Small businesses are an important part of the TikTok community. Every day, people share their unique stories, promote their products and services, and take us behind the scenes as they grow their business. They've taken us inside their kitchens, workshops and storefronts, and in return, people across TikTok are discovering new businesses down the street and around the world.

Small and medium-sized businesses (SMBs) have quickly become a beloved part of the TikTok experience and that's why we worked with Hello Alice, a leading organization dedicated to supporting small businesses, to understand SMBs are navigating today's digital world. Hello Alice invited invited 750,000 SMBs in their network** to participate in a study that examined their current use and perceptions of digital marketing platforms, and the resulting report, Small Business Digital Marketing Trends, provides incredible insight into how SMBs are leveraging TikTok to find new audiences, build community and generate real world results.

The report revealed that a digital renaissance is underway. Small business owners understand that digital platforms are no longer a nice-to-have, they are a critical tool for reaching customers and growing their business. Moreover, there's a shift among those already leveraging digital platforms, with SMBs increasingly turning to emerging players, like TikTok, to follow their customers and accelerate their growth. In fact, 67% of SMBs surveyed indicated that they are most optimistic about their growth potential on TikTok.

A new launchpad for small business

We've heard from countless small businesses that TikTok has helped them launch or build their business -- and some have told us that TikTok helped them survive the darkest days of the pandemic. In part, this success seems to stem from the fact that small businesses feel "at home" on TikTok and are enjoying the experience. According to the report, 81% of small businesses say that TikTok is fun and 73% say it's easy to use.

@tiktokimpact @caseybinblasters - Springville, UT #tiktokimpact #smallbusiness

Celebrating communities

We've long celebrated out community's ability to be authentic and share their stories without polish or filters, and we're excited to see how small business businesses continue to leverage our creative tools.

Starting anything new can be daunting, and we know that launching a business on TikTok is no exception. Once businesses take the plunge, the joy of creating is contagious. Of small businesses who are currently using TikTok, 78% say they plan on increasing their investment in the platform.

To all the small business owners who are on the fence, I encourage them to reach out to another small business that is on TikTok and ask them about their experience. When Hello Alice asked why business owners were looking to start or increase their investment on any digital platform, the most common reason was “I’ve heard from other small businesses owners this platform was effective."

Empowering Small Businesses on TikTok

We want to empower more small businesses to get started on TikTok, so that they can also share their story with the TikTok community and reach their goals. That's why we've launched a number of education programs and our Small Business Resource Center. In the coming weeks, we will also announce an exciting new initiative that will help small businesses leverage TikTok to grow. Sign up here to be among the first to know once it launches.

Small businesses enrich our lives. They employ our neighbors; provide solutions for our problems; and make us smile by creating something beautiful. All of us at TikTok are thankful to be a part of what makes small businesses successful, and we're excited to help them connect with communities and thrive.

**Methodology behind Hello Alice's report:

Three surveys were conducted to better understand how SMBs use digital platforms to market their businesses. The first survey compared five platforms: Facebook, Instagram, TikTok, YouTube, and Snapchat under three broad categories: Platform Use, Impact and Value, and Business Objectives. Data were collected about personal and business demographics as well. The second and third surveys focused specifically on the three broad categories (Platform Use, Impact and Value, and Business Objectives) specifically in relation to users’ experiences with TikTok. The first survey was distributed to a general audience of small business owners, the second survey was distributed to SMBs using TikTok for their businesses (either for organic advertising, paid advertising, or both), and the third survey was specifically distributed to SMBs using TikTok’s paid advertising features. Approximately 7,000 responses were collected between the three surveys; all data were de-identified and aggregated prior to analysis.