RIYADH: Social media platforms are revolutionizing the entrepreneurial ecosystem in Saudi Arabia, as they serve both as a launchpad and accelerator for new business ventures, experts told Arab News.
Strengthening entrepreneurship and bolstering the small and medium enterprises landscape is one of the crucial goals outlined in Saudi Arabia’s Vision 2030 agenda, as the Kingdom is steadily diversifying its economy by reducing the country’s decades-long reliance on crude revenues.
Speaking to Arab News, Albatul Al-Harthi, marketing and partnerships manager at TASC Outsourcing in Saudi Arabia, said the widespread use of social media platforms and digital tools has helped entrepreneurs in the Kingdom start their businesses without excessive costs.
“By lowering traditional barriers to entry, it has made it possible for aspiring entrepreneurs to build visibility, establish brands, and connect with customers in ways that were previously out of reach,” said Al-Harthi.
She added: “Entrepreneurs today no longer require heavy upfront investments in retail spaces or traditional marketing; instead, platforms themselves serve as powerful storefronts, marketing channels, and tools for customer engagement.” In July, a study report released by GoDaddy echoed similar views and said that half of small businesses in Saudi Arabia now primarily operate online, using websites, marketplaces, or social media to sell.
According to the GoDaddy survey, nearly 94 percent of entrepreneurs in the Kingdom believe that social media platforms are important to their sales strategy, while a clear majority of 68 percent say that these tools are “very” important to meet their business goals.
The report further said that social media has also become the top place to learn about running a business, with 74 percent of the entrepreneurs turning to these platforms for insights, ahead of traditional educational resources like books and blogs at 35 percent and even artificial intelligence tools like ChatGPT at 47 percent.
Nirmal Chhabria, professor of the practice and director of the EMBA-Dubai Program, Georgetown University’s McDonough School of Business, told Arab News that social media has fundamentally transformed how SMEs in Saudi Arabia can compete and scale by eliminating traditional barriers of capital, location, and network access that once determined business success.
Saudi SMEs can showcase product creation processes, repost customer testimonials, and sell aspiration through lifestyle content.
Nirmal Chhabria, director of the EMBA-Dubai Program
“Saudi SMEs can showcase product creation processes, repost customer testimonials, and sell aspiration through lifestyle content. The visual nature makes it particularly powerful for fashion, food, handcrafted goods, and design businesses,” said Chhabria.
Karim Sarkis, partner at Strategy& Middle East — part of the PwC network — echoed a similar perspective and said that social media platforms will help entrepreneurs identify opportunities and market trends even before the company is created.
“Even before a company is created, social media helps entrepreneurs research customer needs, identify trends, assess competition, test out product ideas, and validate product-market fit. Once a product is live, social media is essential for gathering customer feedback to improve the offering,” said Sarkis.
Al-Harthi said that Saudi Arabia’s favorable demographics are one of the most crucial factors that make social media platforms pivotal for entrepreneurs, with youth in the Kingdom heavily influenced by Instagram, TikTok, and Snapchat.
“The country’s population is highly engaged on social media, and the ability to leverage these platforms allows entrepreneurs to test products, gather instant feedback, and scale their offerings rapidly. For many, the journey from idea to viable business begins with a well-curated feed, viral video, or community-built following,” said Al-Harthi.
The bright side
According to Al-Harthi, social media platforms serve as both a catalyst and an accelerator for the ecosystem, as they create a vibrant marketplace for ideas, drive customer engagement, and foster community building around brands.
She added that these platforms will also help bridge the gap between traditional and digital business models, and could help entrepreneurs reach a wider audience that was previously inaccessible.
“Social media bridges the gap between traditional and digital business models by helping startups reach audiences that were previously inaccessible. Importantly, it aligns with Saudi Arabia’s Vision 2030, which prioritizes digital transformation and innovation as key levers of economic growth,” said Al-Harthi.
She added: “Entrepreneurs are increasingly turning to social media platforms as dynamic, real-time ‘focus groups.’
“Instead of relying solely on traditional market research, they utilize features such as live customer feedback, interactive polls, and analytics dashboards to gauge shifting consumer preferences.
“This allows businesses to identify emerging trends, test new ideas, and adapt products or services with agility.”
Sarkis said that social media helps businesses to drive awareness, attract clients, and increase revenues, with “likes” on these platforms can be easily turned into increased sales and monetary benefits.
The Strategy& Middle East official further said that entrepreneurs can build strong personal brands through social media, and this, in turn, will create a halo effect for their businesses and products. “Personal branding may bring businesses to the attention of investors, thus facilitating access to funding. Partnerships end up being a direct message away for an entrepreneur active on social media. This enables access to new markets, better suppliers, and broader distribution,” said Sarkis.
He added: “Significantly, personal and company brand reputations built on social media engagement can attract talent and differentiate a business when talent is scarce and in high demand.
“Social media is indispensable for entrepreneurs to turn ideas into products, prospects into customers, and revenues into profits.”
Cultural and societal norms
According to Al-Harthi, cultural norms significantly influence how entrepreneurs in Saudi Arabia utilize social media as a business tool, with Arabic language content benefitting them the most, while also empowering female business leaders.
“Unlike in many Western markets where individualism and disruption are often emphasized, Saudi entrepreneurs tend to ground their digital strategies in values of trust, community, and family-oriented messaging,” said Al-Harthi.
She added: “For women entrepreneurs in particular, social media has emerged as a powerful enabler. Platforms such as Instagram and Snapchat have enabled female business owners to establish and grow their ventures with greater visibility.”
FASTFACT
Social media platforms serve as both a catalyst and an accelerator for the ecosystem, as they create a vibrant marketplace for ideas, drive customer engagement, and foster community building around brands.
According to the TASC Outsourcing official, entrepreneurs who craft their messaging in Arabic, while capturing the nuances of local customs and identity, frequently gain more substantial traction than those relying on purely globalized branding.
He further said that most successful digital strategies are those that marry cultural authenticity with modern marketing practices, ensuring relevance to Saudi audiences while still appealing to a younger, tech-savvy demographic.
Potential challenges
According to the GoDaddy report, when it comes to managing their social media presence, many entrepreneurs struggle with finding the right content to post on these platforms.
The report revealed that 34 percent of the entrepreneurs find it hard to come up with engaging ideas for posts, while 32 percent don’t have enough time to create and post regularly.
Even when content is shared, converting engagement into sales remains difficult, with 51 percent of the entrepreneurs having trouble converting followers into customers, and 52 percent can’t reach the right audience.
“The brutal truth about social media for entrepreneurs is that most fail not because they lack strategy, but because they fundamentally misunderstand what the game actually is. Entrepreneurs burn out trying to post daily across multiple platforms, mistaking activity for progress,” said Chhabria.
He added: “They see influencers posting constantly and assume that’s the requirement, not realizing those influencers have teams and posting IS their business.”
Al-Harthi also shared similar views and said that content saturation is one of the most pressing issues faced by entrepreneurs who consider social media as a tool to market their products and services.
The TASC Outsourcing official said standing out in the market requires more than standard promotional posts, especially at this time when audiences are constantly overwhelmed by a flood of updates, ads, and opinions across platforms.
Al-Harthi also underscored the vitality of addressing the issue of misinformation and reputational damage, and said that proactive reputation management, supported by clear communication strategies and practical monitoring tools, is crucial for entrepreneurs to protect and enhance their image.
“We also see a persistent digital skills gap, especially among early-stage entrepreneurs. While social media provides vast opportunities, not every business leader is comfortable with advanced analytics, paid advertising tools, or algorithm-driven optimization,” said Al-Harthi.
She further said that closing the digital skills gap requires targeted training programs, mentorship, and public-private sector initiatives that make digital upskilling more accessible and affordable.
“Finally, there is the danger of platform dependency. Many businesses grow quickly on a single platform but find themselves vulnerable to sudden policy changes, algorithm updates, or market shifts,” said Al-Harthi.
She concluded: “Strategic diversification through multi-channel approaches and the development of owned digital assets such as websites, mailing lists, and branded communities is key to building resilience.”
