2025 Small Business Trends

small business trends 2025

Business technology is evolving faster than ever, and 2025 is shaping up to be a year of transformation. For Alberta’s entrepreneurs, staying ahead of these changes means embracing innovation, adapting to shifting consumer expectations, and making strategic moves to stay ahead of your competition. 

From AI-powered tools to community-driven marketing, this year’s trends highlight opportunities to grow smarter, connect more deeply, and operate more sustainably. From the cozy café in Lethbridge to the up-and-coming wellness store in Grande Prairie, these insights will help Alberta small businesses thrive in the dynamic business landscape of 2025. 

1. E-commerce Evolution 

E-commerce sales are projected to reach $8.1 trillion globally by 2026, and Alberta’s small businesses are well-positioned to tap into this growth. 

Personalized Shopping Experiences 

AI-powered tools are becoming essential for creating tailored customer experiences. For example, recommendation engines like Amazon’s “view similar items” can analyze browsing behaviour to suggest products customers are likely to purchase, driving sales and engagement. 

Voice Commerce 

Voice shopping is gaining traction, with experts predicting significant growth in 2025. In a survey conducted by PwC, a whopping 50% of respondents have made a purchase using their voice assistant, and an additional 25% would consider doing so in the future. How can you tap into this market? If you own a smart speaker like Alexa, you’ve probably noticed that the way you phrase questions is different from how you’d type them into a search engine. For instance, you might ask an Amazon device, “Hey Alexa, what’s the weather like in Calgary tomorrow?” whereas on a computer, you’d probably type “Calgary weather.” Small businesses can optimize their websites for voice search by using natural language and long-tail keywords, ensuring their products are easily discoverable via these devices. 

2. Sustainability as a Core Value 

Sustainability is now a priority for consumers, with eco-friendly practices influencing purchasing decisions more than ever. From clothing retailers to construction companies, appealing to the eco-friendly can boost your business.  

Eco-Friendly Practices 

Reducing waste, adopting sustainable packaging, and sourcing locally are just a few ways Alberta businesses can stand out. Programs like the Green Economy Calgary support initiatives to lower environmental impact while appealing to eco-conscious customers. 

Green Certifications and Incentives 

Green certifications enhance credibility and unlock access to niche markets. In addition, Alberta offers financial incentives for energy-efficient upgrades, which can reduce costs and improve operational efficiency. 

3. AI and Machine Learning Tools for Small Businesses 

AI and machine learning are becoming indispensable for Alberta entrepreneurs, providing tools that save time and enhance productivity. 

AI Chatbots 

AI chatbots deliver 24/7 customer service, handle inquiries, bookings, and product recommendations without human intervention. For example, Lyro is a chatbot that can help with customer service inquiries. This technology not only boosts customer satisfaction but also frees staff to focus on core operations. 

Automated Marketing 

Platforms like HubSpot and Mailchimp use AI to automate tasks such as audience segmentation and personalized email campaigns. For example, an Alberta daycare could leverage AI to send updates on available spots, reminders for parent-teacher events, or resources for child development, creating a more engaged community. 

4. Social Commerce on the Rise 

Social media platforms are quickly becoming virtual storefronts. With integrated shopping features, platforms like YouTube and Instagram enable customers to browse and buy without leaving the app. 

Influencer Partnerships and Micro-Influencers 

Collaborating with local influencers can boost brand visibility. For instance, an Alberta microbrewery could partner with a Calgary-based influencer to showcase products and events through engaging Instagram reels, driving traffic and sales. Learn more about it in our Influencer Marketing Simplified blog. 

5. The Subscription Economy 

Subscription-based business models offer predictable revenue streams and increased customer retention. The average Canadian has 8 recurring subscriptions. In 2025, the subscription economy is expected to grow significantly. 

Small businesses can leverage this trend with creative offerings. A Calgary-based coffee roaster might deliver freshly roasted beans monthly, or a painting business could offer seasonal maintenance packages, ensuring consistent income and customer satisfaction. 

6. Resiliency and Flexibility in Business Models 

As we’ve seen in the last decade, adaptability is key to surviving and thriving in unpredictable times. Though we can’t predict the future, there are some ways we can safeguard our businesses from changing markets.  

Multi-Channel Customer Engagement 

Engaging customers through multiple platforms—physical stores, websites, and social media—ensures a seamless experience. For Alberta businesses, this approach can cushion against market fluctuations. For example, an Edmonton-based craft shop sells handmade goods in-store, on their e-commerce site, and through Instagram Shop. They also host crafting workshops and livestream events, creating a seamless connection between in-person and digital experiences. 

Flexible Supply Chains 

Global supply chain disruptions have underscored the need for local product sourcing. Supporting Alberta-based suppliers can reduce risk, shorten lead times, and foster stronger community ties. 

7. The Power of Community and Local Engagement 

Local businesses prosper when they give back to their communities. 

Community-Centric Marketing 

Participating in local events, sponsoring initiatives, or highlighting Alberta heritage can build trust and loyalty. For example, an Edmonton bookstore hosting a local author’s event could create lasting connections with its audience. 

Building Customer Loyalty through Community Initiatives 

A small business donating a portion of its profits to or partnering with a local cause demonstrates a commitment to its community. This not only strengthens brand reputation but also attracts customers who value social responsibility. 

Final Thoughts

2025 is a year of opportunities for innovation, connection, and growth. By adopting these trends—whether it’s leveraging AI, prioritizing sustainability, or strengthening local ties—entrepreneurs can stay ahead in an ever-changing landscape. Small businesses are the backbone of Alberta’s economy, and staying resilient means embracing change with confidence. 

For personalized guidance on implementing these strategies, consider booking a free consultation with our Business Link Advisors. We’re here to support your journey toward growth and innovation. 

Sources 

  1. Worldwide Retail E-Commerce Sales from 2014 to 2026 (in Billion U.S. Dollars) [2023]. 
  1. Consumer Intelligence Series: Voice Assistants [2023]. 
  1. Some Green Grants [2023]. 
  1. Top Trends Affecting Canadian Businesses [2023]. 
  1. New BDC Study Looks into the Future to Help Canadian Entrepreneurs Defy the Odds [2023]. 
  1. Survey: 73% of Canadians Trapped by Recurring Subscriptions [2023]. 
  1. Small Businesses in Canada: A Statistical Portrait [2023]. 
  1. Finding Its Stride: Alberta’s Economy in 2024 and 2025 [2023]. 
  1. Public and Business Attitudes to Key Policy Issues 2024 [2023]. 
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