Marketing Online Can Be Overwhelming For Small Businesses — But It Doesn't Have to Be With These 6 Strategies Discover how small businesses can excel using strategic digital marketing efforts.

By Summit Ghimire Edited by Kara McIntyre

Key Takeaways

  • Small businesses can overcome digital marketing challenges by employing targeted strategies to increase their marketing reach and ROI.
  • Local SEO, social media and direct email and SMS marketing are critical tools for small businesses to connect with their audience and stand out from larger competitors.
  • Consistent monitoring and updating of digital marketing strategies are vital due to the ever-changing online landscape, ensuring that small businesses stay ahead of the curve.

Opinions expressed by Entrepreneur contributors are their own.

Small business owners often feel overwhelmed by the prospect of engaging with digital marketing techniques. The ever-growing range of expensive tools, platforms and agencies can be intimidating, but the shift to digital marketing actually provides small businesses with unique opportunities. With carefully focused strategies, small businesses can expand their marketing reach while maximizing their ROI.

Traditional marketing vs. digital marketing

Traditional marketing techniques for small businesses included print advertising, word-of-mouth referrals and direct mail marketing to a local customer base. While these methods provided small businesses with simple, clear-cut marketing strategies for their immediate area, they limited their ability to target relevant leads and expand their business. By contrast, digital marketing, though it may come with a learning curve, allows small businesses to tailor their marketing strategies to their target market and business goals.

Related: 4 Advanced Marketing Tactics for Small Businesses That Actually Work

The challenges of digital marketing for small businesses

Digital marketing also generates unique challenges for small businesses. Many small businesses do not have a dedicated digital marketing expert on staff. Partnering with a digital marketing agency or hiring someone new can be expensive. Many SEO, email marketing, content management and creation platforms are also costly, and they can be difficult for beginners to use.

Perfecting a strategy can also be challenging; businesses that have succeeded in allocating resources to a digital marketing campaign may not see the leads and conversions they would like. Since search algorithms, social media and content marketing tools are constantly undergoing significant changes, a strategy that was successful a year or two ago may no longer generate the same results. All these challenges can make it difficult for small businesses to grow using digital marketing.

6 strategies for success

Though digital marketing presents challenges, small businesses can take advantage of the opportunities it provides with these six strategies.

1. Market research

Digital marketing actually provides small businesses with more precise tools to target potential customers, rather than throwing resources at a broader market. However, to take advantage of this, small businesses need to use the right tools and perform in-depth market research. Digital analytics is one of the most critical aspects of digital marketing, since it allows businesses to design marketing strategies based on a deep understanding of their customers' pain points, demographics and buyer journey.

2. Find your USP

Small businesses often operate in a niche market. To design a successful digital marketing campaign, they must identify their unique selling point. This allows them to highlight what makes them stand out, rather than competing against large competitors that may offer more generic services or products and have a much larger marketing budget.

By narrowing their focus, small businesses can connect with customers looking for their exact product or service much faster. Once businesses have identified what makes both them and their customers unique, they're ready to design successful digital marketing strategies.

Related: 3 SEO Mistakes That Are Hurting Your Rankings — and 3 Ways to Solve Them

3. Local SEO

SEO can seem like an expensive tactic for large businesses looking for national reach. However, local SEO is a secret weapon many small businesses are not taking full advantage of. By optimizing their website for local searches, small businesses can make sure they appear at the top of search results or in Google's Map Pack when nearby customers look for their products or services. These searches often have high-transactional intent and are more likely to lead to conversions.

At Outpace SEO, our local seo tactics include creating optimized Google Business Profiles for our clients and highlighting their local experience, awards, and expertise. These strategies not only generate more leads; they also help small businesses build their reputation and establish themselves as local industry experts.

4. Social media and influencer marketing

Once small businesses have identified their USP and begun to build their credibility online, social media marketing and influencer partnerships will be more effective. Competing against large brands can be difficult, but if you know exactly what your customers are looking for, social media is an effective tool to highlight your services and connect with your target audience.

Create content and develop partnerships that are relevant to your customer demographic. Consider their age, the platforms they use the most, and the questions they are asking. Small businesses can drastically increase their reach by partnering with a few influencers or podcasts that are popular with their target audience.

5. Email and SMS marketing

Email and SMS marketing allow businesses to connect directly with customers. Many businesses use their website to gather emails and phone numbers by offering customers a discount, a free guide, or a quiz to help them determine which services are right for them. This not only piques customer interest; it allows businesses to build a marketing list and reach out to customers who are already interested in their services. It's essential to draw on market research and deliver the content that potential customers are actually looking for to avoid spamming customers and causing them to unsubscribe.

6. Monitor and update your strategy

Whatever digital marketing strategies your small business employs, it's crucial to constantly monitor your success and update your techniques. Search engines, user behavior and social media algorithms are constantly changing; the only way to keep up is to regularly analyze KPIs and adjust accordingly. Monitor metrics like conversion rates, organic traffic, keyword rankings and bounce rates. Identify where your new customers are coming from by finding out where they heard about your brand. This data can help you identify which strategies provide the highest ROI, enabling you to focus your efforts on effective strategies.

Related: Drive Demand For Your Brand With These 5 Proven Digital Marketing Strategies

Final thoughts

Digital marketing is not just for large franchises. In fact, small businesses that conduct careful research can use digital marketing to connect more directly with their target market and highlight what makes their business stand out. By creating precise marketing campaigns and constantly reviewing and updating their strategies, small businesses can use digital marketing to grow and thrive.

Join top CEOs, founders and operators at the Level Up conference to unlock strategies for scaling your business, boosting revenue and building sustainable success.

Summit Ghimire

Entrepreneur Leadership Network® Contributor

Founder & Head of SEO at Outpace

Summit Ghimire is the founder and head of SEO at Outpace. He has experience optimizing websites for both small and enterprise businesses. His passion for SEO and conversion-rate optimization comes from successful campaigns working with hundreds of clients across verticals.

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