Small Business Month in Canada: How Businesses Market
By Karine Kugler · · 5 min read
October is Small Business Month in Canada, making it a good time to look at how small businesses are marketing themselves and where digital marketing fits into the picture.
For most Canadian small businesses, having an online presence is no longer optional. Customers search online, read reviews, visit websites, compare businesses on Google and discover products and services through social media.
Recent Canadian data shows just how important digital channels have become.
9 in 10 small businesses use digital channels
According to a 2025 survey by the Canadian Federation of Independent Business (CFIB), 90% of Canadian small businesses use at least one digital channel.
The survey, which included more than 2,400 independent business owners across Canada, found that:
- 78% have a company website
- 59% use Facebook
- 52% use Google Business Profile/Google Maps
- 41% use Instagram
- 19% use LinkedIn
- 8% use online marketplaces
- 6% use TikTok
These numbers show that small business marketing is spread across multiple digital touchpoints. A website remains the most widely used digital channel, but social media and local search also play significant roles in how businesses reach customers.
Websites still matter
With 78% of small businesses maintaining a company website, the traditional business website remains at the centre of the digital presence for many Canadian companies.
However, simply having a website is not enough. Businesses increasingly need to consider how easily potential customers can find that website through Google and other search platforms, how well it works on mobile devices and whether it gives visitors a clear reason to contact or buy from the business.
Search is also changing. AI-generated answers and AI search tools are influencing how people discover businesses and information online. This makes clear website content, strong local information and authoritative business information increasingly important.
Google Business Profiles are an important part of local marketing
More than half of the small businesses surveyed by CFIB, 52%, use Google Business Profile or Google Maps.
For a local business, a Google Business Profile can be almost as important as the website itself. It gives potential customers immediate access to the company's location, hours, phone number, website, photos and customer reviews directly from Google Search and Maps.
It also illustrates why local marketing is about more than traditional SEO. Website optimization, Google Business Profile optimization, accurate business information and customer reviews all contribute to a company's overall search presence.
Social media is widely used, but platforms differ
Social media is another major component of Canadian small business marketing. CFIB found that Facebook is used by 59% of small businesses surveyed and Instagram by 41%, while LinkedIn is used by 19%. TikTok, despite its popularity among consumers, was used by only 6% of the businesses surveyed.
The differences are a useful reminder that businesses do not need to be everywhere.
A retail store, restaurant and professional services firm may have very different audiences. The right social platform depends on where customers spend their time and what type of content influences their purchasing decisions.
How much are Canadian small businesses spending on marketing?
Marketing budgets vary considerably depending on the size of the business, industry, competition and growth objectives.
BDC reports that a 2019 survey of more than 1,400 Canadian businesses found that small businesses spent just over $30,000 per year on marketing on average. Businesses with 20 to 49 employees spent approximately twice that amount, while companies with 50 or more employees generally had marketing budgets exceeding $100,000.
Because these figures come from a 2019 survey, they should be viewed as a historical benchmark rather than a measure of current 2026 spending. Marketing costs and the mix of available channels have changed significantly since then.
BDC also suggests a general marketing-budget guideline of approximately 2% to 5% of revenue for B2B businesses and 5% to 10% for B2C businesses, although the appropriate amount depends on the individual business, market and objectives.
Digital advertising continues to grow in Canada
The overall Canadian advertising market also demonstrates the continued shift toward digital.
According to IAB Canada, Canadian digital advertising revenue reached $21.1 billion in 2025, an increase of 16% from the previous year. Search remained the largest digital advertising category, followed by social media. Video advertising also grew significantly, increasing 26%.
These figures cover the overall Canadian digital advertising market, not small businesses specifically, but they illustrate where advertising investment is moving.
For small businesses, digital advertising can offer an important advantage: campaigns can be targeted by location, audience, search intent and other criteria, while results such as website visits, calls, forms and sales can be measured.
Small businesses don't need to be everywhere
The Canadian data shows that small businesses are embracing digital marketing, but it does not mean every business needs a website, Facebook, Instagram, LinkedIn, TikTok, Google Ads and every other available channel.
A better approach is to determine where potential customers are looking for the products or services the business provides.
For a local service business, this could mean concentrating on Google Search, Google Ads, Google Business Profile, customer reviews and local SEO. A retailer may put greater emphasis on social media and visual content. A B2B company may find that its website, SEO, Google Ads and LinkedIn are more important.
The objective is not to use the greatest number of marketing channels. It is to invest in the channels most likely to reach the right customers and produce measurable results.
Small Business Month is a good time to review your marketing
Small Business Month provides an opportunity to review what is working and where improvements may be needed.
Look at how customers are currently finding your business. Review your website traffic, Google visibility, customer reviews, ad campaigns and social media activity. Most importantly, look beyond clicks and impressions and determine which channels are generating enquiries, sales and other meaningful business results.
Canadian small businesses have clearly moved online. The next challenge is making those digital investments work together effectively. If you would like an outside perspective on your marketing, our Calgary team is happy to help — request a free estimate.
