Shopping small reaps big rewards

There are 23 million small businesses in the U.S. and the numbers keep growing, all thanks to consumers who increasingly support smaller enterprises over larger corporations. According to a UPS Store survey, the number of people who shopped at small businesses last year was greater than ever before and respondents cited a number of reasons for this trend.

The survey reveals that customers “are increasingly willing to spend more and get out of their way to shop or use a small business.” From 2013 to 2014, the number of people who paid more in order to support a small business increased by 41 percent and the number of people who traveled out of their way to support a small business increased by 36 percent. Better customer service and interesting, unique, better quality products and services were the main motivators to shop small.

Small Business Saturday, an American Express initiative, has been celebrated on the Saturday after Thanksgiving every year since 2010. From Mike Licht,

A clear 90 percent of the people surveyed believed that small businesses play a significant role in the U.S. economy. Small businesses are not only valued by their owners but are embraced by society as well — they are considered to have a substantial impact on the local economy. Apart from the fact that money stays in the community, small businesses create huge employment opportunities. These enterprises are responsible for more than 55 percent of the country’s jobs (creating two out of three new jobs each year).

“We know firsthand that small businesses make a big impact, providing products and services across the country,” says Tim Davis, president of The UPS Store, Inc. “They provide more than half of all new jobs in the U.S., and are a vital part of our neighborhoods. We are honored to support them, and are encouraged to see that consumers agree and are willing to go out of their way to support them as well.”

The American Independent Business Alliance (AMIBA) lists out a number of grounds for consumers to choose local and independent businesses. Neighborhood scale businesses build relationships and community cohesiveness. From the financial aspect, local businesses return three times more money than that spent at a chain store, keep taxes lower, and donate twice as much for community events, non-profits, and teams.

Small businesses are also being widely encouraged by the government. The National Small Business Week was observed from May 12 to May 16 this year to recognize the contributions of small business owners across the country. “After all, small businesses are critical to our economy. They are the key engines of growth and job creation,” said President Obama, on the occasion.

Tags: Small Business