As businesses navigate the complexities of growth in 2025, the emphasis is increasingly on relevance and resourcefulness rather than just digital innovation. With small businesses becoming adept at meeting customers in their preferred spaces, the use of technology to enhance reach and impact has become paramount. In this context, Ciara McGibbon and Barbara Thau from CO— Trend Watch analyze the evolving entrepreneurial landscape.
Reddit has emerged as an unexpected but potent growth channel for businesses. With approximately 110 million daily users and over 100,000 active subreddits, the platform has transitioned from niche to mainstream. However, traditional marketing efforts often fail here; overly promotional content tends to be penalized by moderators. “Reddit is a no-spin zone where people go for useful information,” noted Thau. Businesses are finding success by contributing authentic, non-promotional insights, which not only fosters trust within communities but also enhances visibility in search results.
A case in point is Tree Amigos, a Texas-based tree care company that utilized Reddit to provide informative posts and respond to community inquiries about tree care. This strategy not only established the company as a local expert but also led to an increase in its search presence within the Austin area, ultimately securing larger clients.
For small businesses, engaging as knowledgeable participants in Reddit discussions rather than traditional marketers can build significant trust and traffic. Authentic contributions are rewarded on this platform, which also boosts search visibility across Google and generative AI platforms.
In parallel, artificial intelligence is democratizing opportunities for small businesses, particularly in sectors like beauty. Indie brands are leveraging AI for functions like virtual try-ons and shade matching, enhancing customer experience from the outset. Additionally, AI is streamlining various operational aspects, including product development and marketing strategies. David C. Chung, founder of Farmacy Beauty and The Rootist, exemplifies this trend; he employs AI to optimize ingredient selection and marketing narratives at a fraction of traditional consultancy costs.
However, the most significant advantage of AI lies not in mere automation but in the liberation it offers entrepreneurs to concentrate on the human elements of their businesses. This is particularly vital in retail, where in-person interactions remain crucial. “Always keep that in mind: ‘What can I do with technology to free me up for those human interactions?’” Thau advised.
Another noteworthy trend is the increasing cross-over of business-to-consumer (B2C) brands into business-to-business (B2B) channels. This shift enables brands to reach a broader customer base than through direct-to-consumer channels alone. For B2C brands venturing into B2B, Thau suggests strategic partnerships with complementary businesses. Non-alcoholic drink brand Curious Elixirs, for instance, has transitioned from online sales to collaborations with restaurants and distributors, significantly driving growth. Similarly, Ergatta, a game-based rowing machine company, has pivoted to a B2B model, aligning with larger fitness brands like Peloton and NordicTrack.
The success of such expansions hinges on leveraging unique offerings. As Thau puts it, these brands have tapped into the “je ne sais quoi … that only they could offer.” This insight underscores the potential for B2C brands to enhance their reach through B2B partnerships, encouraging businesses to focus on collaboration rather than competition.
As the landscape continues to evolve, small businesses are presented with unique opportunities to scale their operations effectively. Emphasizing genuine community engagement, harnessing the power of AI, and exploring B2B avenues can redefine the pathways to growth in an increasingly interconnected market.
For further insights, you can read more on how brands are utilizing platforms like Reddit through this link, or explore the impact of AI in the beauty industry through this resource.
Published December 09, 2025
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