From hostels to markets: The role of social media in growing student and small businesses

By Afolabi Abisola Favour

IN today’s digital economy, social media has become more than just a space for entertainment, it is now a vital tool for business growth in Nigeria. According to Statista (2024), spending on digital advertising in Nigeria stood at $169 million, with social media ads accounting for more than 40 percent of this figure. For students and small business owners, these platforms are rewriting the rules of entrepreneurship.

The story of student entrepreneurs like Aisha reflects a growing trend. The World Bank’s Digital Economy Report (2022) observed that social media platforms “significantly lower entry barriers for small businesses, particularly student entrepreneurs and youth-led ventures.” With minimal capital, students are using digital tools to gain visibility and create steady streams of income.

Research supports these experiences. A 2023 study in the Journal of Business and Retail Management Research found that micro-influencers in Nigeria had a greater impact on consumer trust and purchase decisions than celebrity endorsements, particularly among young people. In addition, KPMG Nigeria’s Consumer Report (2023) revealed that SMEs using social media advertising recorded up to 25 percent higher revenue growth compared to those relying solely on traditional advertising.

Still, the shift has its challenges. A PwC Nigeria report (2023) noted that 48 percent of consumers remain concerned about fraud when shopping online. Issues like internet connectivity and low digital literacy in rural areas also pose obstacles.

Yet, the opportunities remain vast. From hostel rooms to city markets, social media is turning small ideas into sustainable businesses. Whether it is a student paying tuition through online food sales or a shoemaker reaching international buyers, the digital economy is offering Nigerian entrepreneurs a stage far larger than they could have imagined. In a country with millions of young, tech-savvy consumers, social media advertising is no longer optional as it is fast becoming the backbone of modern business growth.

Afolabi is a 400-level student of the Department of Mass Communication, Bayero University, Kano.

READ ALSO: Social media in Nigeria: Sensitisation, not regulation