SUMMATI
THE
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This Community Newspaper is a weekly publication of Escambia / Santa Rosa Bar Association
Section A, Page 1
Vol. 14, No. 48
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December 10, 2014
1 Section, 8 Pages
Local Love: Small Business Saturday is a win for local consumers and businesses alike By Josh Newby & Valerie Thornewell
mall businesses are responsible for a vast majority of economic development in the United States and are considered vital to our continued recovery from the Recession.
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In fact, small businesses have generated more than 65 percent of new jobs since 1995 and more than 50 percent of America’s working population is employed in a small business, defined as any company with fewer than 500 employees. It is not an overstatement to say that small business has largely built America into what it is today, and while the big box retailers get much of the attention during the holiday season, it is often the little guys that offer the best deals and quality. Enter Small Business Saturday, the mom-and-pop answer to Black Friday. It was first observed in 2010 and has experienced a surge in awareness recently due to sponsorship by American Express and local chambers of commerce. In 2012, the day was further legitimized when the US Senate and President Obama expressed their support. In 2013, consumers spent $5.7 billion on Small Business Saturday, thanks to the fact that an estimated 93 percent of Americans believe that locals should support other locals. The growth does not stop there. The National Federation of Independent Business indicated that 88 million consumers shopped small this year, up almost 15 percent from 2013. Even better, 446 companies agreed to be official supporters of the day and a reported 610,000 small business owners used marketing tools available on shopsmall.com, which resulted in the average small business shopper spending $162 on Saturday. The day has become a social media phenomenon, too, with #SmallBizSat and #ShopSmall accounting for 126,000 tweets within the 24-hour period. “More Americans recognize the direct link between shopping locally and stronger communities and that’s
an extremely positive result,” said Dan Danner, CEO and president of the National Federation of Independent Businesses, in a statement. “We’re delighted by the success of Small Business Saturday but we’re even more excited by the growing commitment among Americans to give small businesses a chance to compete all year round.” These small businesses are the ones that are worth supporting, as small businesses donate an average of 250 percent more than larger businesses to non-profits and community organizations. According to a recent civic economics study, $68 of every $100 spent at a small business stays in the local economy, compared to only $43 at a larger business. Locally, the Small Business Saturday initiative was headed up by the Greater Pensacola Chamber of Commerce, which handed out shopping bags, balloons, doormats, and perhaps most enticingly, American Express gift cards. American Express offers discounts and other rewards on Small Business Saturday to anyone who used their card at a registered small business, with rewards differing every year. The company also puts out online advertisements about small companies to help raise awareness about the day. American Express offers $10 back to every $10 spent. This push seems to have helped, as many local stores reported as much as double the responsiveness and sales over the shopping weekend compared to other weekends. One such success story is Urban Objects, which has been open in downtown Pensacola for almost exactly one year after moving from mid-town. Owner Sarah Gillette believes in fashion forward interior de-
sign and the importance of shopping small. “We’ve been here a year and our sales have doubled from last year,” said Gillette. “People are realizing that if you keep the money local, it goes right back into our local economy.” Jeanne Kennedy, an employee at Urban Objects, was there for Small Business Saturday and joyfully reported the spike in sales and window shoppers. “We did have a lot of locals who would come in and say, ‘We are trying to keep it local,’ so they knew what they were participating in,” said Kennedy. As more corporately-owned companies seek to dominate a larger share of consumers’ dollars by continually pushing Black Friday into the late hours of Thanksgiving the night before, small businesses remain steadfast and continually increase their profits over the previous year. At Indigeaux Denim Bar & Boutique, a four-year-old clothing store that is a favorite among locals, co-
Photo courtesy of the Greater Pensacola Chamber
owner Katie Rozier said that Shop Small merchandising, as well as local marketing and social media initiatives, helped make this Small Business Saturday the best she has seen since the store has been open. “I think people were shopping late Thursday at big stores and likely slept in a lot Friday,” said Rozier. “We did really great on Saturday, though. We had 20 percent off the entire purchase and people really showed up because of that and the awareness that was built around shopping small downtown.” Some businesses actually did better on Black Friday, the day traditionally reserved for larger retailers, than on Saturday. Michelle Vice owns Vivian’s Loft in downtown Pensacola, a consignment clothing store that is off the usual main drag that is Palafox Street, and sees her increased sales and small business patronage as a sign of the times in the city. “We actually got more traffic on Friday than on Saturday,” said Vice. “Friday saw a sales increase of 50 percent and Saturday was 30 per-
cent. I think that just goes to show that people are paying attention to small retailers and are even venturing off of Palafox. It’d be really cool if we keep this momentum going. As there’s more stores, more people will come down here, which means more stores will open. It’s good for everybody.” Small Business Saturday is about more than just the sales, though, according to Vice. “It’s also about awareness,” said Vice. “Lots of people came in and visited who may not have otherwise. Even if they didn’t buy anything, they know about us now. We generally cater to women over 40, but lots of moms and young girls came in that day.” As awareness continues to build and shopping small becomes the pervasively trendy thing to do, these small stores have even more business to look forward to. When money that is earned locally is spent locally, it helps us. When visitors come and spend their outside money locally, it helps everyone.