Why SMBs are investing in martech to strengthen customer connections
In a market where consumers have nearly unlimited options, SMBs find that martech solutions improve customer outreach, retention, and engagement, giving them tools to personalize interactions and track engagement more effectively.
Martech meets this expectation by equipping SMBs with capabilities previously available only to larger enterprises, letting them target specific demographics, analyze engagement metrics, and adjust campaigns in real time.
Today’s customers expect unified, digital-first interactions, even from smaller companies.
Given that 76% of SMBs are either adopting or seriously considering martech tools, the interest in martech has clearly become a high priority. Martech options like Customer Relationship Management (CRM) systems, automated email marketing, and analytics tools empower SMBs to engage their audience at scale.
Adding to this, martech lets smaller companies better compete with larger competitors through streamlined customer experiences, which can directly impact revenue through improving conversion rates and customer loyalty.
Many SMBs are exploring new martech options
According to the Verizon Business and Morning Consult survey, 41% of SMBs have implemented or are actively deploying new martech tools, while another 35% are considering doing so.
There’s a sector-wide commitment to technology adoption as SMBs aim to address shifting customer expectations. SMBs are integrating martech to improve agility, effectively manage their outreach, and position themselves as responsive and accessible to customers.
AI in marketing and the next step for SMB competitiveness
AI tools can deliver insights and automation that let businesses respond to customers with personalized, data-driven interactions. Unlike traditional marketing methods, AI enables real-time adjustments based on customer behaviors and preferences, from optimized content suggestions to targeted ad placements.
SMBs using AI report improved campaign effectiveness, as these tools can segment audiences with higher precision and reduce manual workload through automation, ultimately freeing up resources to focus on customer strategy.
Rising interest in AI is clear, as 30% of SMBs now use AI in marketing and social media—a 16 percentage point increase over the previous year—signalong that many SMBs see AI as key to gaining an edge in competitive markets.
Another 42% of SMBs are currently weighing the benefits of AI adoption, indicating the potential for further growth as AI’s impact on marketing becomes more established.
As AI applications continue to develop, the technology is expected to expand its role in lead scoring, chatbots, and dynamic ad targeting, equipping SMBs with a toolkit that scales as they grow.
SMBs turn to social commerce to reach customers
Social media storefronts are changing how SMBs reach and engage their customers, aligning with consumers’ preference for direct, digital purchase options. Through setting up storefronts on platforms like Instagram and Facebook, SMBs can sell products directly to users without the need for a traditional e-commerce website.
The customer journey from browsing to purchase is getting shorter, reducing friction and improving conversion rates. For smaller businesses, social commerce is a streamlined and budget-friendly method to attract customers where they are most active online.
A recent survey found that 39% of SMBs have set up or are currently creating social media storefronts, an increase of 8% compared to last year.
Another 31% of SMBs are evaluating the benefits of social storefronts, suggesting a growing interest in these channels.
Social storefronts also let SMBs reach new demographics and tap into younger, mobile-first customers who prefer shopping through social platforms. SMBs are well-positioned to drive sales while keeping marketing costs down, aligning digital engagement strategies with consumer behavior.
Addressing customer relationship challenges in a shifting economy
As competition grows and budgets tighten, many SMBs now prioritize developing resilient customer relationships to protect ongoing revenue streams.
Building and sustaining relationships with both existing and new customers is key to SMB longevity, especially in a climate where consumers may be more selective in their spending.
Year-over-year data indicates that these concerns are escalating: 12% more SMBs report heightened worry over maintaining customer relationships, while 9% more express concern about engaging new customers.
Final thoughts
How effectively are you using these tools to build deeper customer connections? Are you positioning your business to engage customers where they already spend time online? How will your brand stand out and stay relevant? Now is the time to invest in the tools and insights that make your brand a must-have for your audience.
