According to the Small Business Administration, “small businesses are responsible for 58% of the private workforce and 40% of the gross national product.”
Alone, this fact tells us that small businesses make up a significant amount of today’s workforce. But what it doesn’t tell us is all of the reasons we should be supporting these businesses.
Yes, small business are good for the economy, but why? Why should consumers buy from lesser known, less frequented shops and stores when large, trusted brand names appear around almost every corner?
For those of you out there who may not know the answers to questions like these, here are 7 undeniable reasons to shop small.
Small Businesses Create More Jobs.
Don’t believe me? Between the third quarters of 1992 and 2013, small businesses accounted for 63.3% of new jobs.1 At the end of the day, facts like this are hard to ignore. Small businesses provide new job opportunities by creating positions from nothing, whereas large companies tend to have higher turnover rates. Why? Check out the next reason for supporting small businesses to find out.
Small Business Owners Often Treat Their Employees Better.
Small businesses tend to beat out large competitors when it comes to having the lowest turnover rates. These business owners treat their employees better than big companies just by having more time and resources available for individual workers. Without hundreds of people to supervise, employers are able to develop stronger relationships with their employees. Not surprisingly, this is why small businesses usually have happier, loyal workers who don’t feel as replaceable.
Small Businesses Often Provide Better Customer Service.
Not only do small business typically treat their employees better in comparison to large companies, but they also tend to treat their customers better, too. Small business owners and workers are known for being more helpful and happier when serving customers in need of assistance. This is because they see the value in each individual dollar spent by each individual person. With 80% of start-up businesses failing within the first 3–5 years of operation, small businesses need all the help they can get— and they know it.1
Product Diversity Is Greater In Small Businesses.
Ladies, how many times have you gone out just to run into someone else wearing the exact same shirt as you? For me, it’s happened more times than I’d care to admit. That’s because most consumers buy their products from the same large chain stores. And before you go thinking this is only a concern for women, think again. Men can have the same problem finding unique products. Fortunately, small businesses, such as clothing boutiques and home goods stores, tend to have a more diverse range of products. Shopping small will ensure that you don’t run into those dreaded duplicates as often.
Small Businesses Are More Likely To Get Involved With The Community.
Yes, large companies get involved in CSR. But what’re those same companies missing? A sense of local community. Many times, when you support a small business you simultaneously support your local community. From partnerships with local charities/initiatives to teams who bring revenue to the area, your support can improve areas of your community in need. It’s important to remember that change doesn’t always begin in large, corporate offices. More often than not, it begins in our own backyards.
Small Businesses Are Quick To Resolve Issues.
Because small businesses don’t have a massive influx of customers, they are usually extremely quick to resolve any satisfaction issues or problems. For instance, have you ever tried to resolve an issue with a large brand name online or over the phone? Nine times out of ten, you either wait forever for a response, or you never hear back at all. With small companies, especially ones that are active on the web and social media, you are less likely to be ignored or forgotten about.
Supporting Small Businesses Just Feels “Right”.
As the old saying goes, “do onto others as you wish to have done onto you.” In simpler, more relative terms that just means supporting small businesses is a good way to acquire some positive karma. It’s extremely brave to take your life— and your paycheck— into your own hands. What if someday you desperately needed local support in order to make ends meet? Large companies have contingency funds that provide a sort of financial wiggle room, whereas small businesses typically don’t. This means things like individual client loss, destructive weather, construction, and large competitors moving in right next door (to name a few) are that much more devastating to a small business. Just one of these unfortunate circumstances is enough to permanently ruin a small business, put people out of work, and ultimately destroy lives. If that doesn’t make you want to get up and go “shop small” right this second, I don’t know what will.
If you enjoyed this post, feel free to share it with your friends or follow us on social media for more like it! As always, thanks for reading and happy marketing!
—Amanda Myers, Copywriter at BoydTech Design, Inc.