Top Small Business
Trends for 2025

As the business landscape continues to evolve, new trends are emerging and becoming more entrenched in the working world. Innovations in technology, service delivery, and more are shaping the present and defining the future. The small, resilient, and trailblazing businesses that form the backbone of our economy are at the forefront of many of these shifts. Let’s look at some of the top trends that small business owners should be paying attention to this year.

1. Digital Transformation

The digital revolution continues to accelerate, and small businesses must keep up. The SBA highlights that “online sales currently account for a fifth of all retail sales worldwide — a figure that is only expected to grow to 22.6% by 2027.” Businesses that embrace digital tools can streamline operations, reach a broader audience, and enhance customer experiences. Investing in cybersecurity is also essential to protect sensitive data and maintain customer trust.

2. Remote and Hybrid Work Models

The pandemic has permanently changed the way we work. Remote and hybrid work models are here to stay, offering flexibility and work-life balance. According to Mekari, “remote and hybrid work models are becoming more prevalent, offering flexibility and work-life balance, which can attract top talent and reduce overhead costs.” However, it’s important to invest in the right technology and create a strong company culture to keep remote teams engaged and productive.

3. Personalized Customer Experiences

In an age of information overload, personalized customer experiences stand out. Mekari notes that “personalized customer experiences will be one of the small business trends in 2025.” Small businesses can leverage data analytics to understand customer preferences and tailor their offerings accordingly. Personalized marketing, customized products, and exceptional customer service can create lasting relationships and drive repeat business.

4. Financial Resilience

Economic uncertainties highlight the importance of financial resilience. According to AllBusiness, “access to capital is a top priority as entrepreneurs increasingly seek diversified funding sources to stabilize and grow their ventures.” Small businesses should focus on building strong financial foundations by managing cash flow effectively, diversifying revenue streams, and maintaining a healthy balance sheet. Community banks can play a crucial role in providing the necessary financial support and guidance to navigate these challenges.

5. Health and Wellness Focus

The health and wellness trend is gaining momentum, with consumers prioritizing their well-being more than ever. Mekari discusses how small businesses can tap into this trend by offering products and services that promote health, such as organic foods, fitness programs, and wellness workshops. Creating a healthy work environment for employees is also essential for maintaining productivity and morale.

Conclusion

The stage is set for 2025 to be a year full of innovations and opportunities for small businesses. By staying ahead of these trends, small business owners can position themselves for success. While technology is a key driver, the human touch remains irreplaceable. Community banks, with their deep understanding of local markets, can provide invaluable support to small businesses as they navigate these trends and thrive in the ever-changing business landscape.

Griffin Jack is a Business Banking Officer at American National Bank Fox Cities. For more insights and support, feel free to reach out at gjack@anbfc.bank.

: “These Small Business Trends Look to Shape 2024” [Article]. 21 November, 2023. U.S. Small Business Administration. Available at: https://www.sba.gov/blog/2023/2023-11/these-small-business-trends-look-shape-2024 [Accessed 23 Jan, 2024]

: Mekari, “7 New and Exciting Trends Impacting Small Businesses in 2025” [Article]. Available at: https://mekari.com/blog/small-business-trends-2025/ [Accessed 23 Jan, 2024]

: AllBusiness, “7 Entrepreneurs Predict Small Business Trends for 2025” [Article]. Available at: https://www.allbusiness.com/entrepreneurs-predict-small-business-trends-2025-12345678-1.html [Accessed 23 Jan, 2024]