Kitchen Table Economics

‘Tis the season to support small business

The holidays are just around the corner. Unfortunately, celebrating and shopping for gifts might look different than in years past.

According to the National Retail Federation, consumers plan to spend roughly $1,000 on gifts, holiday decorations, food, and additional non-gift purchases—a $50 decline from last year.

Another survey of 1,500 American consumers was conducted by Skyes to determine trends in holiday shopping habits during COVID-19. With the pandemic still affecting many across the country, shopping trends are expected to continue with a heavy online presence. Seventy-six percent of respondents said a crowded shopping mall would deter them from going this holiday season. As a result, nearly 54 percent of respondents said they will rely on online shopping with packages shipped directly to their doors. Only 19 percent said they plan to rely on in-store shopping.

But for small businesses, the avoidance of large shopping centers could be beneficial. According to the survey, one in five Americans say they will support local small businesses more this holiday season as they shop for loved ones. Many small businesses will be a safe choice for shoppers who are trying to avoid large department stores or crowded malls. Moreover, many mom and pop shops have adjusted to have an online presence.

Whether you shop in person or online, ‘tis the season to support small businesses as they continue to recover from the economic hardships of COVID-19. Spreading holiday cheer with gifts purchased from a small business will go a long way.