TikTok surpasses Instagram as top growth driver for small businesses

With social media now essential for business exposure and sales, its rapid growth and broad reach make it a vital tool for small businesses. But which platforms are driving the most success?

To find out, new research from Capital on Tap analysed over 30 small business accounts on Instagram and TikTok, focusing on beauty, handmade goods, and jewellery brands. By tracking follower growth, user interactions, and engagement rates, the study highlights which platform best helps small businesses build strong customer relationships.

Instagram VS TikTok: TikTok is better for engagement with small businesses

• While Instagram accounts in the study had slightly more followers on average (32,376 vs. TikTok’s 30,359), TikTok outperformed in engagement.

• TikTok posts saw significantly higher average interactions per post (2,201 vs. 492) and a stronger average engagement rate (7.14% vs. 4.67%).

• These results suggest that TikTok offers small businesses a more active and responsive audience, helping boost brand visibility and customer connection.

Kamilla Fernandes-Pickett at Capital on Tap offers expert insights on how small businesses can adapt to the evolving social media landscape and leverage these platforms to drive sales in 2025.

“Social media continues to be a powerful tool for building brand loyalty and communicating with potential customers,” says Kamilla at Capital on Tap.

“For small businesses, it’s not just about having a presence, it’s about creating meaningful interactions that can directly impact sales.”

Maximising social media presence in 2025 is about more than just creating posts; it’s about building a comprehensive sales strategy that incorporates both organic engagement and direct sales tactics,” adds Kamilla. “By utilising these five strategies, small businesses can transform their social media presence into a key driver of growth and revenue.”