The U.S. Small Business Administration (SBA) has launched a new campaign to drive more holiday shopping traffic to smaller brands.
The “Season of Small Business” initiative urges American consumers to shop local throughout the month of December. Holiday shopping is a crucial source of revenue for startups, especially in the retail sector. Online marketing company Constant Contact reports that the majority of small businesses generate roughly 25% of their annual earnings during the final months of the year.
In a release, Administrator Isabel Casillas Guzman, head of the SBA, reiterated President Biden’s goal of supporting small businesses across the U.S. and emphasized the connection between holiday shopping and entrepreneurial success. “The Biden-Harris agenda has prioritized uplifting small businesses as they create jobs, produce for our economy, and give back to their communities,” she noted. “During the Season of Small Business, the SBA encourages everyone to shop local, dine small, and support the small businesses that power the economy and make our neighborhoods vibrant.”
Despite the economic struggles facing companies and consumers, such as rising inflation and numerous interest rate hikes, 2023 has seen a massive surge in seasonal spending, with events such as Black Friday and Cyber Monday seeing record-breaking sales. This presents a golden opportunity for small businesses to earn a greater share of holiday shopping traffic not just in 2023 but in the years beyond. By focusing on customer retention, startups can use the season to build up a loyal base of followers who will remember their brand the next time they search for gifts, provided they deliver a quality buying experience.
While initiatives such as the SBA’s Season of Small Business help boost local economies by raising awareness among consumers of the big-box store alternatives in their area during the holidays, it is up to small business owners to capitalize on their resources and implement the proper seasonal strategies for their brand.