Shop local this holiday season

A national effort to promote purchases at small businesses has become a familiar part of each Thanksgiving weekend.

Small Business Saturday, founded by American Express in 2010, is wedged between the Black Friday shopping rush to traditional retailers and the Cyber Monday buying frenzy online.

Many have taken advantage of the opportunity for special deals and activities to mark the occasion at local merchants. Spending among U.S. consumers who shopped at independent retailers and restaurants on Small Business Saturday reached an estimated $17.9 billion in 2022, according to the Small Business Saturday Consumer Insights Survey.

Anecdotal evidence from Small Business Saturday in our region indicates that the event was successful once again this year.

We’re big supporters of that annual observance, but remember that there’s plenty of shopping time left before Christmas, and locally-owned retailers and restaurants and downtown shopping districts are great places to visit at any time, not just two days after Thanksgiving.

Supporting small business needn’t be a once-a-year thing. We strongly suggest it become a regular habit.

According to Forbes, the 2022 American Express Small Business Economic Impact Study found that for every dollar spent with a local business, more than two-thirds (68 cents) stays in the community to support local families, causes and other businesses. By contrast, for every $1 spent with a national retailer, only about 30% to 40% stays local, or 30 to 40 cents.

Significant holiday shopping traffic is critical for small businesses, which generate two out of every three new jobs, West Reading Main Street Executive Director Mark Ratcliffe told MediaNews Group. His once struggling but now thriving Berks County town is a great example of what successful small businesses can do for a community.

Shopping at small businesses builds up communities and creates a culture of unity. The personal touch in customer service results in a sense of satisfaction. Help from a real person in real time creates less frustration and stress. And it reinforces that sense of community.

Many events that families enjoy — farmers markets, parades, street festivals — would not be possible without the participation of small businesses.

We encourage readers to watch for more promotions in area shopping districts in the coming days and weeks. There are sure to be plenty of fun activities along with great deals on interesting merchandise.

Forbes reports that shoppers seem to be getting the give-back, do-good message about shopping locally. In a YouGov survey conducted for Bankrate, more shoppers (61%) said they would participate in Small Business Saturday than Black Friday (56%). More importantly, they expressed interest in keeping up their local business support through the rest of the year, with 72% saying they plan to shop small over the season, up from 65% in 2022.

The survey found that shoppers are drawn to small businesses primarily because that’s where they can find unique gift ideas (56%) and better customer service (54%). In addition, 44% of those surveyed said shopping small fosters a sense of community, according to Forbes. An American Express survey conducted by Teneo produced similar results, as nearly 80% of those polled agree that small businesses are essential to their communities and that when they shop at a local small business, they are supporting their communities. And 51% said they prefer to seek out small businesses rather than big retailers for holiday purchases.

Given the challenges that so many businesses face with inflation, rising labor costs and ongoing staff shortages, that support will be more important than ever this year.

A survey by Constant Contact found that retailers are twice as likely as other businesses to rely on the holiday period for at least 50% of their annual revenues.

“The holiday period is a crucial time of year for small businesses as they work overtime to attract new customers, hit revenue goals and plan for the year ahead,” said Constant Contact’s chief marketing officer Laura Goldberg in a statement to Forbes.

The bottom line is that supporting locally owned business has benefits every day. This holiday season and in the new year, making a habit of shopping local is a great way to boost your community. The benefits make it well worth the effort.