We all have to shop, it’s a part of life. Small, daily items like groceries and personal care products, more infrequent purchases like clothing and gifts and large purchases such as vehicles and appliances are just a part of our lives. Many of us don’t even think twice before we go shopping, especially for the small items. We either go to the places we’ve always gone to do our shopping or we go somewhere that is convenient without stopping to think about the impact we are having on our local economy. The recent economic downtown should have reinforced to everyone the extreme importance of supporting our locally owned businesses. How many wonderful businesses had to close their doors because they simply could not afford to keep them open? Would this have happened if each and every one of us made a concentrated effort to do all of our shopping with locally owned businesses?
If you’re wondering what good buying locally does, consider the following:
• It stimulates the local economy. A study done in Texas showed that for every $100 that was spent in a chain bookstore, only $13 of it was put back into the local economy. But that same $100 spent at a local, independently owned bookstore put $45 back into the local economy. Think of that next time you’re deciding to get your coffee from a large chain or the local corner coffee house.
• It helps locals keep their jobs. Most people who work in local businesses live locally. By buying from these places, you help your neighbors keep their jobs and that benefits your whole community.
• Local businesses give back locally. Do you know who sponsors the little league and softball teams in your town? The local corner coffee house, the corner bar, the independent ice cream parlor. By supporting these businesses, you help ensure that they can support the community. Local independent businesses spend more of the money they earn within the local economy—45% for independent vs. 15% for big box stores. This recirculation of consumer dollars with local service providers, property owners, producers and even media companies translates into higher wages and more local tax revenue.
It helps keep our community diverse and unique. Who wants to live in a city that looks like every other city out there? Do you want to eat at the same restaurants that every other city has and shop at the same big box stores that everyone other city has? Or do you want to shop at unique stores and eat at restaurants that you can’t find anywhere else in the world? Most people want diversity and uniqueness. It’s what makes our lives interesting and real and different from everyone else’s lives. When we shop at locally owned businesses, we are helping them stay in business and encouraging more of our friends, neighbors and community members to start their own unique businesses as well.
You get better customer service. Many times when you are shopping at a local store, you are being helped by the actual owner of the store. Not only does the owner have a much larger stake in the success of his or her business than would an employee, but the owner is also usually much more knowledgeable about the products or services they are providing. Take a local boutique, for example. If you shop at a local boutique for your clothing and get to know the owner, you will not only be greeted by name every time you walk in the door, but they are likely to set things aside that they think you might like and may even keep you in mind when they go to market to purchase clothes for their store. Are you going to get that kind of service from a huge department store that employs part-time employees making their way through college?
You are helping your friends and neighbors. Lincoln is not that large of a city and everyone seems to know everyone else. Wouldn’t you like to know that each time you buy a product or service that you are helping out your neighbor down the street, a parent who has a child in the same school as you or even that nice lady you see at the grocery store all the time? Even if you don’t know the actual owners of the store, it’s good to know that they are in fact a member of our own community and adding to the local economy in their own way.
Myths About Shopping Local
You can’t get everything you need or want locally. Many people think that you need to travel to a huge city like Chicago or get on the internet to find the products, fashions and goods you really want. However, most would be surprised to find how much of what we really want is available right here in Lincoln. We are lucky to have such a diverse marketplace and it’s important to support it so that it continues to thrive.
Buying local costs more. Many people turn to the Internet or big box stores thinking they can get a better deal than if they were to buy at a locally owned store. However, that price difference falls away once you consider the increase in local employment as well as the relationships that grow when people buy from people they know. You should also take into consideration that you know what you’re getting when you buy from a local store and that if something is wrong with the product or you decide it isn’t what you want, it’s much easier to take it back or exchange it.
Shopping on the Internet
As the Internet gets more and more popular and diverse, it becomes easier and easier to spend more of our dollars there. After all, with our busy lives, isn’t it easier to sit down in front of a computer screen in our pajamas and put it an order rather than make a trip to a store? Well, yes and no. At first glance, it may seem easier to Internet shop, but when you take into consideration the entire scope of the impact of shopping on the Internet, things change.
First, think about security issues. Identity theft is running rampant these days and it’s nearly impossible to tell who is behind many Internet sites. Do you really want to be putting your credit card information out there and running the risk of fraud? Even if the site you are purchasing from is a reputable one, there is always the chance that a third party will be able to access your credit card information.
Another concern is what you will be getting. You may think you are purchasing one thing, but get something entirely different. You may also inadvertently purchase something that contains ingredients or other products that you don’t want in your home. Once you’ve received the item and realize it is not what you thought it would be, how easy is it to return? If you had purchased it from a local store, you’d simply walk in and tell them your concern and either get a return or be able to exchange it. This usually isn’t so easy with an Internet site. Not only is there shipping concerns involved, but it can be difficult to talk to a live person to hash out the problem and receive a refund or a replacement product.
Of course, the economic impact is also a concern. When you are buying from the Internet, you are not only NOT supporting a locally owned business, but you’re also not even supporting a nationally owned business that employs local people. No one involved in an Internet site (unless it is a locally run one) has ties to your community, so all of the money you spend will be going outside the city and likely the state (or even the country).
If you really prefer Internet shopping, make sure you look to locally owned stores that have a web presence. More and more small businesses have websites where you can either select merchandise you want ahead of time before visiting the store or even sites you can shop directly from without even having to go to the store. Ask you favorite stores about their web sites, you might be surprised by what you find out!
“The Lincoln Chamber of Commerce and the Lincoln Partnership for Economic Development have been at the forefront of buy local campaigns,” says Jaime Henning with The Lincoln Chamber of Commerce. “The goal is to create new opportunities for existing companies in Lincoln. The more awareness that we can generate for Lincoln based products and services, the more we can grow our sales tax base and boost our economy. The Buy Lincoln First program was successful in getting Lincoln companies to shift part of their purchases from vendors outside of our community to vendors inside our community.
According to the economic models, if everyone shifted just 5% of available purchases, that move alone could generate an additional $175 million in local sales, potentially leading to new job growth and additional revenue for city services.”
Local business owners are probably some of the most knowledgeable people when it comes to the importance of buying local. After all, they depend on it to keep their doors open. Monte Rasmussen with Eakes Office Plus explains, “More of the dollars spent locally recycle back in our communities and state. Also, the local businesses are generally the ones that support our community’s non-profit organizations and their services are so valuable to our communities.”
Charlotte Ralston with R.U. Nuts Company adds, “By supporting a local business, you generally know where your products are coming from, especially in the food business. You support the local labor that it takes to produce it as well. There is a ripple effect for the economy as well as building relationships within the community that you don’t get when you buy from international companies.”
“A strong local economy provides greater access to opportunities and also more funding for local initiatives like parks and recreation, services and infrastructure, health and education,” says Stacey Sell with ShopLincoln.com. “A marketplace of hundreds or thousands of small businesses is the best way to ensure innovation and lower prices over the long-term for our community. With a little extra effort, you will find wonderful products and services available from local businesses all over the city. You will be surprised what you will find here in Lincoln!”
Of course, local business owners are also some of the best advocates on spending their own consumer dollars with other locally owned business. Charlotte Ralston says, “So much that we do on a regular basis is local—my salon, my mechanic, the plumber I call on, the home repairs or construction we need, the dog groomer, and the list goes on. Buying food at the farmer’s market and supporting Nebraska-made products at the grocery store are some of the ways I like to support local. Even advertising in this magazine is local!”
Monte Rasmussen adds, “I not only spend my own dollars at local businesses and service companies, but I also encourage friends, family members and associates to do the same.”
“We are very conscientious about doing business with those who do business with Zing!Town and nine times out of ten, that is a locally owned company,” says Sheila Odom with Zing!Town. “If we need to meet someone for lunch, coffee or dinner, we always try to make that happen at a customers’ place to keep more money generating in Lincoln.”
Buying from independently owned businesses has other benefits apart from supporting our local economy. The customer service and products are oftentimes superior to those of nationally owned stores and usually come at the same or sometimes even less of a cost. “There always seems to be that attitude of ‘appreciation’ at locally owned businesses,” Monte Rasmussen with Eakes points out. “You don’t always get that feel at chains and you feel you are not only helping them, but feel good that they will take care of you if something is not right with the product or services.”
Charlotte Ralston with R.U. Nuts adds, “Since we don’t have a local outlet, our customers become that local outlet for us. We hope that in having us as a supplier, they get personal service and it is easy for them to “go to the top” if they have a complaint. You can’t do that with a national company! Our coffee is roasted when they order it, so it is absolutely the freshest available, and our trail mixes and salad toppings are made here, using unique recipes and fresh ingredients so the “pipeline” to the stores is much shorter than with a national brand. But we also customize order sizes, packaging, and ingredients for special orders, giving flexibility to our customers that you won’t find with a national competitor.
Lately there has been a lot in the news about how big companies are labeling their food products to sound “local” or “natural” when they are not, and some of the ingredients that are used in mass produced foods are becoming suspect. There are questions raised about how the workers are treated in countries that do not value freedom and human rights like we do. The public is beginning to understand that cheaper goods are not necessarily good for the environment either. So I think there is going to be more and more demand by the public to buy locally produced goods, realizing that the extra cost is for a quality of product and quality of life that is worth supporting.”
Monte Froehlich, owner of Midwest Intermodal Distribution shares how much he values local shoppers, but also local businesses. “MID is in place to help other businesses do what they do best, and we do that by managing their inventory and shipping. This allows them spend their time connecting with local shoppers and finding ways to grow their business. We want to educate local businesses that MID is here to work as a partner, and in doing so will allow growth in local companies which will lead to more job opportunities.”
Locally owned companies are generally better stewards of the community, as well, because this is where the ownership lives and works and they know firsthand the importance of improving our home city. B&R Stores (Russ’s Market and Super Saver) is a good example of this. B&R Stores is dedicated to helping people achieve a high quality of life and they believe in being good stewards of their surroundings and fostering a healthy environment is an important part of this mission.
B&R has made sure their store construction focuses on sustainability with LED lighting used in exterior and exit signs and refrigerated door cases wherever possible. They have also upgraded high-efficient refrigeration and HVAC equipment in place in most locations, extra insulation with every new roof installation and a heat reclaim system to heat water and inside air. They also focus on recycling as much as possible with recycling bins for plastic bags available to employees and customers, reusable bags offered for purchases and city-sponsored recycling centers provided at three Lincoln locations. They also participate in a number of programs such as FoodNet (which picks up culled produce and products and redistributes to food pantries throughout Nebraska), a variety of partnerships with local farmers to provide culled produce for livestock feeding/composting and they continually evaluate how they can be better stewards of the environment by reducing landfill waste and energy consumption.
Supporting local businesses that are doing their best to promote OTHER local businesses is a win-win for everyone involved and two companies doing this are Zing!Town and ShopLincoln.com.
Stacey Sell with Shop says, “By informing local shoppers about the choices available to them, as well as the hidden benefits of shopping locally, ShopLincoln.com aims to educate and encourage residents to spend more of their money locally instead of sending their dollars outside of the community where it will benefit someone else’s area instead of our own. ShopLincoln.com is a collection of Lincoln businesses’ products and services, all in one place, making it easier to shop and support locally. Supporting local businesses who carry products and offer services that are relevant and exclusive to our community is important so Lincoln is unique and provides things that no other cities have to offer.”
Sheila Odom with Zing!Town adds, “When customers shop on Zing!Town, they again help money stay local because we are the ONLY locally owned daily deal website. In addition, we provide a portion of our proceeds to a different local non-profit each month and we provide our shoppers with 1 ½% of every purchase back in the form of a Zing!Bucks credit to use on our site in the future. We have been thrilled at how strong the Lincoln community has supported us as a truly local business. We are so appreciative of all of the customers who shop with us and send us such wonderful emails about how much they like our local service. And of course, we are truly happy to provide our charitable donations each month to assist the many wonderful non-profit organizations working to help our community.”
Ideas on How to Increase Your Local Spending
–Switch to a local bank. Are you currently banking at nationally owned bank? Consider switching to a locally owned bank or financial institution instead. Not only are decisions made locally, but you will also be supporting more of those who live and work in your community.
–Buy gifts locally. There are so many occasions that we buy gifts. The holidays, graduations, birthday, baby showers and the list goes on and on. This is a great opportunity to buy local because not only are you personally supporting a locally owned business, but you are also educating the person you are giving the gift to about that locally owned business. This is especially true if the gift recipient does not live in Lincoln. I have had many experiences where I have purchased a gift for a friend or family member who lives out of town and they have made a point to go shop at the store I purchased from when they visit Lincoln. We have wonderful local shops here, why not tell all of our family and friends about them?
–Encourage employees to buy local. The team at Strictly Business always does our best to buy from locally owned stores. I can’t tell you how many times I have walked into the office and been asked where I got the dress I was wearing or the shoes I had on. If the answer is a locally owned boutique (which it often times is), I always get the thumbs up. Encourage your own employees either by educating them on the many great options here or even putting in place a rewards program. Think outside the box! Get a committee together to develop your own in-office Buy Local program!
–Shop at locally owned grocery stores. Where do you currently do your grocery shopping? If it’s not at a locally owned grocery store, consider switching. There are some good local options here and it’s likely they aren’t much further away from the store you usually frequent and that they have the same products you currently buy.
–Do your research. Sometimes it’s difficult to know which stores and service providers are actually locally owned. Don’t let this hinder you–do your research! You can always ask those working if they are locally owned. You can also do research on sites such as ShopLincoln. com to find a number of locally owned options. Education is power and once you know which stores are local, you can make it a point to frequent them more.
–Do your shopping BEFORE you go on vacation. How many times have you planned a vacation and saved money to spend on shopping when you got there? Why are you spending your shopping money in a city other than your own? Why not spend that money before you leave on your trip? You can get a new vacation wardrobe right here in Lincoln and even buy snacks to take with you instead of buying it when you get there. Of course, you might want to buy one or two things on vacation, but the bulk of your shopping can be done right here in Lincoln.
Supporting your local economy is not just a nice idea—it’s a necessity for all of us who want Lincoln to be a successful, vibrant, diverse community that supports local business. This is not only important for us, but for the future—for our children and our children’s children. With technology taking over more and more every day, we must do what we can to ensure that we are putting what is most important at the top of our list: people. The people of our community are the small business owners who we must support to make this the type of city we are proud to live, work and raise our children in. Remember, whenever you need to buy a product or service, always look local first!