Looking to increase your sales? Slap a buy-local sticker in your store window, and then watch those loyal shoppers pour through the door. Granted, it’s not quite that simple. First of all, buy-local advocates do expect merchants to keep their commitment to patronizing local businesses. Yet, for those willing to make that commitment, the payoff can be sweet. Joining a buy-local merchant group is a proven method to boosting sales.
The growing numbers of patrons who prefer shopping on Main Street to enriching Wall Street show little signs of abating. That consumer enthusiasm is good news for small businesses. Supporters say shopping locally also conveys a sense of pride that comes from consistently contributing to the local economy.
One thing is certain: Greater numbers of buy-local supporters are coming together in communities across the U.S., to form business networks. Individual members pledge to patronize each other’s shops that are situated within a defined geographical area. Members of buy-local groups are also expected to steer clear of Big-Box stores.
When neighboring small businesses make a concerted effort to support one another, this leads to an increase in the velocity of the money circulating within a community. Why is that important? It’s simple: the faster a dollar bill travels from one transaction to another, the healthier the economy becomes. When velocity slows, the economy goes into a circulatory freeze, as the frightened populace holds onto currency. We all know what that looks like in this post-recessionary world: A discouraging slump in sales.
On the other hand, when local denizens shop with an eye toward building a community, as well as filling their shopping carts, a community’s wealth is less likely to be siphoned off to distant locales. Another benefit: Small and even micro-businesses receive a vital boost in patronage. Those who commit to shopping locally often provide a stopgap for struggling shopkeepers — making the difference between local merchants eking out living, and seeing their small shops prosper.
Historically, local Mom-and-Pop businesses have provided the base for economically healthy communities. Collectively, a locale’s small business community is akin to a diversified, natural forest. That’s in stark contrast to a monoculture economy, which operates somewhat like a commercial tree farm.
Buy-local movements essentially create a healthier habitat for small businesses. Of course, there’s also an added plus: Less fuel is spent transporting goods from distant manufacturers and producers. Check out the buy-local movement in your community.