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’Buy Local’ Campaigns Boost Independent Sales, Survey Says

Does your community have a "buy local" campaign? For the fourth year in a row, the national 2011 Independent Business Survey, conducted by the Institute for Local Self-Reliance, shows that independent businesses in communities with an active "buy local" campaign benefit with stronger revenue growth compared to those in areas without one. Getting involved could result in a big boost to your bottom line.

The survey, conducted this January, found that independents with a "buy local" initiative in their area saw revenue growth of 5.6 percent on average last year compared to 2.1 percent for those without. The gap was even wider in holiday sales, with growth of 5.2 percent and 0.8 percent, respectively. The data was gathered from nearly 2,800 independent businesses, of which about half were retailers.

Forty-seven percent of survey respondents say their "buy local" initiative brings in new customers, and 55 percent say it makes their existing customers more loyal.

Nearly two-thirds of those surveyed say public awareness of the benefits of supporting locally owned businesses increased last year. "It is abundantly clear to me that a greater percentage of the public is attuned to the value of supporting local independents compared to just a couple years ago," says one Arizona business owner. Eighty-three percent of respondents say the fact that their business is locally owned and independent matters to some or most of their customers.

Consumers aren’t the only ones taking notice of "buy local" initiatives. Sixty-eight percent of respondents report expanded local media coverage of independent businesses, and about half say their "buy local" campaign makes city officials more aware and supportive of independents.

The survey shows there is strength in numbers: About half of respondents report "buy local" campaigns lead to more collaboration, purchasing and mutual support among local businesses. About 140 cities nationwide have "buy local" campaigns run by Independent Business Alliances and Local First groups. If there isn’t one in your area, consider getting one started. How-to tools and other resources are available from the Institute for Local Self-Reliance and the American Independent Business Alliance.