Small local businesses often face an uphill battle in a world increasingly dominated by large corporations and online retail giants. Often family-owned and deeply rooted in their communities, these businesses struggle to compete with big subsidized companies’ convenience and pricing power.
However, the importance of supporting local businesses cannot be overstated. From fostering community spirit to promoting economic stability, shopping locally offers many benefits beyond the transaction. This article delves into seven compelling reasons to shop local and support small businesses while also exploring the symbiotic relationship between small and large businesses and how consumers can strike a balance.
7 reasons to support local businesses
1. Strengthening the local economy
When you shop at local businesses, more money stays within the community. According to a study by Civic Economics, for every US$100 spent, US$68 stays in the local economy, compared to only US$43 when spent at a non-local business. This circulation of money helps to create jobs, support local suppliers, and fund public infrastructure projects, ultimately fostering a more robust and resilient local economy.
2. Creating jobs and opportunities
Small businesses are significant job creators. The U.S. Small Business Administration reports that small businesses account for 64 percent of new jobs created in the United States. Supporting local businesses directly contributes to job creation and provides opportunities for community members to thrive. This, in turn, reduces unemployment rates and promotes economic stability within the community.
3. Fostering community spirit
Local businesses are often the heart and soul of their communities. They sponsor local events, support charities, and provide a gathering place for residents. By shopping locally, you are helping to foster a sense of community and belonging. As an urbanist and activist, Jane Jacobs once said: “The trust of a city street is formed over time from many, many little public sidewalk contacts.” Supporting local businesses helps to build and maintain these vital social connections.
4. Promoting unique and diverse products
One of the most significant advantages of shopping locally is the access to unique and diverse products you won’t find in big-box stores. Local businesses often offer handmade, artisanal, and locally sourced goods that reflect the culture and character of the community. This diversity enriches the shopping experience and supports local artisans and producers, preserving traditional crafts and skills.
5. Reducing environmental impact
Shopping locally can also have a positive impact on the environment. Local businesses typically have shorter supply chains, which means fewer transportation emissions and a smaller carbon footprint. Additionally, many local businesses prioritize sustainable practices and source their products from local suppliers, reducing their environmental impact. According to the Institute for Local Self-Reliance: “Compared to chain stores, locally owned businesses recycle a much larger share of their revenue into the local economy, enriching the whole community.”
6. Enhancing customer service
Local businesses often pride themselves on providing exceptional customer service. As they are more invested in their community and reputation, they are more likely to go the extra mile to ensure customer satisfaction. This personalized service can lead to a more enjoyable and fulfilling shopping experience. The customer service expert and New York Times best-selling author Shep Hyken notes: “The customer is not always right, but they are always the customer.”
7. Encouraging entrepreneurship and innovation
Supporting local businesses also encourages entrepreneurship and innovation. Small business owners are often driven by passion and creativity, leading to innovative products and services catering to the community’s unique needs and preferences. By supporting these businesses, you are fostering a culture of innovation and helping to create a vibrant and dynamic local economy.
Ways to support local businesses
- Shop at local stores: Make a conscious effort to purchase goods and services from local businesses rather than big-box stores or online giants.
- Spread the word: Use social media to promote your favorite local businesses. Word-of-mouth recommendations can significantly boost their visibility.
- Leave positive reviews: Online reviews can influence potential customers. Take the time to leave positive feedback for local businesses you love.
- Attend local events: Participate in community events and markets that feature local vendors. Your attendance supports their efforts and helps them thrive.
- Buy gift cards: Purchasing gift cards from local businesses provides them with immediate revenue and encourages others to shop locally.
- Collaborate with local businesses: If you own a business, consider partnering with other businesses for mutual benefits. This can strengthen your local business network.
- Volunteer or donate: Offer your time or resources to local businesses, especially those struggling. Your support can make a significant difference.
If you incorporate these practices into your routine, you can actively support and sustain the local businesses that contribute so much to the community.
Conclusion
While large corporations and online retailers offer convenience and competitive pricing, supporting local businesses cannot be overlooked. Shopping locally strengthens the local economy, creates jobs, fosters community spirit, promotes unique and diverse products, reduces environmental impact, enhances customer service, and encourages entrepreneurship and innovation.
Follow us on X, Facebook, or Pinterest
