US: Small businesses use online, social media channels to promote their activities – study

According to a survey released by Citibank, 65 percent of small business owners across US believe that increased marketing activities will further develop their business. Results have shown that in 2011, 70 percent of them have used the company website as a marketing channel, while 41 percent have used social media channels, such as LinkedIn, Facebook and Twitter. In addition, 62 percent have not used e-mail for marketing purposes, same as in 2010.

The same source has mentioned that, as small companies owners are moving online and rely more heavily on their company website, online channels represent an emerging opportunity to help grow their businesses. Thus, research has indicated that 60 percent of respondents have revealed plans to increase activity on their website for marketing purposes and 40 percent intend to use social networking websites such as Facebook, LinkedIn or Twitter for marketing or to expand their business, up 10 points from 2010. Data has also unveiled that 38 percent plan to leverage e-mail marketing tactics to drive awareness and sales of products and services.

According to main findings, the number of small businesses selling goods and services online or via e-mail has jumped from 16 percent in 2010 to 24 percent in 2011. The use of social media tools, such as Facebook, Twitter and LinkedIn, has also went up by 6 percentage points during that same time frame.

The survey has also revealed that almost three-quarters of small business owners who have a website find it very or somehow effective in generating more business for their company.

Small business owners under the age of 45 were more likely to use digital and social media to address their marketing needs. In 2011, 54 percent of small business executives under the age of 45 used social networking websites such as Facebook, Twitter or LinkedIn, compared to only 36 percent of their peers aged 45 and over. Younger small business owners were also more likely to use a company website (72 percent versus 68 percent of older respondents) and search engine optimization (44 percent versus 33 percent).

The Citibank poll was conducted by telephone between 17 January and 27 January 2012 among a national random sample of 750 small business owners/operators, aged 18 and older across the US with revenue over USD 100,000 and no more than 100 employees.