Author: Fundamental Advisory and Consulting, LLC
It’s easy to take small businesses for granted.
They’re not big – obviously. They generally don’t have huge signs, a substantial marketing budget, or even name recognition beyond their immediate surroundings. They are, for lack of a better term, small.
And yet they are mightily important to our economy. Two thirds of new jobs are created by small businesses, with a huge portion of those being in the retail sector. For many communities, small businesses are central to their existence. Besides jobs, these businesses provide goods and services to local residents, support civic endeavors, give communities a tangible identity, and they contribute to local taxes, which are essential for the vitality of our communities."
Every small business touches the lives of so many people. Imagine the awful hole that would be left if they weren’t around.
Instead of shops, restaurants, and other businesses that reflect our communities, we’d be left with nothing that makes our hometown feel like home. Larger communities might merit a national retailer or two, but for many, there’d be nothing but memories and empty storefronts.
But it doesn’t have to be like this.
As consumers, our choices matter – every time you patronize a small business, you’re making a difference in the life of the businesses that make a difference in your community. And while your patronage year-round is important, it’s the holiday shopping season where it matters the most.
While people do make purchases throughout the year, the last two months can easily account for 20-25% of revenue for some retail establishments. What’s more, businesses often increase their inventories in anticipation of increased purchase activity – if business doesn’t pick up, not only do they miss out on a bump in revenue, they also have capital tied up in inventory that hasn’t sold.
Of course, patronizing small businesses is about more than simply helping them out or helping out the community – there’s also a direct benefit to us as consumers.
Shopping at small businesses is far more pleasant than dealing with large national chain retailers. For starters, whether you’re dealing with the owners directly or one of their employees, there’s typically a greater sense of being invested in the customer’s experience at a small business than at large establishments. The other customers also tend to be more pleasant as well – after all, when’s the last time you’ve heard of people fighting in the aisles over a discounted TV at a small business?
Also, don’t forget that small businesses are unique. You’re generally going to find the same thing at a national retailer, no matter where you go. Meanwhile, each small business can potentially have a unique selection of products, giving you more opportunities to find a perfect gift.
Of course, maybe you prefer to do your shopping from the comfort of your own home. If that’s the case, you can still help out small businesses. It’s becoming increasingly common for small businesses to have some sort of e-commerce presence. Sure, it might not have the same Norman Rockwellesque feeling that you get from going into a small shop in a quant village, but you can even call them on the phone for a bit of old-fashioned human interaction.
No matter how you shop, make it a point this holiday season to make it a big time of year for the small businesses in your community.