Mobile on the Increase Among US Small Businesses

More than 20 percent of small business decision-makers in the US plan to commit more resources to mobile marketing in 2012, up from the 12 per cent who said the same last year, according to the results of the annual Small Business Marketing Forecast study from Ad-ology Research.

Compared to previous years of the study, the firm says, the increased interest in mobile is striking. In 2009, just 2 per cent of small businesses surveyed planned increased resources for mobile. Online video should also see increased usage, with almost a quarter of respondents saying they plan increased resources for online video, up from 18.4 per cent in 2011.

“Marketing opportunities using mobile devices are rapidly emerging, just as they did for the internet many years ago,” says Ad-ology president and CEO. C. Lee Smith. “Small business owners are increasingly connected themselves, and recognize mobile as a viable way to effectively and efficiently reach potential customers.”

The Ad-ology study reveals that more than 80 per cent of US small business owners own a smartphone, compared to less than half of the general population. The ability to deliver a new ad message quickly is the number one factor in using online and mobile marketing for small business.

Social media for small business marketing has reached its tipping point. Just 10 per cent say they will not use social media in 2012, down from 24 per cent for 2011 and 39 per cent for 2010. For the first time, “improving the customer experience” was ranked at the top of the social media benefits list. While these businesses still want social media to generate leads, they realize the importance of the conversation with consumers.

Facebook is again ranked as the social media site most beneficial for business. Twitter, LinkedIn and YouTube follow as the social networks with the largest gains in small business adoption from the 2011 study.
Other key findings from the study include:

  • 28.6 per cent of small business owners plan to increase budgets for direct mail in 2012 Newspaper, buoyed by its new emphasis on digital, as well as broadcast TV, cable TV and radio are also expected to see increases from Small and medium-sized businesses in the months ahead
  • Nearly a quarter plan to increase their budget for daily deals, with Groupon and Living Social being the most popular providers
  • Almost 7 out of 10 small business owners believe that research provided by media trade associations is “obviously biased to show their media in the best light”
  • 45.3 per cent plan to increase their overall advertising spend in 2012, with just 3.9 percent planning a decrease

The latest Small Business Marketing Forecast was conducted in late October 2011 by Ad-ology Research. The company surveyed an online panel of 1,010 owners of US businesses with less than 100 employees. The full report is available for purchase through the Research Store at Ad-ology.com.