The impact of social media on SMMEs: A glimpse into business operations
Hours upon hours can easily be lost mindlessly scrolling through social media apps, such as TikTok and Instagram, enjoying the frivolous content the algorithm presents, but those apps have also become a lifeline to a number of Small, Medium and Micro Enterprises (SMMEs), and their impact is undeniable.
While the reliable and trusted method of using a search engine has never steered anyone wrong, it is hard to argue against the power of seeing a small business grow on social media and seeing the real-life impact that it has on those businesses.
Anecdotally, it’s hard to count the number of times that friends and I have been influenced by seeing a business’s product or service on social media and ended up going to see and support that business.
Recently, I came across a matcha store in Sea Point that dominated my feed, either through their own social media marketing or through the posts of people who were equally intrigued by the new small business.
While in the area one day, I decided to try them, and I found a long line outside the store.
Two matcha drink purchases later, I was left wondering not only about the extent to which social media can impact a small business but, more specifically, how this impacts business owners and how they manage their businesses.
The impact of SMMEs on the South African economy is undeniable. There are believed to be between 2.4 and 3.5 million SMMEs in South Africa which have sustained and created more than 30,000+ jobs, and that they inject over R900 million into the South African economy.
In February, during his State of the Nation Address (SONA), President Cyril Ramaphosa said the government will establish a R20 billion fund to empower small businesses in the country.
The founder of Get Published, Nadia Hearn, which specialises in purposeful branding and marketing communication strategies, shared that social media platforms can significantly contribute to small business success.
“During the pandemic, businesses embraced social media and digital platforms as it became increasingly important to survive. It was reported that up to 30% of businesses moved online during the pandemic.
“In 2020, South Africa’s e-commerce grew by 66% compared to 2019. According to FNB, online spending has grown by 30% year over year, making online business more attractive.
“In 2020, a record 510,000 companies were registered in South Africa, representing a 32% increase compared to the 385,000 new registrations in 2019. This surge was attributed to a combination of factors, including the economic hardship caused by the Covid-19 pandemic,” Hearn said.
“Additionally, the average monthly registration rate was close to 12,000 new companies.”
The Covid-19 pandemic forced everyone to have to connect virtually, and the way that people interact online has changed, in good and bad ways. However, there is certainly no denying that it has also given businesses a lifeline.
Hearn said that small businesses can enhance brand visibility, facilitate cost-effective marketing, and enable direct customer engagement.
“These platforms provide the opportunity to create engaging and helpful content that leads to real conversations that build relationships and connect small businesses with people who need their services or products.
“The benefits include free access to these powerful tools and platforms, a huge opportunity for businesses. However, it does require good, consistent content and sales strategy for conversion beyond engagement and to sales,” Hearn said.
Founded by architectural designer turned furniture artisan, Jared Fynn, he created “CloudHaus” a Johannesburg-based business devoted to crafting unique furniture.
“I embarked on a journey to redefine the way people experience furniture. Drawing from my background in architecture, I wanted to create pieces that not only elevate living spaces but also foster meaningful connections between individuals and their environments. Thus, I created CloudHaus – a sanctuary where craftsmanship meets creativity, and every piece tells a story.”
Fynn said that he comes from a family of entrepreneurs, and sometimes wonders how they managed to scale their businesses efficiently to become profitable.
He saw an impact on his business once TikTok entered the conversation.
“TikTok has been a game-changer when it comes to getting your message out there… It allows me, and other entrepreneurs and creatives, to reach an audience that hasn’t yet discovered us, all without having to pay for ads, and in record time.
“I always encourage my audience to share their thoughts, and they often come up with incredible ideas, which is a huge plus. As a business owner and content creator, sharing my journey has been a game changer,” he said.
“It has helped me grow both my revenue streams and my network.”
Hearn said that increased brand visibility and reach can help SMMEs reach a wider audience at a lower cost than traditional marketing methods.
“Facebook and Instagram offer targeted and very affordable advertising options so businesses can reach specific customers.
“Social media offers enhanced customer engagement, which allows for the opportunity to directly engage with customers, improve customer relationships through the use of data and insights as businesses can gain a deeper understanding of their customers, and also allowing for brand building which can foster positive associations with the business.”
The owner of haircare brand Afrocurl, Kayla Kim Meiring, known to many online as kaylakimkay, said that her knowledge and experience in a corporate environment allowed her to grow her small business on social media.
“I think the idea that many have is that ‘Oh I’ve got these followers, I can now start a business and monetise outside of that’, but I think you also need to business ethics and know ways to run a business, as opposed to ‘Oh I’ve garnered all this fame and popularity, I can automatically do that’.
“Research, number one, is important – the growth of your business is completely up to you, and you have to prepare yourself for that growth. I think a lot of people see ‘okay I can go viral’, and ‘there’s an opportunity to go viral’ but are you ready for going viral? I think that’s a different conversation,” Meiring said.
“I had the skills to do that and so my business automatically would grow on the basis of what I know and the basis of how much I’m wanting to pour into my business.”
@kaylakimkay And God ain’t done yet!! #kaylakimkay #naturalhair ♬ Lalela Indaba – HLOPHE
Meiring started her business during the Covid-19 lockdown, and said that she used her abilities as a content creator on social media to grow her audience.
“It was the perfect time to infiltrate the market, and just to build a community as a whole. I’m not saying it’s too late for people to do that now, but I think because I’ve started then I automatically have that community that has been with me for a total of five years.
“Firstly, for me it was important to have representation, because there are not a lot of Coloured women in business content creation, so I think I wanted to see more representation in the content creation space, the entrepreneurial space, and to let every person of colour know that it is possible.
“I had my last salary when I started it, and I just took a leap of faith. I think I’m also a very spiritual person, so I always say, it is by the grace of God that I’m here, and basically living through my purpose.
“Yes, I had goals, but I had a bigger vision outside of just making money.”
@jaredfynnboidax WHO WANTS ONE? 📌🇿🇦 @bycloudhaus
Fynn added, however, that it isn’t always easy: “The main issue I face, along with many other founders I speak to, is finding the time to both run the business and prioritise social media growth.
“A lot of my clients, and potential clients, come from digital word of mouth. Being top of mind is really important, and in 2025 that means posting frequently.
“My approach to staying consistent is not treating content creation and business operations as separate things. As we operate, design, deliver, and manufacture, the camera is rolling.
“This way, there’s no need to waste time filming on specific days. The content already exists, we just need to create a voiceover that tells our authentic story or use a trending audio while showcasing our product in a unique and on-trend way,” he said.
Hearn added: “SMMEs need to understand that they are still building real relationships virtually, and that it needs the same attention, authenticity and professionalism in business practice as running a bricks and water business.
“Your brand is key to your reputation, and it is even more sensitive to public perception. Trust and credibility are everything.
“When people are willing to buy from you and support your business, they meet on social media, show them you’re human, and honour your business promises,” Hearn said.
“Should you create low-quality products and services, or get the logistics wrong on delivery, returns, and customer support, your business can go from successful to unprofitable and unpopular in record speed.”
theolin.tembo@inl.co.za