Social media levels the playing field for Canadian small businesses and unlocks economic growth, says new research revealed Tuesday by Facebook Canada.
The report, Empowered In The Digital Age: Leveling the Playing Field For Canadian Small Business, said only half of small businesses in Canada survive their first five years and accessible digital tools are critical for Canadian entrepreneurs to start, build and sustainably grow their businesses.
“It used to be that big businesses were the only ones to benefit from scale. But now, for the first time in history, technology is enabling small businesses to meaningfully compete with larger brands on a more level playing field,” said Garrick Tiplady, General Manager for Facebook Canada and Instagram Canada, in a news release.
“At Facebook, we’re focused on helping Canadian entrepreneurs harness our powerful suite of business tools to scale new ideas, drive sustainable growth for their businesses and unlock economic benefits for all Canadians.”
Some key findings from the report include:
- A third of Facebook app users (33 per cent) – specifically Messenger, Instagram and Facebook – say these tools helped them start their companies. This figure is even greater for businesses owned by young Canadians (57 per cent), women (40 per cent) and new Canadians (37 per cent);
- Keeping business strong: Nearly half (46 per cent) say their business is stronger today because of Facebook’s family of apps; this is true for two-thirds of Young-Canadian businesses (66 per cent), Women-owned businesses (54 per cent) and New Canadian-owned businesses (45 per cent); and
- Realizing global potential through export: Exporters say Facebook tools have led to increased net sales in the last 12 months. More than four-in-10 say Facebook has (46 per cent), and more than one-third of exporters say using Instagram (36 per cent) and using Facebook (35 per cent) has led to increased sales. Mario Toneguzzi is a business reporter in Calgary.