FALMOUTH, MA – Local businesses in Falmouth hope to make the most of Small Business Saturday and other promotions as the coronavirus pandemic continues to redefine the holiday shopping season.
Independent boutiques, gift shops, family-owned hardware stores, restaurants and more in Falmouth face unprecedented challenges as the ongoing coronavirus pandemic changes the way Americans shop for vacation.
The list of local businesses participating in Small Business Saturday in Falmouth continues to grow. Here are a few :
- Bargain market
- Liqueurs from Kappy
- Anejo Mexican Bistro and Tequila Bar
- Flying bridge restaurant
- Corner bike
American Express started the “Shop Small” movement in 2010 to encourage people to support local businesses on the Saturdays after Thanksgiving and Black Friday. Since then it has grown into a year round effort to encourage people to support family businesses and local stores in Falmouth and elsewhere in the country.
Americans spent about $ 20 billion small business Saturday, up slightly compared to the previous year.
Supporting local businesses is important, according to American Express, which believes that 67 cents of every $ 1 spent remains in the local community. That’s about $ 67 billion that has remained in local communities since Small Business Saturday began, according to the financial services company.
An American Express Shop Small Consumer Impact survey before the pandemic found that 73% of people think empty storefronts are a national problem, and 84% agree that the increase in empty storefronts and small closures independent businesses negatively affect their local communities.
The survey showed that when consumers are aware of the impact of spending their money locally, 75 percent said they would be more likely to purchase a product or service from small independent businesses.
Small businesses have been shaken up by the pandemic, according to a study by economist Susan Woodward. The study looked at the bank deposits of nearly one million small businesses with 10 or fewer employees, across all major sectors and industries, in the pandemic’s first year.
The study, commissioned by Intuit QuickBooks, looked at the bank deposits of about 1 million small businesses using company software and aggregated, anonymized user data.
In Massachusetts, small businesses are down 25% in the pandemic’s first full year. Retailers and personal care businesses, such as barbers and hair salons, have been among the businesses hardest hit by the pandemic, but have enjoyed a stronger recovery than other sectors, according to the study .
- Personal care companies saw their revenues drop by more than half (52%) at the start of the pandemic, but in March 2021, they reported revenues 16% above pre-pandemic levels.
- Clothing stores reported in April 2020 that their revenue had declined by 50%, or roughly $ 10,000 per business. In March 2021, revenues were 14% higher than pre-pandemic levels.
In general, Woodward’s study also showed:
- The biggest impact of the pandemic on small business revenues came in April 2020, when revenues fell 22% nationwide, equivalent to $ 4.6 billion for that month alone.
- The most successful companies over the past year are home improvement and real estate companies. Annual income for mortgage bankers has increased 30% from pre-pandemic levels, an average increase of $ 147,000 per business.
- Some of the hardest hit small businesses were in the entertainment industry. For example, annual bowling alleys had fallen 33% by the end of March 2021, an average drop of more than $ 250,000 per business.
- Small businesses in high-density urban areas – particularly in states on the east and west coasts – have suffered a greater financial impact from the pandemic. The hardest hit areas are New York, especially Brooklyn, and San Francisco.