New Study: Digital Tools Empower Hispanic-Led Small Businesses and Drive Growth

February 1, 2022 (Washington, DC): A new survey from the Connected Commerce Council (3C) shows that digital tools continue to empower Hispanic small business owners and decision-makers (SMBs) to expand their business and drive growth. 85% of Hispanic-led businesses use digital tools as important parts of their business operations and 85% found a noticeable impact when using digital tools to expand their business. Most interestingly, 81% of Hispanic-led businesses are optimistic about their futures despite a lagging economy, thanks to digital tools and services.

“Digital tools are proving to be exceptionally valuable to Hispanic small businesses that have absorbed big setbacks during COVID-19,” said 3C Executive Director Rob Retzlaff. “It’s important that digital tools remain inexpensive and accessible so minority-led small businesses can continue to survive and even grow. Opening a new business is never easy, but digital tools including online advertising, social media, and back office management consistently help Hispanic-led businesses unlock opportunities in order to succeed. It is increasingly clear that digital tools are providing the infrastructure for President Biden’s ‘American economy for the 21st Century.’”

3C commissioned the survey of 2,000 small businesses to better understand how digital tools from companies like Google, Facebook, Apple, and Amazon help small businesses grow and succeed. The results are clear – small businesses overwhelmingly believe that digital tools are an important part of their business operation that help attract new customers and bolster revenue. Hispanic-led small businesses in particular reported that digital tools are very important to their businesses compared to others surveyed.

Notable statistics include:

• 81% of Hispanic-led SMBs feel more optimistic about the future of their business during the pandemic because of digital tools, compared to 73% overall
• 85% of Hispanic-led SMBs found a noticeable impact when using digital tools to expand their business, compared to 78% overall
• 85% of Hispanic-led SMBS stated that digital tools increased their businesses’ ability to collaborate, work efficiently, be more agile, and shift strategy quickly, compared to 79% overall.

“I’m proud to say that I’ve used digital tools to keep my company alive during the worst of the pandemic. Digital advertising such as Google ads are critically important to my store’s growth and success,” said Feliciano Zavala, owner of Peninsula Party Rentals in Palo Alto, CA. 

The survey of 2,000 SMBs, with additional oversamples of Black- and Hispanic-led SMBs, was conducted by Catalyst Research from Nov. 29, 2021 to Dec. 9, 2021, and has a margin of error of +/- 3.1% (MoE larger for subgroups).