “Some social media active SMEs can even go viral on social platforms with unique, compelling content,” while highlighting that “these possibilities level the playing field for small businesses hoping to compete against larger, more established brands.”
Citing social media expert company Socialpilot.com, the study noted that during the ongoing pandemic lockdowns, the importance of offering digital marketing and buying experience is key to continuing revenue growth.
Visual Objects data found 74 percent of social media active SMEs who post at least weekly, maintaining consistency with their posts. This consistency is key, with the study warning of declining audience engagement for posting too often or too little.
Almost all small businesses (78 percent) market their company on Facebook, making it the most popular social media platform among small businesses. “Companies hoping to reach a wide variety of consumers rely on Facebook because it continues to have the highest volume of active users,” according to Statista.com.
TikTok, on the other hand, is rarely used by small businesses (14 percent) for marketing purposes despite its rapidly growing user base.
Robin Barendsen, a marketing specialist for debt factoring company Factris BV, believes TikTok still allows companies to cast a wide net. “TikTok can be a gold mine for the right business,” Barendsen said. “It’s incredibly easy to get a huge reach because it’s so popular.”
However, Barendsen warns that TikTok’s younger user base may yield fewer conversions than its more established counterparts.
YouTube gains popularity with small businesses in 2021
The survey found that about half of small businesses (48 percent) plan to focus more on YouTube this year than they have in the past.
The video-sharing platform is experiencing rapid growth with Generation X and Baby Boomer users. Members of these generations often have more disposable income and are less active on social media than younger people, making opportunities to reach them attractive.
John Stevenson, a marketing specialist at My GRE Exam Preparation agrees that people across all demographics use YouTube, making it a reliable platform for investment.
“YouTube is the new television,” Stevenson said, “there’s a large stream of revenue with the platform, which makes it viable and sustainable should the pandemic hit back again.”
Visual Objects surveyed 500 small business owners and managers in the U.S. to gain insights into how companies are managing social media marketing strategies in 2021.