2024 State of Web and Digital for Small Businesses.

Who are today’s small businesses?

We received feedback from a wide range of businesses and industries. From artisan jewelers and pet care providers to bicycle couriers and commercial painters, We found a common thread with every business we surveyed: Most of them are finding ways to make things work with limited resources.

In our survey, the majority of respondents reported having fewer than five employees. This underscores the lean operations many small businesses maintain, which means multitasking tends to be a daily necessity. For instance, one participant shared:

“I handle everything from customer service to marketing, and there’s never enough time in the day.”

When it comes to business longevity, we saw a healthy mix between startups and companies that have been around for over a decade. These differing experiences are shaping their approach and the tools they’re using, with newer businesses being more open to experimenting while more established ones are looking for solutions that scale easier.

Many small businesses still don’t have a website.

For many small businesses, the decision to build a website can feel like an uphill battle. While having some kind of online presence is important, our survey revealed that 45% of small businesses still operate without a website. One of the most common reasons cited by respondents were time, cost, and a lack of expertise. One participant shared:

"I don’t have the money or resources to build a website."

For others, the hesitation stems from perceived irrelevance. Businesses using platforms like Facebook, eBay, or Etsy often feel these tools are enough to reach their intended audience. As one respondent explained:

"I don’t need a website, I use Facebook marketplace."

However, relying on third-party platforms presents severe limitations. Algorithms may change, fees may increase, and branding opportunities can be limited. A well-designed website, by contrast, gives businesses full control over their online presence and can act as a central hub for marketing, customer engagement, and e-commerce.

The case for using third-party alternatives instead of a website.

For many small businesses, the challenges of building and maintaining a website make third-party platforms an appealing alternative. Understandably, platforms like Facebook, Etsy, and eBay provide a way around the challenges small businesses face with website costs by offering an easier path to reach customers online.

The Pros of Third-Party Platforms.

• Ease of Use: Most platforms come with built-in tools and templates that make setup quick and simple, even for those with limited technical skills.

• Access to a Built-In Audience: Platforms like eBay and Etsy connect businesses with a ready-made customer base, reducing the need for additional outreach.

• Cost-Effective for Beginners: These platforms often require less upfront investment than creating and hosting a website.

The Cons of Relying Solely on Third-Party Platforms.

• Lack of Control: Businesses are subject to the platform’s rules, algorithms, and fee structures.

• Branding Limitations: Customization options are often minimal, which can make it harder to stand out.

• Unpredictable Changes: Updates to platform policies or algorithms can have a direct impact on visibility and revenue.

While these platforms can play a valuable role in a business’s online strategy, they are not without some big downsides. Relying exclusively on third-party solutions can limit growth opportunities, reduce brand visibility, and leave businesses vulnerable to changes outside their control. We recommend that small businesses find a balance between third-party tools and a dedicated website, even if the website is a simple landing page, so they can maintain their brand equity while leveraging the opportunities presented by third-party platforms.

Continued challenges with digital marketing.

From our survey, pulling together a successful marketing strategy continues to be a challenge for small businesses. From limited budgets to keeping up with changing trends, our survey revealed that small business owners face a wide range of challenges when trying to market their businesses effectively.

What Are the Biggest Challenges?

• Budget Constraints: Many businesses struggle with allocating sufficient funds to execute impactful campaigns.

• Social Media Mastery: A lack of expertise in platforms like Instagram and TikTok often leaves business owners feeling overwhelmed.

• Reaching the Right Audience: Some businesses expressed difficulty in targeting their ideal customers despite their marketing efforts.

Notable quotes from our respondents.

"It feels overwhelming, and when I do build a strategy I either overthink it or don't find the time to execute it."

"Money and social media marketing know-how are my biggest hurdles."

"I feel disillusioned with social media and paid advertising."

Which Strategies Are Working?

Despite these challenges, some businesses have found success using simple, cost-effective strategies:

• Word of Mouth: Often cited as a top performer, this timeless approach remains a cornerstone for many businesses.

• Email Marketing: Some owners have seen great results from regular newsletters and promotional emails.

• Social Media Advertising: Platforms like Facebook Ads and Instagram Boosted Posts continue to yield strong results for those who use them strategically.

Notable quotes from our respondents.

"Word of mouth, by far, has worked the best for me. I don't have to pay for advertising, my clients do it for me."

"We have limited time drops monthly, and we increase our ads during that time. We also send out clothes to Instagram influencers who are in our niche. These have worked very well."

Opportunities to Improve.

For many small business owners, the key to overcoming these challenges lies in education and experimentation. Business owners expressed interest in learning more about:

• Analyzing data to guide decision-making.

• Expanding their reach through partnerships and collaborations.

• Mastering advanced social media tools and trends.

How we plan to help small businesses coming into 2025.

As we look ahead to 2025, our focus is on finding ways to help small businesses overcome some of the obstacles they’re facing with their website and digital marketing. Based on insights from our survey, these are some of items we’ll be focusing on.

Simplifying Website Creation.

• What We Heard: Time, cost, and expertise are the top barriers preventing small businesses from building a website.

• How We’ll Help: We offer affordable, scalable website solutions tailored to the needs of small businesses. We'll find ways to put together potential roadmaps for helping small businesses slowly build their website over time.

Empowering Marketing Efforts.

• What We Heard: Businesses struggle with social media mastery, reaching their audience, and analyzing data effectively.

• How We’ll Help: Putting together resources and solutions that’ll empower small businesses to take ownership of their marketing efforts. This will include creating customized templates for email and social media campaigns, offering one-on-one consultation sessions tailored towards learning social media and search engine advertising, and workshops to learn how best to leverage the data and insights to improve strategies and execution.

Providing Resources for Learning and Growth.

• What We Heard: Businesses are eager to learn, with a strong interest in data analysis, advanced social media tools, and collaboration opportunities.

• How We’ll Help: We’ll start identifying the best resources, guides, and templates to share with business owners through our blog “The Download.” We’ll also find time on a monthly basis to offer workshops and webinars for small businesses to tune into for continued learning and resources.

Our mission is to empower small businesses with the tools, knowledge, and confidence they need to succeed with their website and digital marketing. Whether it’s simplifying web design services, enhancing digital marketing efforts, or providing actionable resources, we’re here to help your business take the next step. Make sure to subscribe to The Download so you can learn more about when more resources are coming, along with when workshops and events are happening.