Are Businesses Still Using Social Media to Advertise in 2026?
Seriously? again? it seems like every few months someone is declaring social media marketing dead. usually someone with another product to sell, or some kind of axe to grind.
It's the question that just won't go away. 'Are businesses still advertising on social media in 2026?
Yes. And the data proves it’s more important than ever.
Every few months, someone declares that social media marketing is dead.
“Facebook ads don’t work anymore.”
“Everyone’s sick of ads.”
“Organic reach is gone, so what’s the point?”
And yet… the businesses that actually understand how to use social media properly are still growing faster than their competitors.
In 2026, social media advertising isn’t just alive and well, it’s one of the most widely adopted, heavily funded, and effective marketing channels in the world. And not just for big brands, for small local businesses too.
Let’s cut through the noise and propaganda, and look at the reality.
Are Businesses Still Advertising on Social Media in 2026?
Short answer: Yes. Almost all of them.
Long answer: social media is now so embedded in modern marketing that not using it is the exception, not the rule.
We used to talk about online marketing, social media marketing and ‘traditional’ marketing as though online and social were some obscure, fringe marketing channels. Now, online and social are the primary channels, especially for small, medium and local businesses.
How many businesses are using social media?
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96% of small businesses use social media as part of their marketing strategy
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Around 71% of small and medium-sized businesses actively market on social platforms
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Over 70% of marketers say social media is a core channel for their business
That means in 2026, social media is no longer “new” or “optional”. It’s infrastructure. The backbone of your marketing efforts.
If your business isn’t advertising on social, you’re not being disruptive, you’re being invisible.
How Businesses Are Using Social Media Advertising in 2026
Here’s where the biggest shift has happened.
Businesses aren’t just “running ads” anymore. They’re using social media as a full-funnel growth system. They’re creating strategies, with purpose, to leverage the reach and engagement offered by social, which is far in excess of anything we’ve seen in the history of marketing.
This isn’t hyperbole, it’s the only channel that offers the massive reach, with the option for two way communication with your audience. TV doesn’t offer that. Radio doesn’t offer that. Print and outdoor don’t offer that and experiential doesn’t offer that at such a scale.
Social is the ONLY channel to give you reach AND engagement. So how are the smart brands doing it?
1. Brand Awareness & Trust Building
This is the start of your prospect’s journey to becoming a customer. It's the top of your sales funnel. Where you use the broadest targeting, for the greatest reach, and allow people the opportunity to get to know you in a casual, social and non threatening way. Smart businesses understand something critical:
People don’t buy from brands they’ve never heard of unless you’re offering massive discounts, and that’s not where smart strategy lives.
Social media is where successful businesses:
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Introduce their brand
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Educate the market
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Tell their story
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Build familiarity before asking for a sale
This is why over 70% of marketers say social media is one of their most effective channels for brand awareness.
Short-form video, stories, reels, and educational content dominate this stage because attention is the currency in 2026.
2. Lead Generation & List Building
Instead of pitching cold audiences, businesses are building awareness and trust, and using their social platforms to move people towards their other communities like website, email and SMS where they can continue nurturing the relationship on a more one to one basis. This is the middle of your sales funnel.
And never fear, the technology available in email and messaging platforms allows you to do this at scale, without spending hours replying to messages, and without losing the personal connection.
The keys are...
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Offering value first (guides, audits, demos, quotes, trials, challenges)
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Using lead forms, landing pages, DMs, and Messenger
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Turning attention into owned audiences (email + SMS)
This matters because social platforms change. Algorithms change. Audiences don’t.
Once you own the contact, you control the relationship. Creating the lists you own has never been easier than it is now, with effective social media.
3. Sales & Retargeting
This is where the money is made. The bottom of the sales funnel. It’s where the magic happens, and business dreams are realised.
Everything you’ve done up until this point has been gradually moving people closer to buying from you. Not in a manipulative way. Not in a coercive way. In a way that’s allowed people to call themselves out as being interested, and then removing the road blocks by helping them become more educated about what you do, why you do it, and how it helps them, until they’re like ‘Yep, this is absolutely what I need’.
Most people don’t buy the first time they see your brand. Businesses that understand this use social media to retarget:
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Website visitors
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Video viewers
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Past leads
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Existing customers
This is why businesses consistently report that social media contributes directly to leads, enquiries, and sales, not just likes or comments.
NOTE: At this point you have to actually deliver on your promise. This method of marketing is a powerful tool that will generate sales and with great power comes great responsibility, so please be sure you can deliver on whatever promise you make in your advertising.
How Many Businesses Plan to Keep Using (or Increase) Social Media?
Here’s the clearest signal that social media is still working:
Businesses are increasing their investment, not pulling back. It doesn’t matter what we say, or what the social media platforms say, it matters what advertisers say with their dollars. It matters what we SEE inside ad accounts and what our clients say about the results.
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44.8% of marketers planned to increase their social media budgets year-on-year
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Global social media ad spend is projected to exceed $219 billion, accounting for roughly one-third of all digital advertising spend.
Budgets follow results. Always. When you consider brands have to accommodate pay per click ads like Google, website development costs, content production costs such as video production and graphic design, the fact so many are increasing social media budgets is a clear indication of its effectiveness.
If social media didn’t work, it wouldn’t be absorbing this level of investment.
How Much of a Business’s Marketing Budget Goes to Social Media?
Social media is no longer a “side channel”. Even 5 years ago business were still testing social media. Still viewing it as an add on to their ‘real’ advertising. With changes to the way we consume media, and the increased level of sophistication now offered by social media as a dedicated advertising channel, that’s no longer the case. Social is a cornerstone of many businesses’ overall marketing strategies.
For many businesses:
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30–50% of digital marketing budgets are now allocated to social platforms
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Some global brands have shifted over half of their media spend into social and influencer-driven campaigns. The Australian – Business & Growth Agenda
Even at a local business level, social often represents the largest single paid channel, ahead of TV, print, radio, and often SEO.
Why?
Because it’s measurable, scalable, and controllable. And affordable! Compare a social media advertising campaign to anything else offering this level of reach like TV or radio. It’s no comparison.
The reach of other channels continues to decline, and deliver very limited demographic audiences.
As an agency, we work with all channels including print, Out of Home, TV... all of them. But Social Media is an absolute no brainer.
Why Social Media Advertising Is Still So Effective in 2026
Social media works because it solves problems other channels can’t.
1. Precision Targeting
Unlike traditional advertising, social allows businesses to target based on:
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Location
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Interests
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Behaviour
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Job titles
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Engagement history
You’re not paying to reach everyone. You’re paying to reach the right people. And you’re reaching them at scale.
2. It Builds Trust Before the Sale
Search ads capture intent.
Social ads create intent.
By the time someone enquires, they’ve:
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Seen your brand multiple times
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Consumed your content
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Absorbed social proof
That dramatically increases conversion rates.
3. It Delivers Short-Term Wins and Long-Term Growth
Few channels can:
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Generate leads this week, and
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Build brand equity for the next five years
Social media does both when it’s used strategically.
Branding vs Lead Generation: Does Social Media Do Both?
Yes. That’s the point.
Branding & Awareness
Social media:
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Keeps your business top of mind
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Positions you as the obvious choice
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Builds familiarity at scale
People don’t wake up needing your service every day, but when they do, they remember who they’ve been seeing consistently. Social allows you to do that without breaking the bank.
Lead Generation & Sales
With the right funnel, social media:
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Fills pipelines with long and short term prospects
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Reduces reliance on referrals
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Drives predictable, scalable revenue
This is why 76–90% of marketers say social media positively impacts their business outcomes, including traffic, leads, and sales.
So, what are the Advantages of Social Media Over Other Marketing Channels?
Compared to traditional and even many digital channels, social media wins on:
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Lower barrier to entry
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Faster feedback and optimisation
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Creative flexibility
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Deeper relationship building
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Clear, real-time data
It’s not perfect, but nothing else gives businesses this much leverage with this degree of flexibility for this level of investment.
What Actually Works on Social Media in 2026?
So, pulling all of that together, how are the businesses that are winning right now, using their social media channels?
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Video-first advertising. It’s educational, engaging and builds trust FAST.
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Value before the sale. Helps people get to know you without putting their barriers up immediately.
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Strong offers (not discounts). Lets you clearly articulate how your product or service makes your prospects life better. This is the foundation of a great offer.
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Aggressive retargeting. Once people have shown interest by vising your website, engaging with your content or communicating with you, don’t ghost them, continue to nurture the relationship.
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Integration with email and SMS. This is where long term growth comes from. And where ROI goes from good to life changing!
They’re not chasing hacks. They’re not ‘getting on trends’. They’re not distracted by noise. They’re building systems. Systems that are based on strategy, fundamental principles of marketing and human behaviour.
The Bottom Line
So… are businesses still using social media to advertise in 2026?
The data says yes — almost all of them.
The budgets say yes — more than ever.
The results say yes — when it’s done properly.
Social media marketing isn’t dead.
Random posting is dead.
Ad-hoc and inconsistent ads are dead.
Marketing with no strategy is dead.
If you want social media to actually grow your business, not just burn time and money, you need a plan that turns attention into trust, leads, and sales. And then, yes, social media advertising is very much alive!