How Entrepreneurs Are Using Social Media and Smarter Tools to Grow Their Businesses Online

Nearly half of small businesses operate mainly online, using websites and social media to connect with customers. Many find social media vital but struggle to convert followers into sales.

Categorized in: AI News Sales
Published on: Jul 09, 2025
How Entrepreneurs Are Using Social Media and Smarter Tools to Grow Their Businesses Online

New GoDaddy Data Reveals How Entrepreneurs Learn, Sell, and Grow Digitally

Nearly half of small businesses now operate primarily online, using websites, marketplaces, or social media to connect with customers and boost sales. This shift reflects how entrepreneurs are leaning into digital channels to stay competitive and expand their reach.

Social Media: Essential but Challenging

Social media is central to many small businesses' sales strategies. About 80% of entrepreneurs say it plays a key role, and half consider it very important. It’s also the top resource for learning about business, with 59% turning to social platforms for insights—more than those using books, blogs, or AI tools like ChatGPT.

But managing social media isn't easy. Over a third struggle to create engaging content, and many don’t have time to post regularly. Even with engagement, turning followers into paying customers is tough: 51% report difficulty converting interest into sales, and 54% can’t consistently reach the right audience.

Selina Bieber, Vice President of International Markets at GoDaddy, explains: “Entrepreneurs have great potential but face challenges turning online effort into growth. That’s why tools like Show in Bio are built to help convert social engagement into sales without extra work.”

The Rise of Digital-First Small Businesses

Business today goes beyond physical locations. While 31% still operate mainly from a storefront, 19% run their businesses through their own websites, and 28% rely mostly on social media. Sales channels reflect this trend, with 36% selling in person, 18% through online stores or marketplaces, and 31% selling directly on social platforms.

This blend of physical and digital sales shows how businesses are adapting to customer habits and preferences to meet demand wherever customers are.

Demand for Smarter Tools and AI Support

Entrepreneurs know what would help them succeed online. More than half want better ways to reach the right customers, nearly half seek simpler content creation tools, and over a third want clear insights into what drives results. These needs highlight the opportunity for practical, time-saving solutions.

The Opportunity Ahead

As more small businesses go digital, effective tools and support become critical. GoDaddy offers solutions like Show in Bio, GoDaddy Studio, and GoDaddy Airo® to simplify digital marketing and help turn engagement into sales.

About GoDaddy

GoDaddy supports millions of entrepreneurs worldwide by helping them name ideas, build websites and logos, sell products, and accept payments. Its AI-powered experience, GoDaddy Airo®, speeds up business growth by getting ideas online quickly and driving traffic. Expert guides are available 24/7 for assistance. Learn more at GoDaddy.com.


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