by Vicki Ikeogu
Seven years ago, credit-card company American Express started a movement to counteract the holiday push of big-box retailers on Black Friday.
It was a movement that put more of an emphasis on the corner markets and local boutiques than the mega shopping malls and doorbuster deals.
That movement has since sparked an increase of money being spent within cities. In fact, in 2015, about 95 million U.S. consumers chose to spend part of their holiday shopping cash with mom-and-pop shops – an increase of about 8 percent from the previous year.
That movement is known as Small Business Saturday. And this year, the annual event will take place Saturday, Nov. 25.
“There are a lot of little guys out there in little towns like St. (Joseph),” said Pat Kaeter, co-owner of Heim-Kins Rescued Treasures. “And a day like Small Business Saturday draws attention to small communities and especially for specialty shops like ours.”
Kaeter has been running Heim-Kins for the past seven-and-a-half years. While she said a majority of her business is done during the summer months with seasonal travelers, Small Business Saturday is still an important day for her business and other small businesses throughout St. Joseph.
“You can go into big-box stores and there is one aisle that has gift cards in it, one aisle that has toys in it. It’s so repetitious,” Kaeter said. “They really don’t do anything super unique. But for small businesses like ours, we can have our shop filled with unique items and specialty gifts.”
Mary C. Bruno of St. Joseph print shop Bruno Press said Small Business Saturday is a good reminder for consumers to be mindful of where their money is being spent.
“People do forget a lot about why it’s important to shop local(ly),” Bruno said. “But it’s so interesting how that money spent at an independent business gets cycled back into the community.”
Bruno is a Neighborhood Champion for St. Joseph’s Small Business Saturday movement.
On average $68 out of every $100 spent at a small business remains within that business’ city. With larger companies, that number drops to $43.
“And a well-supported community continues to produce and grow,” Bruno said.
While Small Business Saturday does have a more retail focus in mind, Bad Habit Brewing Co. owner Aaron Rieland said its mission has benefits for all locally-owned companies.
“We’re becoming more and more of an online shopping society,” Rieland said. “These little stores, these small businesses in small towns like St. (Joseph) make a town function.”
Rieland said Small Business Saturday is just one way to make people aware of the little shops and specialty companies throughout a town.
“These small businesses need your support so it’s important,” he said. “They give back, they pay taxes. Support them as much as you can.”
For Minnesota Street Market Board President Pia Lopez, that includes supporting area growers.
“To me, shopping small means supporting local, small farmers,” Lopez said. “We are trying to support the people living and working in our community. And as one of our members said, ‘food tastes better when you know the person who grew it.’”
Bruno said the key to supporting local businesses is to change the behavior of consumers.
“On a global scale, people are not wanting to outsource this and that,” she said. “So, it comes down to the fact of where you are spending your money. When given the chance, I like to think I would choose local.”
According to entrepreneur-focused website Grasshopper.com, consumers are slowly putting their money where their mouth is when it comes to supporting local shops.
About 72 percent of consumers are aware of Small Business Saturday with 112 million shoppers participating in Small Business Saturday in 2016. Last year, approximately $15.4 billion was spent during the one-day event across the country. That number is down from 2015’s $16.2 billion spent at small businesses nationwide.
Kaeter said there will always be a need for big-box retailers and large corporations. After all, she said, a small business will not be able to provide everything you need. But at the end of the day, Kaeter said contributing to the success of a small business is well worth it.
“Even though I have 33 years of retail experience, it was always a dream of mine to have my own shop,” Kaeter said. “Supporting a local business is helping someone like me fulfill their dreams.”