2022 Digital Marketing Year in Review for Local Business

As we wrap up 2022, it is a good time to look back at the key digital marketing changes and trends that affected local businesses this year. Understanding what happened helps us make better decisions heading into 2023.

Here is a roundup of the most significant developments in digital marketing for local businesses this year.

Google Business Profile Continued to Evolve

Google completed the transition from Google My Business to Google Business Profile early in the year. The separate Google My Business app was retired, and businesses now manage their profiles directly through Google Search and Google Maps.

Key changes included:

• Direct editing from Search: Single-location businesses can now manage their profile by searching for their business name on Google while logged in
• Messaging improvements: Better tools for managing customer messages through Google
• Performance insights updates: A cleaner, more useful analytics dashboard for understanding how customers find and interact with your listing
• New attributes: Additional attributes for businesses to describe themselves, including accessibility features and safety measures

What this means for you: If you have not updated your management workflow, now is the time. Get comfortable with managing your profile directly from Google Search. Keep your profile complete, active, and regularly updated.

Short-Form Video Dominated Social Media

2022 was the year short-form video went mainstream for businesses. TikTok continued its explosive growth in Australia, Instagram doubled down on Reels, and YouTube launched Shorts.

For local businesses, the takeaway was clear: video content, even simple smartphone videos, reaches far more people than static images or text posts. Businesses that embraced Reels and TikTok saw significantly better organic reach than those sticking to traditional posts.

What this means for you: If you have not started creating short-form video content, you are falling behind. The good news is that the bar for production quality is low. Authentic, simple videos filmed on a smartphone perform well. Start with behind-the-scenes content, quick tips, and before-and-after videos.

Google Analytics 4 Became Urgent

Google announced that Universal Analytics will stop processing data on 1 July 2023, making the transition to Google Analytics 4 (GA4) essential. Throughout 2022, businesses have been setting up GA4 alongside their existing Universal Analytics to build up historical data.

GA4 is a fundamentally different platform with event-based tracking, a new interface, and different metrics. The learning curve is real, but delaying the transition only makes it harder.

What this means for you: If you have not set up GA4 yet, do it immediately. You want as much data as possible in GA4 before Universal Analytics shuts down next July. Run both systems in parallel and start familiarising yourself with the new interface.

Privacy and Tracking Changes Continued

The ongoing erosion of third-party cookies and increasing privacy regulations continued to impact digital advertising. Apple’s App Tracking Transparency, introduced in 2021, continued to affect Facebook and Instagram advertising effectiveness throughout 2022.

Many businesses noticed that their Facebook ad performance was not as predictable as it once was. Targeting options became less precise, and reporting showed gaps in conversion data.

What this means for you: Diversify your marketing channels. Do not rely solely on Facebook ads. Invest in channels you own (your email list, your website, your Google Business Profile) and in organic content that builds your audience regardless of platform changes.

Local SEO Got More Competitive

As more businesses invested in their online presence, local SEO became more competitive. Simply having a Google Business Profile is no longer enough to stand out. Businesses that actively manage reviews, create local content, and build local links performed better than those that did not.

The importance of reviews continued to grow, with review quantity, quality, and recency all playing significant roles in local search rankings.

What this means for you: Treat local SEO as an ongoing activity, not a one-time setup. Actively generate reviews, create local content on your website, and build relationships with other local businesses and organisations for link building.

E-Commerce Growth Stabilised

After the pandemic-driven e-commerce boom of 2020 and 2021, online shopping growth stabilised in 2022. Australians continued to shop online, but growth rates returned to more normal levels as physical retail rebounded.

This stabilisation does not mean e-commerce is less important. It simply means the market is maturing. Businesses that built their online presence during the pandemic retained many of those customers.

What this means for you: If you sell products, having an online presence is now table stakes. Focus on improving the online shopping experience: faster websites, better product photos, easier checkout processes, and reliable shipping.

Content Marketing Remained Essential

Businesses that consistently published quality content on their blogs and social media channels continued to see benefits in search traffic, brand awareness, and lead generation. Content marketing is a long-term strategy, and those who stuck with it throughout 2022 are in a strong position heading into 2023.

The emphasis shifted toward quality over quantity. Long, comprehensive content that genuinely helps readers performed better than frequent but shallow posts.

What this means for you: Keep creating content. If you have a business blog, aim for consistent publishing (even once or twice a month). Focus on topics your customers care about and write in depth.

Email Marketing Proved Its Value

In a year of social media algorithm changes and advertising uncertainty, email marketing continued to deliver reliable results. Businesses with strong email lists had a direct line to their customers, unaffected by platform changes.

The businesses that benefited most were those that treated their email list as a genuine relationship, sending valuable content rather than constant promotions.

What this means for you: If you do not have an email list, start building one. If you do, nurture it with valuable, consistent content. Your email list is one of the few marketing assets you truly own.

Core Web Vitals Became Standard

Google’s Core Web Vitals (page speed, interactivity, and visual stability) continued to be part of the ranking algorithm. While they are not the most heavily weighted factor, they represent a baseline expectation for website quality.

Businesses that improved their website performance saw benefits in both search rankings and user experience metrics like bounce rate and time on site.

What this means for you: Check your website’s Core Web Vitals using Google PageSpeed Insights. If your scores are poor, address the issues. Common fixes include image optimisation, better hosting, and reducing unnecessary plugins.

Social Commerce Grew

Selling directly through social media platforms became easier in 2022. Instagram and Facebook Shops allowed businesses to tag products in posts and stories, and customers could browse and purchase without leaving the app.

While social commerce is still in its early stages in Australia compared to markets like China, the trend is clear. The line between social media and e-commerce continues to blur.

What this means for you: If you sell products, explore setting up a Facebook or Instagram Shop. Even if you do not expect significant direct sales through social platforms yet, having your products tagged and shoppable creates a smoother customer journey.

Looking Ahead to 2023

Based on what we have seen in 2022, here is what to keep an eye on for 2023:

• GA4 transition: This is the most urgent action item. Universal Analytics stops in July 2023.
• Video content: Short-form video will only become more important. Start now if you have not already.
• First-party data: Building your own audience (email list, website visitors) will become increasingly valuable as third-party tracking declines.
• Local SEO investment: Competition will continue to increase. Active management of reviews, content, and local presence is essential.
• AI and automation: Expect more AI-powered tools for content creation, advertising, and customer service. Keep an eye on developments, but focus on what delivers results for your business today.

Closing Thoughts

2022 was a year of consolidation and adaptation for digital marketing. The fundamentals remained the same: a strong website, quality content, active local SEO, and consistent engagement with your audience. The businesses that performed best were those that stayed consistent with the basics while adapting to new platforms and changes.

If you need help reviewing your digital marketing strategy and planning for 2023, Cosmo Web Tech works with businesses across Western Sydney to develop practical, effective marketing strategies. Get in touch to start the new year strong.

For executive-level thinking on digital marketing strategy and technology investment, explore Ash Ganda’s blog.

Cosmos Web Tech is the web development division of Ganda Tech Services, specialising in website design, SEO, and e-commerce for Australian businesses.