Sydney Australia, [Wednesday, 2 April] – VistaPrint has today released the findings from its 2025 SMB Report revealing that over 2-in-3 (65%) SMB owners have struggled in the first quarter of 2025, but the outlook looks positive with half of SMBs (50%) describing their current feeling as optimistic, positive, excited, or uplifted.
There are plenty of political, economic and technological shifts happening that SMBs are having to navigate. SMB owners are particularly worried about inflation (43%) and a potential recession (38%), and as many as 2-in-5 (39%) say AI has made it significantly (9%) or somewhat (30%) harder to stand out.
SMBs are tackling headwinds with optimism and pragmatism
As always seems to be the case, Australian SMBs are tackling headwinds with optimism, stoicism and pragmatism.
2025 is an election year in Australia and roughly 2-in-5 (38%) SMBs expect the upcoming election will impact their business positively while over a quarter (27%) expect things will remain the same.
Furthermore, the global political landscape doesn’t appear to be impacting Australian SMBs’ confidence either, with just under half (48%) either very prepared (13%) or somewhat prepared (35%) to navigate the political shifts happening both locally and overseas, versus just 11% who are unprepared.
With regards to technological shifts and the rapid proliferation of AI, despite some concerns, almost 2-in-5 (37%) Aussie SMBs are very optimistic (10%) or somewhat optimistic (27%) about the role of AI in business.
Crowded, murkier waters making it difficult to stand out
Social media and artificial intelligence do however appear to me crowding and muddying the waters. In addition to the SMB sentiment that AI makes it harder to stand out as a brand, slightly more SMB owners (44%) believe social media does the same.
Of those concerned about AI, lack of human touch (26%), data privacy and security risks (21%) and accuracy of the information and data reported (21%) ranked highest for the reasons for concern.
SMBs overwhelmingly believe (62%) that AI generated content is, or has the potential to, dominate the content we see on social media and other media channels, and almost half (48%) say AI generated content makes it difficult to compete for share of voice.
Branding and personalisation a silver bullet
Customer engagement, personalisation and authenticity appear to be the perfect antidote to the murky waters of increased social and AI content.
Two thirds of SMBs (66%) say customer engagement and personalisation is the main way they differentiate their brand in an environment where social media and AI generated content is gaining popularity. Prioritising authentic storytelling (35%) ranked the second most popular way to differentiate their brand.
In addition, physical marketing materials made the top three branding and marketing methods that SMBs say they are going to invest in most this year, along with digital marketing and social media.
Marcus Marchant, CEO of VistaPrint, commented on the resilience of SMBs, stating: "Despite the challenges facing small businesses in 2025, it’s encouraging to see that optimism remains strong. SMB owners are resourceful, and they recognise that strong branding, personalised engagement – particularly the use of physical marketing materials that leave a lasting impression - and authenticity, are key to standing out in today’s evolving landscape. At a time of rapid change, businesses that embrace adaptability and innovation will continue to thrive."
SMB owners certainly appreciate the value of branding and marketing, with almost 2-in-5 (38%) putting extreme (9%) or high (29%) emphasis on it as a driver of business success in the current landscape.
Providing great customer service, being transparent about your practices, and delivering an incredible product and service every time are the most effective ways to build brand trust according to SMB owners. Partnering with influencers ranked the least.
To find more about VistaPrint's range of physical marketing and branding materials [see here].
Key Facts:
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The report reveals that despite a challenging start to 2025, half of Australian SMBs describe their current feeling as optimistic, positive, excited, or uplifted.
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Well over a third (38%) of Australian SMBs say the upcoming election will impact their business positively.
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2-in-5 (39%) Aussie SMBs say AI has made it harder to stand out as a brand, but two-thirds (66%) say customer engagement and personalised branding can help
About us:
About VistaPrint:
VistaPrint is the design and marketing partner to millions of small businesses around the world. For more than 20 years, VistaPrint has helped small businesses look, work, and feel credible through high-quality marketing products and solutions that include signage, logo apparel, promotional products, flyers, postcards, business cards, websites and digital marketing. In addition to providing design and marketing support to small businesses.
VistaPrint also helps consumers turn special moments into memories with a wide assortment of custom photo gifts, including photo books, wall art, keepsakes and drinkware.
VistaPrint is a Cimpress company (Nasdaq: CMPR). To learn more, visit vistaprint.com.
About the research:
Released by VistaPrint. Overview and Consumer Sampling: This research was produced by Vista Australia, based on an online study conducted by Pure Profile Research with n = 500 Australian Small and Medium Business owners. The sample was designed to be nationally representative on age, gender, and location. This research was conducted in March 2024.
Contact details:
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