While maintaining an online presence is valuable for small businesses, it becomes essential if the target audience includes Gen Z or Millennials, as recent data from GoDaddy reveals that lacking one could significantly affect their profitability.
In a September survey of 1,000 U.S. Gen Z and Millennial consumers, 80% reported researching small businesses online before making their first purchase, often evaluating reviews, websites, and social media to confirm the business’s credibility.
Highlights of the survey:
- More than half (56%) said they would avoid shopping with a new small business if it lacked customer reviews.
- 3 in 10 (32.5%) of respondents said the absence of contact information on a website deters them from purchasing from a new small business.
- Around 1 in 3 (31.5%) said of respondents said an incomplete or under-construction website discourages them from purchasing from a new small business.
- Over a quarter (26%) said the absence of an “About Us” page on a website would discourage them from shopping at a new small business.
- Nearly 4 in 10 (36.5%) said they would be discouraged from shopping at a new small business if it didn’t accept their preferred payment method.
- Almost 1 in 4 (23.5%) said concerns about the safety of their credit card information would prevent them from purchasing from a new small business.
“Knowing what shoppers are specifically researching online when considering purchasing from a new business should have entrepreneurs paying close attention to how their brand is showing up,” said Amy Jennette, Senior Director of Marketing at GoDaddy. “Small business owners should make every effort to put their best foot forward and attract customers with the right digital tools.” GoDaddy’s survey findings reveal significant similarities in how these generations shop online, but a clear generational divide emerges when it comes to social media preferences—each group has distinct preferred platforms for engaging with small businesses.
Although younger consumers may not always agree on which social platforms a small business should be on, the data reveals a shared expectation: the vast majority of Gen Z (95%) and Millennial (94%) shoppers expect businesses to have a presence on some form of social media. The survey highlights that today’s entrepreneurs should focus on prioritizing reviews, updating their business website, and consistently publishing on-brand content across social media platforms.
