Along with the Black Friday sales promotions you’re seeing this week, you also see some of your favorite small businesses promote Small Business Saturday on Nov. 25.
Small businesses (less than 100 employees) comprise 98 percent of all the businesses in the United States, and they employ 36 percent of the U.S. workforce. Monthly business license applications have increased roughly 50 percent since the Covid-19 pandemic in 2020, rising to around 500,000 applications a month, according to the U.S. Census Bureau.
Higher interest rates have made it more difficult for small businesses to get financing, and as a result, many are relying more on credit cards. The average small business credit card spending is $3,000 a month, according to the survey.
In fact, 30 percent of surveyed U.S. businesses said they used credit cards as a funding source. The second highest percentage, 22 percent, said they had a traditional bank loan or line of credit.
In the latest survey, 68 percent of U.S. businesses said they used credit cards to solve cash flow problems.
Digital Tools Play A Role
Naturally, a report sponsored by Intuit, which sells QuickBooks, TurboTax and Mailchimp, looked at the types of digital tools used by small businesses. Thanks to the internet, digital tools have helped drive some of the business growth over the last decade.
The survey’s findings indicate that the more digital tools used by a
business, the more likely they were to be successful. The report said, "Businesses employing digital tools extensively (in eight or more areas) report 55% revenue growth and 20% workforce growth. In contrast, those limiting their digital tool usage to just one or two areas show only 31% and 7% growth, respectively."
"Digital tools" is a broad category that includes everything from websites, social media, email, and video conferencing to payroll software, ecommerce platforms, and artificial intelligence.
Why don’t small businesses use more digital tools? Expense and perceived ineffectiveness, the survey says. I suspect there’s a third
reason – lack of education and understanding about how some of these digital tools work.
I see it almost every day when I talk with small business owners who are experts in their businesses, but often confess frustration and even unwillingness to learn about digital products and services that can help.
Jargon Buster: Landing Page
Landing pages are among the most under-used digital marketing tactics.
A landing page is a standalone web page designed for a specific marketing or advertising campaign. I’d argue it’s more important than ad content because the landing page is where the conversions happen.
It’s where people sign up for your newsletter, register for your webinar or buy your widget.
Even the best online ad won’t generate sales if the landing page doesn’t do its job. Conversely, an effective, engaging landing page can generate revenue despite a poorly performing ad.
Too many businesses still send online ad traffic to a home page or some other generic page that is not built for conversions. If your ads promote a webinar, send the clicks to a page that’s just about the webinar.
The next newsletter arrives Dec. 5. It’s almost time to start baking my Christmas cookies. Any requests?
Even though many of us focus on giving thanks during this particular season, there’s plenty of research showing that expressing gratitude regularly can
improve your mental health. When I make notes in my journal, I like to add something I’m grateful for, even if it’s mundane like having a roof over my head or enjoying a rare sunny day in Pittsburgh.
And so, be grateful. Be generous. Be patient. Love.
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Thanks for spending some of your time with me,. I appreciate you.
Mark
P.S. - This newsletter was created entirely by me, a human. If any parts of my newsletters are generated by artificial intelligence, I’ll disclose it here.
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