Reasons Why Digital Marketing for Small Business is on the Rise

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According to “Global retail e-commerce sales 2014-2023” a report by Statista, “in 2019, retail e-commerce sales worldwide amounted to 3.53 trillion US dollars, and e-retail revenues are projected to grow to 6.54 trillion US dollars in 2022.”

The above statistic summarily answers an entrepreneur with a unicorn mindset looking to justify digital marketing for small business as an essential growth stimulator. Let us, however, get into the details of this imperative.

In my ongoing market research, I have come across multiple situations wherein small businesses aren’t sure how digital marketing can help them gain a competitive advantage.

Top 8 Reasons Why Digital Marketing for Small Business is on the Rise

Expansion of eCommerce

Globally, eCommerce continues to be on the rise, making online marketing a tough space to claim eminence for a small business. To be a part of this natural expansion, small business owners must consider digital marketing as an indispensable amplifier. Consider if giant establishments like Facebook, Google, Amazon, and Microsoft continue to invest in their marketing campaigns, it is not because of a dwindling number of users, but to thrive in the knowledge of people as legacy service providers.

Key Takeaway: Small business owners should go all the way to reap the benefits of digital marketing.

Digital Marketing Harnesses Data for Real-Time Reporting

With the Internet of Things (IoT), the world is a connected playground. It will be a pity if small businesses do not leverage this data. IoT not only connects devices but buyers with their prospective consumers through Artificial Intelligence and Machine Learning of a user’s search behaviour or interaction with specific digital content. A small business owner that could be a domestic logistics provider, it helps the business if there is access to a database of local logistic search queries. Real-time reports provide a framework for the business owner about the next possible move.

Key Takeaway: It would be an unpardonable move for a small business to not tap into data that dictates the course of success.

Digital Marketing in the Era of 5G Phenomenon

In Adobe Digital Insights, 2018, it states that 5G will bring US online retailers up to $12B per year by 2021. We are in 2020 when 5G is still undergoing critical examination before its market launch. This means that the $12B projection cited in the report is taking place between the latter half of 2020 through 2021. If small businesses haven’t considered digital marketing yet, would they be able to withstand the massive wave in which the early adopters of digital marketing will scoop the cream of market share?

Key Takeaway: Small businesses must embrace digital marketing to make the most out of the 5G era when there’ll be an increased number of market players.

Digital Marketing’s Contribution to the Bottom Line

Now, what is the eventual goal that companies can realize as they initiate their transition in the digital marketing sphere? Revenue. The promise to deliver better to the customers as well as to the investors and shareholders. When a small business is likely to set off on a large scale, the owner cannot keep it under the covers any more. There will be natural conditions that would urge businesses to participate for greater revenue impact. Digital marketing has gained popularity and continues to do so because it contributes to an organization’s financial goals.

Key Takeaway: Small businesses should not consider digital marketing as a cost center but a center for mining higher revenue.

Domain Agnostic Impact of Digital Marketing for Small Business

Digital marketing has a domain agnostic impact. Earlier, the eCommerce industry regarded digital marketing as its go-to-market strategy. Now, digital marketing is calling the shots across sectors, whether it is Business to Consumer (B2C) or Business to Business (B2B). A business can survive without traditional marketing, but digital marketing is an indispensable solution. From a street-side travel boutique to legal consultancy services online, small businesses irrespective of industry category should avail digital marketing services to build an online presence and generate leads.

Key Takeaway: Small businesses irrespective of industry persona can enjoy the manifestations of digital marketing.

Brand Loyalty & Positioning through Digital Marketing

Digital marketing plays a crucial role in creating brand royalty since advertising has changed from traditional to digital. There is sufficient scope in growing consumer interest for a product/service, much like how Coca-Cola, Unilever, P&G, and Gucci have successfully harnessed the benefits of digital marketing. This medium is not only cost-effective, develop more awareness, but also taps into the queries put forward by the consumers supplied through big data analysis. Through digital marketing media, a brand can reinstate brand loyalty and positioning.

Key Takeaway: Small businesses must start their branding exercise early on for better brand loyalty and positioning.

Digital Marketing for Small Business Achieves Sustainability

A business is born not with the intent of being a flash in the pan. It takes crucial determination to arrive at an organization level. Once an idea has arrived as a business in the market, it is a harsh environment to expect sustenance without embracing digital marketing. Notably, digital marketing is a competitive advantage for small businesses to contest with existing market leaders while making way for newer innovations and advancements. Sustainability is an essential factor to establish a company’s grit in delivery excellent good/services against the dominant market players who can easily wash off a new entrant.

Key Takeaway: Digital marketing for small business is an essential driver if sustainability

Market Reputation

Today a business’s online presence is counted as the index of its success. We have already discussed how digital marketing takes care of brand loyalty, positioning, and sustainability. Do we realize what these eventually contribute to? It is reputation. You’ll have funding to take care of finance, but unfortunately, no massive repatriation can compensate for any reputational loss. And such incidents are prevalent when a new market entrant is trying to carve its space. It can start from a negative consumer remark to intentional business rivalry.

Key Takeaway: A small business can harness digital marketing to create a substantial reputational footprint to offset minor casualties without incurring significant legal expenses.


The above reasons amply clarify how digital marketing for small business is a crucial step forward. The reasons justify why any entrepreneur cannot overlook the need to allocate a substantial marketing budget when mapping their expense list to promote their goods and services.

I would encourage business owners to conduct their independent market research before taking this initiative headlong.

For queries, email here.

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