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Five Ways Small Business Marketing Is Evolving in 2025

five-ways-small-business-marketing-is-evolving-in-2025

By Dana Mihaly, Marketing Strategist, Marsh and Mihaly Marketing Group

Marketing is always shifting, but 2025 has brought some notable changes that small business owners can’t afford to ignore. As consumer habits and technology evolve, so should our strategies. We traveled to sunny San Diego for the 12th Annual Social Media Marketing World Conference (SMMW) recently, and brought back five ways that marketing is changing this year—and how small businesses can stay ahead of the curve if they embrace change instead of resist it.

1. Instagram’s Algorithm Now Prioritizes SEO

Instagram has rolled out an updated algorithm with improved search capabilities. Captions now play a bigger role in visibility, which means strategic keyword use is a must. Gone are the days when a few emojis or vague phrases worked. Descriptive, searchable language wins the day.

2. Word-of-Mouth Still Reigns Supreme

While we all love a polished campaign, 92% of consumers trust a recommendation from a friend or family member over a brand’s pitch. Ask yourself when was the last time you purchased something without any personal recommendation. Yes, that sounds like there isn’t a need for advertising and marketing spend, but that is key to keep you top of mind or reinforce when someone recommends or endorses your services or products. That means encouraging real, organic reviews—especially on social platforms—is more valuable than ever. Think community over conversion. (And we’re all about that here in Dripping!)

3. Keep Email Subject Lines Short and Sweet

Email marketing remains powerful, but attention spans are shrinking. Data shows that subject lines with fewer words get better open rates. If your subject line isn’t clear and concise, it’s likely headed for the trash. Lead with value and skip the fluff. Offer solutions and benefits before anything else.

4. Think “AIR!” — Authentic, Interesting, Relevant

Whether you’re posting a Reel, writing a blog, or sending out a newsletter, apply the AIR test. Is it authentic? Is it interesting enough to stop a scroll? Is it relevant to your audience’s daily life? If not, it’s time to rework the content. Ask yourself: “Would the people I know share this?” (assuming your friends are your target audience, of course!)

5. AI Is Here—But So Is Human Connection

AI tools are changing the entire marketing landscape, from predictive analytics to content creation. But even as automation becomes more advanced, there’s still no substitute for real relationships. People want to buy from people. Let technology do the heavy lifting, but lead with your human side. That’s the one thing we have going for us as humans since we can’t out-smart AI!

As marketing continues to shift, the small businesses that embrace these changes, while staying true to their values, will thrive. The key? Be adaptable, be genuine, and always put your audience first.

To learn more or explore how Marsh and Mihaly Marketing Group can help your small business adapt and grow, we’d love to connect. We thank the following subject matter experts (SMEs) for their contributions at SMMW25 for our professional development which enhances our services to our clients and community: Michelle Gifford, Lucas O’Keefe, Eden Hazan, Nicole Leffer, Brooke Sellas, and Mark Schaefer.

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