Buying locally helps the local economy. According to economic studies, for every $100 spent at a chain store only $12 is circulated back into the local economy. Whereas that same $100 spent at a local business is multiplied into a $45 recirculation.
Shopping at a local small business means supporting friends and neighbors, the community, and the local economy. However, it also offers shoppers other benefits that cannot be gained by shopping in the large chain stores. To help understand the importance of buying from neighborhood merchants, here are five benefits of supporting the local small business.
1. Reduce Environmental Impact
Local purchases generally require less transportation, thereby lowering transportation costs as well as the pollution associated with them. In addition, shoppers who buy in their own neighborhood travel shorter distances reducing their own pollution.
2. Reinvestment in Community
Local business owners live in the community and are, therefore, more invested in the future of the community. In fact, according to the National Federation of Independent Business (NFIB), 91 percent of small business owners volunteer or provide donations to local causes. Revitalization of local communities is important to keeping American neighborhoods strong. Plus, by shopping locally, shoppers reinvest in their own community and help retain its character.
3. Magnify the Choices
Want to ensure innovation? Buy locally. Anyone can walk into a big department or chain store and buy what everyone else owns. However, supporting the small business owner means the opportunity to find truly unique, one-of-a-kind services, gifts and products.
4. Support the Local Economy
According to the NFIB, small businesses make up 99.7 percent of all U.S. employers. This means there are a lot of locally owned businesses out there where friends and neighbors work. Supporting the local business means supporting them. Plus, locally owned businesses are more likely to buy from other local businesses, service providers and local growers.
5. Receive Top-Notch Service
Research has shown that in order to compete, small business owners focus on quality customer service and quality products. They are more likely to go above and beyond by providing extra service or by acting as a knowledgeable resource. And because they are involved in running the business they tend to be experts in their field. Investing in the local economy by supporting neighborhood business professionals not only benefits the small business, but it benefits shoppers as well. Finding local businesses is as simple as driving down the street, checking the local yellow pages or going online, where shoppers can search by business, product or service for local businesses in their own community.