According to the GoDaddy 2025 Global Entrepreneurship Research, nearly half of small businesses in Brazil now operate primarily online, using websites, marketplaces, or social media to sell. This shows a clear shift as entrepreneurs embrace digital channels to reach customers, increase sales, and remain competitive in today’s market.
The rise of digitally-focused small businesses
Today, running a business in Brazil means going beyond a physical store. While 28% of small businesses still operate primarily from a physical location, nearly one-third (32%) operate mainly on social media. Another 12% now run their businesses preferentially through their own website.
Sales channels also reflect this shift. Although 26% sell in person, 14% use online stores or marketplaces, and 43% sell directly through social media.
This combination of physical and digital approaches shows that Brazilian small businesses are finding new ways to serve customers, whether in-store, online, or on social media. The ability to blend different methods indicates a significant evolution in businesses’ capacity to adapt to customer needs and preferences.
Social media: a vital tool with real challenges
Social media plays a key role in how small businesses in Brazil operate and grow: 90% of entrepreneurs say it’s important for their sales strategy, and nearly two-thirds (70%) say it’s very important. It has also become the primary place to learn about running a business: 59% turn to social media for insights, surpassing traditional educational resources like books and blogs (40%), and even AI tools like ChatGPT (37%).
But while the value is clear, so are the challenges. When it comes to managing their social media presence, many entrepreneurs struggle with content: 38% say it’s hard to come up with interesting ideas to post, and another 31% don’t have enough time to create and post regularly. Even when content is shared, converting engagement into sales remains difficult: 59% say they struggle to turn followers into customers, and 65% can’t reach the right audience.
These obstacles show that while social media is essential, it’s not easy. Entrepreneurs need smarter tools and support to turn digital activity into real business growth.
The need for smarter tools and AI support
As Brazilian entrepreneurs go digital, many know exactly what would help them sell on social media. Two-thirds (67%) say they need better ways to reach the right audience, and nearly half (45%) want simpler tools to create and publish content, highlighting a clear demand for time-saving solutions.
AI is beginning to play a key role, especially among proactive entrepreneurs. Those already using AI are more likely to want deeper insights into what’s working (40% vs. 25% of non-AI users), but are similar in their interest in tips and templates for writing captions and ads (28% vs. 29% of non-AI users). These preferences suggest small businesses aren’t just experimenting with AI but actively seeking smart, focused support that saves time and delivers results.
“At GoDaddy, we recognize entrepreneurs’ immense potential and understand how hard it is to turn online efforts into real growth,” said Luiz D’Elboux, Country Manager of GoDaddy in Brazil. “That’s why we focus on delivering smart, easy-to-use tools like Show In Bio, which can help turn social engagement into real sales without adding more work.”
The opportunity ahead
As more small businesses in Brazil migrate online, the need for effective tools and support continues to grow. GoDaddy is committed to helping entrepreneurs succeed with easy-to-use solutions like Show In Bio, GoDaddy Studio, and GoDaddy Airo®, all designed to simplify digital marketing and turn engagement into real resultsS
