Small businesses across the nation are preparing for Small Business Saturday on November 30th.
The first Saturday after Thanksgiving marks a celebration to support the small businesses around the country that help to create jobs, boost the economy, and preserve our neighborhoods.
Here are the top 5 things most people don’t know about Small Business Saturday:
Fact #1: There’s Money in Small Businesses
For every $100 spent at locally owned businesses, $68 stays in the local economy, compared to only $43 if it was spent at a national chain. According to the Seattle Good Business Network, small businesses donate on average 250% more to non-profits in our communities than compared to large-chain businesses. Small local businesses are also the largest employer nationally, and in our communities, provide the most jobs to residents: 7 of every 10 new jobs are at small businesses. They account for 39% of the nation’s GDP, and consumers reportedly spent $5.5 billion for the event in 2012, according to the National Federation of Independent Business.
Fact #2: The Definition of “Small Business” May Not Be as Small as You Think
A business is considered to be a small business in the United States if it has under 500 employees. It also must be a non-public company and be independently owned and operated. These businesses are often closely controlled by owners or managers who also contribute most, if not all, of the business’s operating capital. Small businesses represent 99.9% of all U.S. businesses, and 52% of all U.S. small businesses are home-based.
Fact #3: Strategic Marketing is for Small Business Owners Too
Your potential customers are spending more and more of their time online. According to Social Media Today, consumers spend 22% of their time on social networking sites, 21% of their time searching for content, 20% of their time reading the content, 19% of their time emailing, 13% of their time viewing entertainment, and 5% of their time shopping. Marketing campaigns for Small Business Saturday should be placed accordingly. However, the most important aspect is to have an actual website or your business. 85% of internet users search for local businesses online, yet 63% of small businesses don’t even have a website.
Fact #4: Consumers Can Help
Review the Business on Google. For a local business, there is nothing more important and 27% of them don’t even show up in search results. When people are searching for services, they use search engines like Google and type in “____________ in _____________.” Typically the companies that have reviews will show up first. Therefore, if you want to send business your favorite local business, the most best way to do it would be to write a Google review so that when people search them, they actually show up first on the list. And don’t forget to spread the word! Over 80% of small business owners say they get new customers based on word of mouth. Tell your friends, tell your bloggers, and tell social media.
Fact #5: It’s History in the Making
Small Business Saturday first began on November 27, 2010, as a counter effort to Black Friday and Cyber Monday. The “holiday” was created and sponsored by American Express, who created its official Facebook page and promoted the event with national television advertising. It was inspired by the 3/50 Project, where a person chooses 3 local businesses and spends $50 at each. As part of the promotion, the first 10,000 small business owners who signed up to participate that year received $100 worth of free Facebook advertising, and the first 200,000 American Express cardholders who pledged to use their credit cards on that day to support small businesses received a $25 credit. This year, Twitter is jumping on the bandwagon and is offering $1 million in free ads for small businesses. The first 10,000 eligible businesses in the U.S. will get $100 in free advertising credits each, which they can use for promoting tweets or for promoting their own Twitter accounts. Twitter will even keep the offer open until December 14.
Bonus Fun Fact:
If you have no idea which of your local businesses you’d like to shop at on Small Business Saturday, just go to the Shop Small website, type in your zip code, and the site will show you popular small businesses in the area!
Bottom photo courtesy of Creative Outlet by MultiAd.