Keeping it in the Community
As we prepare to celebrate the ninth annual Small Business Saturday next weekend, we should keep in mind just how impactful the ‘shop local’ mentality can be. According to a recent American Express study, slightly more than two-thirds of every dollar spent at a small business in the U.S. stays in the local community. Additionally, the Small Business Economic Impact Study from American Express noted every dollar spent at small businesses creates an additional 50 cents in local business activity as a result of employee spending and businesses purchasing local goods and services.
What the study also established, is the degree of how this benefits our economy. It found that if U.S.-based small businesses were a country, they would have a GDP of $4.8 trillion, matching that of Japan, the third-largest economy in the world.
Additional results from the survey’s release:
- A majority of consumers (94%) value the contributions small businesses make in their community;
- As consumer shopping habits shift further online, nearly two-thirds (65%) are likely to seek out small, independently-owned retailers when shopping online, including 59% who plan to Shop Small online this Small Business Saturday; even 40% of consumers say they will shop with a small retailer online this Cyber Monday;
- Among consumers who plan to shop on Small Business Saturday:
- Nearly all (96%) said Small Business Saturday inspires them to go to small, independently-owned retailers or restaurants that they have not been to before, or would not have otherwise tried;
- Plans to shop include visiting independently-owned bakeries (40%); clothing, accessory and shoe stores (40%); restaurants, bars and pubs (37%); bookstores (32%); and gift, novelty and souvenir stores (30%).
See the full study online in this American Express release.