Challenges and Innovations for Small Businesses in 2025
Small businesses in 2025 are facing challenges that feel all too familiar. Inflation remains high, interest rates continue to climb, and operating costs are growing. Rent, wages, and taxes have increased, making it harder for business owners to maintain profitability. Meanwhile, marketing expenses have become a major burden. Although digital advertising was once an affordable way to attract new customers, rising costs have made it unsustainable.
At the same time, customer loyalty is shifting. Instead of being loyal to local businesses, many consumers now feel a stronger connection to platforms such as social media apps, delivery services, and online marketplaces. As a result, businesses find it increasingly difficult to retain customers without relying on third-party services that take a cut of their revenue.
The current situation is strikingly similar to what small businesses experienced during the 2008 recession. Back then, many turned to Groupon, a deal-based platform that promised to bring in price-sensitive customers. Initially, Groupon appeared to be a lifeline. Businesses gained exposure, consumers enjoyed significant discounts, and Groupon profited from each transaction. However, the model had several flaws. Merchants had to offer steep discounts, while Groupon also took a portion of each sale. In the end, many businesses found that Groupon customers were one-time bargain hunters, not long-term loyal patrons.
Fast forward to today, and businesses still need an affordable way to attract and retain customers. However, Groupon-style promotions no longer deliver the same results. At the same time, Facebook and Google ads have become prohibitively expensive. Additionally, third-party platforms like DoorDash and Grubhub charge high fees while preventing businesses from building direct relationships with their customers.
So, what’s the solution? GOTYOU, a platform that empowers businesses to connect with customers directly, is changing the game. Instead of relying on big tech, businesses can use GOTYOU to engage with their local communities, reward customer loyalty, and create sustainable, long-term growth.
Rising Costs and Shrinking Margins
Business owners are feeling the financial squeeze from every direction. Rent continues to climb, making it difficult to secure affordable locations. Payroll costs have risen due to increased minimum wages, forcing businesses to make tough decisions about staffing. Additionally, higher taxes and operational expenses are eating into profits, leaving little room for expansion or reinvestment.
Marketing Is Expensive and Less Effective
Digital advertising, which was once a powerful tool for customer acquisition, has become a financial drain. Years ago, businesses could use Facebook and Google ads to attract new customers affordably. Now, the cost per lead has skyrocketed to $15 to $30, making it an unsustainable strategy for small businesses. On top of that, traditional marketing methods such as local coupon books and print ads no longer provide the same return on investment.
Customer Loyalty Belongs to Platforms, Not Businesses
Consumers today are more connected to platforms than individual businesses. Rather than developing relationships with local shops, they engage through third-party services like Yelp, UberEats, and Amazon. Because of this shift, businesses are forced to spend money to acquire customers through these platforms—but they don’t actually own the relationship. Instead, the platform controls customer data and dictates the terms of engagement.
Irrelevant Marketing Leads to Wasted Opportunities
Many businesses struggle with marketing because their promotions are poorly timed and irrelevant. Most send out mass emails and text messages without considering location or real-time relevance. As a result, consumers receive offers they can’t use at that moment.
For example, a customer traveling abroad shouldn’t be getting a lunch special from a grocery store back home. Yet, this happens frequently because traditional marketing tools lack localization intelligence. Not only does this result in ignored promotions, but it also creates marketing fatigue, where consumers stop paying attention to business messages altogether.
GOTYOU fixes this issue by ensuring that offers are only sent when they are immediately usable and location-relevant.
Lessons from 2008: What Small Businesses Can Learn
Groupon’s Rise and Fall
During the 2008 recession, Groupon provided an easy way for businesses to attract customers looking for deals. However, the model had several drawbacks:
- Businesses were required to offer steep discounts, which cut into profits.
- Most Groupon customers never returned, making it a one-time transaction instead of a long-term relationship.
- The platform took a large cut, leaving businesses with little to no profit.
While Groupon initially appeared to be a great solution, it ultimately proved unsustainable for many businesses.
The Shift Toward Digital Advertising
As Groupon faded in popularity, businesses turned to Facebook and Google ads to acquire customers. For a while, this strategy worked. However, as advertising costs soared, small businesses found it increasingly difficult to compete with larger brands that could afford bigger ad budgets.
Now, businesses are asking the same question they did in 2008:
How can we attract and retain customers in a way that is affordable, effective, and sustainable?
The answer lies in GOTYOU and Web3 technology.
How GOTYOU Helps Small Businesses Succeed
1. The $GET Token: A Local Currency That Works Across Businesses
GOTYOU introduces $GET tokens, a universal reward system that works across multiple businesses. Unlike traditional loyalty programs, where points only apply to a single business, $GET tokens can be earned and spent anywhere within the local network.
✅ Example: A customer buys a coffee at a local café and earns $GET tokens. Later, they use those tokens at a nearby bakery, gym, or bookstore.
💡 Why It Works:
- Customers don’t need multiple loyalty programs—they earn and spend seamlessly.
- Businesses attract repeat customers without relying on expensive ads.
- The local economy benefits, as customers are incentivized to shop nearby.
2. Smart Promotions with Redeemable NFTs
GOTYOU replaces outdated coupons with redeemable NFTs, allowing businesses to create flexible, trackable promotions.
✅ Examples:
- Punch Cards: Buy 5 coffees, get 1 free—stored as an NFT in the customer’s GOTYOU wallet.
- Happy Hour Discounts: A 20% discount from 3-5 PM appears only for customers within a short distance.
- Inventory Management: A bakery offers $5 day-old pastries between 7-8 AM, sent as an NFT deal to nearby customers only.
3. Cross-Promotions That Strengthen Local Economies
GOTYOU makes business collaborations easy, allowing local shops to work together to increase foot traffic.
✅ Examples:
- A coffee shop and a bakery partner up—buy coffee, get $1 off a pastry at the bakery.
- A boutique and a nail salon collaborate—spend $50 on clothing, get a free manicure upgrade.
- A spa and a juice bar team up—book a massage, receive 10% off at the juice bar.
The Future of Small Business with GOTYOU
With GOTYOU, businesses can:
✔ Own their customer relationships instead of relying on third-party platforms.
✔ Reduce marketing costs by targeting real, local customers.
✔ Create location-based rewards that are instantly usable.
✔ Encourage repeat business with $GET token incentives.
✔ Strengthen local economies through business-to-business collaborations.
Rather than relying on expensive ads and outdated marketing strategies, small businesses can now take control of customer engagement—on their own terms.
💡 The question is—will your business be ready?
