While not nearly as well-known as Black Friday or as popular as Cyber Monday, Small Business Saturday is moving up in the world of big holiday shopping events. Created by American Express, the event's purpose was used to promote the vast number of small businesses that fuel our economy while also generating engagement and brand recognition for American Express. Since its origination, Small Business Saturday has helped millions of Americans to remember to do their part to help small businesses STAY in business! By doing holiday shopping at smaller, local companies, we are also assisting communities in thriving.
The 411 on small businesses
According to the U.S. Small Business Administration (SBA), there are nearly 32 million small businesses across the nation, making up roughly 99.7 percent of all businesses. Surprisingly, over 4.4 million new small businesses opened their doors in 2020, according to Oberlo. Small businesses are defined as having less than 500 employees and revenue under $7.5 million.
According to Constant Contact, 72% of 5,000 consumers surveyed said they will be shopping on Small Business Saturday in 2021. Four-in-ten Americans make a point of shopping on SBS and shop all year locally round, and 97% of consumers are aware of Small Business Saturday (NationalToday). It is also crucial to note that in 2019, American Express estimates that $20 billion was spent during the one-day shopping event. In sharp contrast, Fundera and others claim that only $12.9 billion was spent on Small Business Saturday in 2020.
Why it matters where you spend your money
One of the most important statistics to remember as business owners and shoppers on Small Business Saturday is that around 70% of the money shoppers spend locally goes back into the local community. Small businesses also donate approximately 250% more to community resources and non-profits than larger businesses. Even if only 50% of the estimated $12 billion from 2020 goes back into local economies, it is significant. Participating and getting the word out about Small Business Saturday this November 27th, 2021, is extremely important! It is important every year, but never so important as this year, with many small businesses still trying to recover from the negative impacts of the pandemic shutdowns.
How your business can make the most of Small Business Saturday
Share your story > Remind everyone who you are and what you do! Tell people how you got started; remind them of your mission and your purpose.
Market, Market, Market > Toot your own horn everywhere you can: on your social platforms, in the local paper, with the Chamber of Commerce. Highlight why people should shop with you rather than the huge retailers. Express the importance of shopping local and express your gratitude for putting small businesses first. Call Anneomaly Digital and allow us to create an SBS marketing strategy for you. Take advantage of the free marketing materials and event kit from American Express and become part of their virtual Small Business Saturday guide.
Special/Exclusive Offers > Give shoppers and loyal customers extra incentive to come out and shop on November 27th:
a free gift after spending $50
spend $100 to get $20 off the final price
a discounted service
a free cup of coffee for each visit
Send out an email notification > Send three emails, one now, one on Black Friday, and one on Saturday morning that remind your current customers of your Small Business Saturday promotions and events. Make sure to explain how their loyal patronage helps your business provide quality products and essential services.
Promote and host a holiday event > This is a great time to host a cider/hot chocolate and holiday cookie or, better yet, a cocktail event to thank your loyal customers and get them in the door. Talk about extra incentives!
Prepare technology to avoid issues > Whether or not you have an online business, it is vital to make sure your website is in excellent working order. If customers can order online, ensure that they have a smooth and fast experience when ordering from you.
Inventory stock up > This is not a good time to run out of inventory, so if you can get it, stock up for the holiday rush!
As for you, SBS Shoppers...
If you are a Small Business Saturday shopper and a small business operator (which we hope are), use your American Express card with participating businesses. It is in your wallet's best interest because you get a 10% return on each of your purchases that day.
Small Business Saturday will be here before you know it. Doing a few little things right now to promote your small business, your mission, and your holiday events can steer some of that $20+ billion your way. If you need help promoting your small business this holiday season or next, we would love to hear from you!