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Home » Social Media » Is Social Media Failing Small Businesses? New Survey Reveals a Hidden Blind Spot

Is Social Media Failing Small Businesses? New Survey Reveals a Hidden Blind Spot

Posted on July 7, 2025 Written by Bill Hartzer

According to new research released by GoDaddy, nearly half of all small businesses now run primarily online. These businesses use websites, marketplaces, and—most heavily—social media to reach their customers. That sounds impressive on paper. But behind the scenes, many entrepreneurs are hitting a wall.

The 2025 GoDaddy Global Entrepreneurship Survey paints a mixed picture. Social media has clearly become a critical piece of the puzzle for entrepreneurs trying to stay competitive. In fact, 80% say it’s important to their business strategy. But the same group also reports major friction—especially when trying to turn social attention into actual revenue.

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    • Content is King—but Creating it is a Chore
    • Social Media Has Replaced the Textbook
  • The Digital Storefront Is No Longer Optional
  • They Know What They Need—But Don’t Always Have It
    • GoDaddy’s Response: Keep It Simple, Make It Work
  • Small Business, Big Decisions
    • Related Posts

Content is King—but Creating it is a Chore

Entrepreneurs aren’t short on ambition, but they are short on time. More than a third (37%) say coming up with good post ideas is a constant challenge. Another 33% admit they simply can’t keep up with the time demands of creating and sharing content. And even when they do post, results are mixed. Over half (51%) say they can’t convert followers into paying customers. Another 54% struggle just to reach the right people in the first place.

The message is clear: posting on social media is easy. Turning it into a revenue channel? Not so much.

Social Media Has Replaced the Textbook

What used to be learned from business books is now being picked up from short-form video, live streams, and social posts. Nearly 60% of entrepreneurs say they look to social media to learn how to run their businesses. That figure now beats out more traditional sources like blogs (40%) or even AI-based tools like ChatGPT (37%).

This shift signals something important. Social platforms have become a learning environment, a storefront, and a marketing engine—all at once. But the tools that support this ecosystem haven’t kept pace.

The Digital Storefront Is No Longer Optional

Traditional brick-and-mortar businesses aren’t disappearing, but they’re no longer the default. Only 31% of entrepreneurs today operate mainly from a physical location. Meanwhile, 19% say their primary business is their website, and 28% depend mostly on social media.

When it comes to selling products, the trend follows suit. Yes, 36% still sell face-to-face. But nearly half use online platforms: 18% through e-commerce marketplaces and 31% directly through social platforms.

Entrepreneurs aren’t picking one lane. They’re using multiple tools to meet customers where they are—both offline and online.

They Know What They Need—But Don’t Always Have It

GoDaddy’s survey didn’t just highlight the issues. It asked business owners what would help. Nearly 60% said they want help reaching the right audience. Almost half (48%) want easier tools for content creation. And 39% said they want better insights into what’s actually working.

These aren’t vague requests. They’re specific, realistic asks from people on the ground, trying to keep their businesses afloat in a fast-moving digital environment.

GoDaddy’s Response: Keep It Simple, Make It Work

Selina Bieber, GoDaddy’s VP of International Markets, acknowledges the pressure small businesses face.

“Entrepreneurs are putting in the effort,” Bieber said. “They just need tools that make it easier to see results.”

That’s where products like Show in Bio come in. It’s a smart linking tool aimed at helping entrepreneurs move social visitors directly into a sales funnel. It’s not flashy. But it works. And paired with tools like GoDaddy Studio and GoDaddy Airo®, it gives small business owners a way to focus less on fiddling with tech—and more on making money.

Small Business, Big Decisions

The line between “posting” and “selling” is thinner than ever. Entrepreneurs are experimenting, adapting, and doing everything they can to stand out in an increasingly digital marketplace. Social media might be the storefront of the future, but it’s clear that without the right tools, the doors don’t always open.

Small businesses are asking for help. Not from big marketing agencies or consultants. They want simple tools that work without extra effort. If companies like GoDaddy can provide that, then more entrepreneurs might finally start turning likes into customers, and effort into income.

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About Bill Hartzer

Bill Hartzer is the CEO of Hartzer Consulting and founder of DNAccess, a domain name protection and recovery service. A recognized authority in digital marketing and domain name strategy, Bill is frequently called upon as an Expert Witness in internet-related legal cases. He's been sharing his insights, expertise, and research here on BillHartzer.com for over two decades.

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