Cautious Optimism for 2026, but Uncertainty is High Among Small Businesses According to New Thryv Data
MWN-AI** Summary
According to recent data released by Thryv® (NASDAQ: THRY), small businesses (SMBs) are entering 2026 with cautious optimism, yet uncertainty looms large. A survey conducted in mid-December 2025 revealed that while a slight majority of respondents anticipate business growth, nearly one-third express uncertainty about their future. A significant concern for 50% of SMB owners is their ability to grow within the current economic landscape, with 44% worried about escalating employment costs.
Despite the varying levels of optimism, only 20% of respondents identified tariffs as a pressing concern for the upcoming year. A notable optimism emerges from 63% of SMBs who reported that 2025 met or exceeded their expectations, although challenges remain. The survey indicates that 39% of business owners opted for "none of the above" when asked which factors inspire optimism, reflecting a cautious stance on significant issues like adapting to economic changes, competition, and technological advancements, including AI.
Commenting on the findings, Thryv President Grant Freeman noted the importance of adopting technology to navigate the uncertain landscape. Two-thirds of respondents expressed skepticism regarding the impact of AI on their businesses, with 38% feeling equipped with the necessary tools for growth. This highlights a divide among SMBs in recognizing AI's potential transformative power.
The retrospective view of 2025 shows that while many businesses thrived, external challenges, such as economic turmoil and inflation, negatively affected operations. As small businesses prepare for 2026, those willing to leverage technology and adaptability may well turn their cautious optimism into tangible business success.
MWN-AI** Analysis
As we enter 2026, market sentiment among small and medium-sized businesses (SMBs) is characterized by cautious optimism, even as uncertainty looms large. According to recent data from Thryv, while a slight majority expect business growth this year, nearly one-third remain unsure, indicating a potential stall in decision-making and progress.
The primary concerns for SMBs highlighted in the survey are growth and rising employment costs, factors that could weigh down on their ability to innovate and expand. Notably, tariffs and access to financing have not emerged as significant concerns, suggesting that domestic factors will be more impactful in shaping the market landscape.
The findings also reveal that approximately two-thirds of SMBs believe artificial intelligence (AI) will not impact their operations in 2026, illustrating a disconnect in the potential of this transformative technology. Among those surveyed, only 38% feel they have access to the necessary tools, including AI, to foster growth. This presents an opportunity for proactive businesses that recognize technology as a vital enabler; those who adapt swiftly by integrating AI into their operations could establish a competitive edge.
Investors should consider focusing on companies that demonstrate strong adaptability and a commitment to leveraging technology for efficiency and growth. SMBs that embrace innovation and manage rising employment costs effectively could outshine their competitors, translating cautious optimism into tangible success.
In summary, while 2026 appears promising for SMBs, heightened uncertainty signals the need for strategic planning and a forward-looking approach. Businesses that prioritize technology adoption and workforce management will likely navigate the challenges ahead more successfully, making them attractive prospects for potential investments.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
A slight majority expects business growth in 2026, while nearly one-third are unsure
- Half of SMBs surveyed said the ability to grow their business was top 2026 concern
- Only 20% cited tariffs as a concern
- 63% said 2025 met or exceeded expectations
Small business owners see challenges ahead in 2026, leading to muted optimism according to new data from Thryv® (NASDAQ: THRY). The small business (SMB) marketing platform surveyed SMBs in mid-December 2025. When asked to select business factors they felt optimistic about, ranging from the economy and competitive edge to tech advances like AI and hiring capabilities, “none of the above” was the top choice (39 percent). Slight bright spots: almost a third of SMBs expressed economic optimism and a little more than one-quarter are optimistic they can beat their competitors.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260122846389/en/
"Small businesses are entering 2026 with a mix of hope and hesitation. While many expect growth, nearly a third remain unsure. That uncertainty can stall progress. The businesses that embrace technology and adapt quickly will be the ones that turn cautious optimism into concrete success," said Grant Freeman, president of Thryv.
2026 outlook
Small business owners see challenges ahead in 2026, with growth and rising employment costs topping their list of concerns. Forty-nine percent of respondents cited their ability to grow their business in this economy as their top concern, followed by keeping up with employment costs (44 percent). Combating tariffs and access to financing were not notable concerns, while a third said none of these issues were of concern.
"Small businesses are entering 2026 with a mix of hope and hesitation. While many expect growth, nearly a third remain unsure. That uncertainty can stall progress. The businesses that embrace technology and adapt quickly will be the ones that turn cautious optimism into concrete success," said Grant Freeman, president of Thryv.
Despite the buzz around AI, two-thirds (67 percent) of SMBs believe it won’t impact their business in 2026. They are also divided on whether they have the tools, including AI, to grow their business: yes (38 percent), no (29 percent), don’t know (33 percent).
"This survey demonstrates that not all small businesses see the transformative power of AI. Those who are already leveraging AI to streamline operations and uplevel their marketing have a clear competitive edge," said Freeman.
A look back at 2025
2025 was a good year for the majority of SMBs surveyed. Fifty percent of respondents said their 2025 revenue and overall business health met expectations, and 13 percent said their expectations were exceeded. A third (37 percent) said their business results fell short.
When asked what external factors negatively impacted their business last year, they responded:
• Economic turmoil | 48 percent | |
• Inflation | 45 percent | |
• Rising wages | 25 percent | |
• Tariffs | 21 percent | |
• None of these | 33 percent |
Study Methodology
Thryv conducted the survey December 15-18, 2025 with 130+ responses for a 3.8% response rate.
About Thryv
Thryv Holdings, Inc. (NASDAQ:THRY) is the provider of the leading sales and marketing platform designed to help small businesses attract new and repeat customers. Thryv software offers SMBs everything they need to manage day-to-day operations and grow efficiently. The platform’s AI-supported marketing and business automations help business owners save time, compete, and win. More than 100K businesses globally use Thryv software to connect with customers and run and grow their business. For more information, visit www.thryv.com .
View source version on businesswire.com: https://www.businesswire.com/news/home/20260122846389/en/
Media Contact:
Julie Murphy
Thryv, Inc.
617.967.5426
julie.murphy@thryv.com
Investor Contact:
Cameron Lessard
Thryv, Inc.
cameron.lessard@thryv.com
FAQ**
How does Thryv Holdings Inc. (THRY) plan to address the concerns of small businesses regarding growth and rising employment costs in 2026?
With 67% of SMBs believing AI won't impact them in 2026, how is Thryv Holdings Inc. (THRY) positioning its AI-supported marketing solutions to change this perception?
Given that 6said 2025 met or exceeded expectations, what strategies is Thryv Holdings Inc. (THRY) implementing to ensure this positive trend continues into 2026?
How does Thryv Holdings Inc. (THRY) intend to support SMBs in overcoming the uncertainty they feel towards business growth in 2026?
**MWN-AI FAQ is based on asking OpenAI questions about Thryv Holdings Inc. (NASDAQ: THRY).
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