12 Small Business Trends for 2022
This year, keep an eye on these small business trends.
COVID-19-related lending schemes are essential, but not adequate. In 2021, company owners will need to find alternative finance sources.
Spending on conventional marketing and PR is expected to rise in 2021.
As the COVID-19 epidemic stretches into 2021, AR/VR will gain traction among small enterprises.
This post is for businesses who want to start the year well by capitalizing on industry trends and predictions.
After a successful 2020, small companies anticipate a better year in 2021. While the COVID-19 epidemic is not yet over, the provision of vaccinations has boosted business confidence. Despite the pandemic's prominence since early last year, there are other emerging trends for entrepreneurs to watch.
Business News Daily spoke with experts in finance, marketing, technology, and human resources to learn what trends to expect in 2021 and how to capitalize on them.
Paycheck Protection will bolster many small firms.
The COVID-19 outbreak has drained many firms' cash reserves. Many states have reopened, but some are reimposing restrictions, reigniting fears about financial flow and small company viability. the Paycheck Protection Program (PPP) established last year under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Courtney Lawless, venture investor and co-host of the Amazon Prime series Wolf PAC, says small firms should take advantage of the new stimulus plan.
Depending on how you spend the cash, the PPP debt may be forgiven. Read this article to learn more about the PPP loan program's new financing.
Many other company owners may not be able to get loans, especially if they lost money during the COVID-19 outbreak. Alternative finance sources, such as alternative lenders or investors, may be crucial in certain instances.
According to Lawless, "other sources of funding will likely be important in keeping enterprises afloat." "Grants, fintech, venture capital, angel investors, peer-to-peer lending, and crowdfunding are a few examples. These are significant since many firms that need money will be unable to fulfill standard funding criteria due to increased marketing spend on social media.
With billions of users between them, it's no wonder that marketers are increasingly targeting social media. Not even in 2021. According to Finaria, social media ad expenditure would climb 15% in 2021, reaching $105 billion. That's nearly double the 2017 total of $54.4 billion.
"We've seen a tremendous growth in social media investment this year," said Ari Zoldan, CEO of Quantum Media Group. "Everyone has to reduce their reliance on traditional marketing. They were driven into digital, and many are pleased with the results.
"Digital marketing spend will increase in 2021," Zoldan said.
Social media advertising is becoming increasingly significant and competitive. Small firms should focus on organic multichannel audience growth. Small companies should avoid social media arms races with competition when organic tactics like content marketing can provide higher returns on investment.
Paid placement advertising in traditional media will grow.
From 2012 to 2019, paid placement advertising spending in the US increased from $4.75 billion to $11.44 billion, according to Zoldan. The distinction between sponsored and non-sponsored material is also going to erode, he noted, since people obviously prefer authenticity to advertising.
"I expect we'll see more paid placement in conventional media since earned publicity is hard to come by," Zoldan says. "Paid placements will be more immersive and video-centric; paid and earned will be difficult to distinguish."
Zoldan said that many media outlets may be risking their reputation by adopting this technique. "Many firms are treading the line," he added.
Media spend will outperform traditional press releases.
Zoldan attributes this to the challenge of acquiring earned media. Rather than sending text-based press releases to media outlets in hopes of publication, brands are likely to generate video announcements of important corporate advancements.
"Press releases are obsolete," Zoldan says. "Press releases have no importance today."
If press releases are required, they should be interactive or video-based, said Zoldan.