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Small business holiday shopping is back and probably forever changing

Thank you for supporting this local business at the bakery in Walnut Creek, California, September 15, 2021. Photo courtesy of Sftm. (Photo by Gado / Getty Images)

Gado | Photo Archive | Getty Images

According to the new CNBC | Momentive, more than one-third (34%) of Americans say they plan to shop on Saturday for small businesses that are rebounding from 2020, but on Holiday Promotion Day. Spending has not returned to pre-pandemic levels. Small business survey.

By 2020, 30% of Americans said they would patronize Saturday’s small businesses. Support for local businesses before the pandemic was higher when diminished. It was 44% in 2018 and 39% in 2019.

“Of course, consumers still have some affection for small businesses on Saturday, but it doesn’t have the same hype we might have seen in the previous year,” said Momentive’s senior in research science. Manager Laura Wronski wrote in an email. “Few people say they’re most excited to go shopping on Saturdays for small businesses, and few say they’re going to spend the most money that day.”

The new survey was conducted from November 10th to 12th, 2021 on a national sample of 2,744 adults.

More than half (59%) of CNBC | Momentive survey respondents say they aren’t excited to shop on Black Friday, Small Business Saturday, or Cyber ​​Monday. It’s down from 65% in 2020, but it’s consistent with pre-pandemic levels. 2018 (58%) and 2019 (59%). Small business Saturdays are the least exciting, with 8% of respondents looking forward to it and 7% of Americans saying they will spend the most on Saturdays for small businesses.

In a year when supply chain issues and rising prices have become major economic concerns, the holiday season behavior tracked by the CNBC | Momentive survey is being impacted. Seventy-two percent of Americans have experienced price increases over the past three months, with low inventory notifications (62%), staff shortages at local businesses (55%), and shipping delays (51%). I am saying.

Wronski said in another recent survey by Momentive that nearly four in ten people in the United States are planning to start holiday shopping in October, so they are most worried about supply chain problems early. Let’s start holiday shopping.

“There is no doubt that both supply chain shocks and fears of inflation have disrupted the typical holiday shopping pattern of consumers,” Wronski wrote.

These concerns are high, especially among small business patrons, with Americans (42%) planning to shop at small businesses on Saturdays more than Americans (42%) not planning to shop on Saturdays. Interested in the supply chain (48%).

Small business shoppers are buying online more than ever, but buying online correlates with an even higher level of supply chain concern. 60% of Saturday shoppers in small businesses planning to buy online say they are worried about getting their goods. want.

“Many consumers deliberately start their holiday shopping early because they don’t want to be left empty-handed on their holidays. Waiting a few months for a new sofa to arrive is another thing to try. To explain to children why they don’t come until January, “Wronski wrote.

The role of Amazon and e-commerce continues to grow

The top two ways respondents plan to patronize SMEs on Saturday are direct shopping (71%) and dining (67%) at SMEs, but e-commerce will play a bigger role. I am. Thirty-five percent of small business Saturday shoppers say they will buy online this year.

The percentage of shoppers of all holiday seasons who prefer to spend time online increased from 38% in 2018 to 46% this year. On the other hand, 40% plan to spend more online, while 25% plan to spend more face-to-face. .. Another 32% say they spend the same time online and face-to-face.

Amazon Prime subscribers increased from 56% in 2018 to 67% of survey respondents this year.

On Black Friday, face-to-face consumer traffic decreased.

“Online shopping has actually overtaken retail retailers as a consumer default experience, which is more true after the pandemic than in 2019,” Wronski wrote. “The most interesting thing is how quickly people adapted and how some of the pandemic lessons were internalized, even when it comes to shopping behavior.”

Overall, high-income earners and middle-aged adults are most likely to shop at small businesses on Saturday for small businesses this year, with 40% of respondents with household incomes of $ 100,000 or more being small and medium-sized. He said he plans to patronize the company. About a quarter (26%) of respondents earn less than $ 50,000.

However, the CNBC | Momentive study shows that 2021 increased support for local businesses across multiple demographic segments. 30% of black Americans plan to patronize SMEs from 24% in 2020. Twenty-seven percent of adults aged 18 to 24 plan to patronize SMEs from 21 percent in 2020. 39% of those earning between $ 50,000 and $ 99,000 plan to patronize SMEs on Saturday from 33% in 2020.

Small business holiday shopping is back and probably forever changing

Source link Small business holiday shopping is back and probably forever changing

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