American Small Business - A Mission Guide: Working Together For Positive Change by American Small Business

American Small Business

A MISSION GUIDE: WORKING TOGETHER FOR POSITIVE CHANGE

American Small Business EMPOWERING SMALL BUSINESSES AND COMMUNITIES A Mission Guide : Working Together For Positive Change

Recognition of the crucial role small businesses play in creating jobs

community cohesion

and enhancing local character is rising

strengthening

thanks largely to a rapidly

growing number of community coalitions that have formed specifically to support local

business and build thriving local economies

We aim to form a cohesive organization of small businesses and advocates from across the

country in common purpose

and help implement and sustain effective small business

focused campaigns in our communities

Additionally

we believe in the idea of

â&#x20AC;&#x153;

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your local is my local

in which any purchase or

benefit to a small business still qualifies as a win win win for the consumer

business

and the economy

the small

regardless of geographic location

This publication summarizes key principles for small business owners

officials interested in inspiring people to do more for small business

more of these efforts and help existing efforts improve

advocates

and local

It aims both to inspire

When executed properly

campaigns

to inform the public about the benefits of doing business this way can build a lasting culture

of support for small business

help local entrepreneurs

and encourage communities to

thrive

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The Impact of an Effective Campaign ,

For several years running

( . .) U S

(

)

ILSR

has executed nationwide

- -

changes in sales

“

Respondents to the

survey reported a strong annual sales increase as

but the gain varied hugely based on one key factor

”

buy independent buy local

strong

2015

a whole a

the Institute for Local Self Reliance

surveys of consumer oriented independent businesses to track their year to year

9.3% . /

alliance

sales increase

Businesses in communities with

campaign run by a community based organization reported a

nearly doubling the

Across all eight survey years

4.9%

gain for those in areas without such an

in up years and down

local businesses served by these

pro local independent campaigns have dramatically outperformed peers in communities

lacking them

That performance gap can mean the difference between success and failure

for many small businesses

, 79%

example

campaign was benefiting their business and

of it

This success also is reflected in community level surveys

For

’

of businesses participating in Maine s Portland Buy Local initiative said the

68%

said they gained new customers as a result

The return on investment can be huge when done right

groups who contribute a thoughtful and concerted effort

especially for businesses and

And many effective campaigns

have succeeded with minimal budgets

Keys to Shifting Culture and Spending Decisions Emphasize the Virtues of Small Businesses and Independents

We aim to emphasize small businesses in our messaging

businesses

local ownership

effect in the local area

We intend

local decision making control

“

as well as but not merely local location

(

to mean small

Many campaigns started by

local governments or chambers of commerce in recent years defined physical location

”

local

ability to make a tangible positive

often aimed at capturing more sales tax revenue

“

”

local

as simply a

These campaigns tend to

yield less real impact or struggle because locals are confused or dismiss the message entirely

when they see major chains lumped in with genuine local businesses

recognize and encourage many of the local franchisees

and organizations

In addition

we want to

community minded larger employers

and beneficial contributors who each have a key role in the community that

they operate in

Differentiate Our Roles as Citizens and Consumers

Small businesses generally thrive in compact

walkable commercial districts

but many of our

small businesses are also in the surrounding community or similar communities outside of the

immediate area and should also be represented and encouraged as being local too

Development incentives are just one of many realms where public policy shapes business

composition and engaging citizens can help advance our collective goals

We want to be aware

in our choice of language and how some common slogans can be a double edged sword

example

the phrase

“

”

vote with your dollars

impact of their spending choices

For

may be effective in helping locals consider the

but equating consumer choices with our rights as citizens

may undermine important policy goals

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Use Inclusive Language to Build a Broad Base

Small business retailers

restaurants and others competing directly with chains and the largest

online retailers are obvious key members to support our outreach

potential allies in our cause

but we want to include all

Our members and community as a whole will be better served by a

larger and more powerful campaign and gain no benefit from focusing too narrowly on

shopping

For example

focusing only on brick and mortar businesses or employing a shopping

bag as our permanent logo

(

)

though appropriate for a shopping focused holiday campaign

needlessly excludes other members from participating for the common good

strongest association will engage businesses of every sector

in our communities

Inclusivity can allow each of us to work together in our own unique ways

to benefit the overall community of businesses as well as consumers

including banks

We feel the

demographic group and location

For example

consciously

agriculture

home based businesses and others will ensure that the message

serves all involved

Without Invoking Pity or Guilt

’

We want to take every opportunity to praise and reinforce people s efforts to

recognize almost nobody does all their business locally

“

”

go local

and

We want to avoid guilt based

messages because they do not serve an effective purpose

It might be better served just to

remind consumers of how certain choices have different unintended results

One case this can

work is challenging customers who use local merchants as fitting rooms or showrooms buy online to avoid paying for that valuable service

( ,

them of the loss of tax base to support local schools

often to evade sales tax

firefighters

(

when executed with the right balance of self interest

)

people do this

and attention to the realities

suggests that small businesses need to be

., ’

etc

too

then

Remind

this can be persuasive

the store won t be there for you if many

We also want to steer clear of messaging that

“

”

saved

or patronizing them is a charitable act

Lasting shifts result only when people respect and appreciate the values top quality businesses

provide

Also

while such messaging does appeal to some business owners

it rarely resonates

with the majority of businesses and may offend some

The Message Why Small Business Matters

The ultimate goal is to create a cultural shift whereby

most citizens come to identify themselves as

“

the kind of person who supports small

,”

businesses and communities

and

view their community as one that supports entrepreneurs and makes doing business with

them a point of pride

Creating this culture of support cannot be bought with a marketing blitz or short term work

but can be achieved through sustained

’

concepts into citizens

multifaceted education that embeds several key

consciousness

While supporting small business offers many benefits

1. 2.

they all fall into two main categories

Benefits to you as a consumer Benefits to you as a citizen and to society

benefits to the environment

(

which focus on benefits to your own community

the world beyond it

etc

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We will emphasize messages according to the target audience and the outreach vehicle used

Material for distribution at hotels or college dorms

on customer value

and certain specific issues may make sense when writing for some niche

The message tone also will vary by audience

Independent Business Alliance

university newspapers

,”

(

)

BIBA

For example

when the Boulder

designed ads for local independent weekly and

the goal was to paint indies as the hip place to shop

they created the tagline to the best

should focus almost entirely

Articles and broader audience instances might place greater emphasis on

community benefits publications

for example

“

’

?” –

You re not a clone why shop at one

dine

a far cry from

or visit

“

Treat yourself

which BIBA used for ads in the upscale Boulder Magazine

Sophisticated

targeted

messaging is a key factor distinguishing the most effective campaigns from all the rest

Building Real Wealth and Job Creation Several compelling studies demonstrate the increased economic multiplier resulting when

people spend at small businesses

supporting small business

and other economic arguments for

Studies by the private research firm

Civic Economics and the non

profit ILSR both have shown dollars spent at local businesses in locally owned property return

, $45

on average

$100

or more per

spent at a chain outlet

$100

spent to the local economy

compared to just

$14

or less for

This results in a direct multiplier three or more times greater

when people spend with local businesses

compared to patronizing chain outlets

small businesses are a major engine of job creation

We all know

and census data on small businesses and

annual reports of their largest competitors help understand why

It shows small businesses

create more jobs per sales dollar than chain competitors and several times more than large

online retailers

Since spending on typical big box goods like hardware

housewares is a relatively fixed pie

venue is selling them

(

basic clothing

’

we don t buy more socks or toasters just because a new

, ,

new big box development is unlikely to yield new jobs

displace jobs in one business for another

When communities like Barnstable

but simply Massachusetts

studied the fiscal impact of big box and fast food development on the community and

taxpayers

they concluded dollars spent to provide safety and public services for such

unfocused growth was greater than the community would reap

reduced services for locals

include contractors

makers

meaning higher taxes or

Small businesses employ an array of supporting services that can

accountants

advertising agencies

insurance brokers

and many others

computer consultants

Local retailers

also carry a higher percentage of locally produced goods

for local producers and more wealth in the community

positions with greater career potential

restaurants

attorneys

sign

and distributors

creating additional markets and jobs

These jobs also tend to be higher wage

While chain outlets also employ local residents

business model uses a minimum of local goods and services

their

while profits accrue elsewhere

Community Character and Consumer Choice

’

Unique small businesses play a vital role in maintaining a community s distinct character

as more and more cities and towns attract the same array of cookie cutter businesses

with unique offerings and atmosphere stand to gain business

each serving their own niche

those

Though a single local shop or

service provider may carry a smaller selection than a big chain outlets

And

a large number of independent

creates far greater diversity and choices overall

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Value v

Cheapness

We define

“

”

value

proactively as more than merely the cheapest product or service

chains and online giants admittedly have the upper hand

where

We want to make people cautious of

automatically choosing the cheapest option and point out that product lifespan and customer

service can make a slightly higher priced product or service from a small business a better long

term value

One example is Kenyon Noble Hardware in Bozeman

.”

Montana highlighting the value

“ ’

of its expertise with ads saying

, ’

It s not only what you can buy from Kenyon Noble

it s what you

’

can learn from them

The ads promote the store s ability to save customers time and money

with staff product knowledge and free advice on household projects

They also smartly

implemented a price matching offer when the two big box hardware chains moved in blocks

away

ensuring they were perceived as price competitive

Reducing Traffic and Environmental Impact

Local and small businesses consume less land

generate less traffic and infrastructure demands

and create a lighter environmental footprint in many other ways

But many of us no longer enjoy

the freedom of visiting a downtown office store for an ink cartridge or walking to the corner

grocer or baker for a loaf of bread

The displacement of neighborhood serving businesses by

large regional stores often forces us to spend time and money to drive many miles for items or

services we once could access in or near our own neighborhoods driving per household has more than tripled to nearly other factors in leading to a

63 .

Since

1969,

shopping related

. .,

miles annually in the U S

percent overall increase in miles driven

Department of Transportation takes valuable time

3200

dwarfing

. .

according to the U S

This forced driving not only increases environmental impacts and

but also costs us more money both when we fill our tanks and pay local

taxes for roads and traffic control

Accountability and Charity

’

Small business owners consider their impact on the community s quality of life and often take

’

, .

actions because they believe it s the right thing to do

owners are identifiable

accessible

and accountable

even if it does not maximize profit

Most

Collectively we need to inform people

’

about the importance of patronizing the businesses who support their child s soccer team

favorite theater group

organizations

or animal shelter

especially those who do the purchasing for

Small business contributions of time and publicity opportunities

not just cash

are essential to many groups and programs that enhance our quality of life

Quality of Life

Typically

Democracy and Civic Engagement

small businesses offer more personal selection

corporate competitors

character

We all spend a significant portion of our lives patronizing businesses

why not make it the most pleasurable experience possible relationships

and service than their

without the need for scripted exchanges

The human scale fosters human

Communities with a greater

concentration of small businesses have healthier populations with lower mortality

obesity and

diabetes rates than do those relying more on large companies with absentee owners

to a national study from Louisiana State and Baylor Universities

civic engagement and sustain higher property values

according

They also enjoy higher rates of

Our small businesses and the public

spaces surrounding them are key environments for supporting the casual relationships that

create community cohesiveness and trust

big box stores

When personal interactions are replaced by trips to

community bonds are weakened

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Delivery of the Message for Maximum Impact ,

Focus on Improvement

Not Dollar Amounts

Asking people to spend a specific dollar amount with small business is not recommended as a

general theme

though it may be useful for specific events

Why

Any dollar amount chosen will be

either unrealistic for those struggling to get by or inconsequential for wealthier individuals

’

, “10%

Whatever one s present spending habits

(

and then a bit more next year

The

we ask them just to do a bit more with local businesses

”

Shift

is one simple

nonthreatening option to convey

that message

Combine In depth Education with Constant Reminders

Along with our business and community members

we plan to generate content

stories

commentaries and presentations that allow for telling of their stories and thoroughly explain the

economic

civic

and environmental importance of small business

Simultaneously

residents rarely will pass a day without experiencing the small business message

like window decals

posters

tote bags

and bag stuffers

we hope that

Visible materials

etc bearing it are one component

The

other key is convincing participating businesses that using our association logo and messaging in

their own ads

website

’

and elsewhere will boost the campaign s power and benefit them as well

These everyday sightings will recall the deeper messages and help them sink in

across our communities

Being able to work together with a few landmark businesses to get their

buy in will help build participation exponentially

Education Never Stops

We recognize that shifting the culture will take some time and

unlike teaching a lesson

the work

will never be done

Even if a community has little population turnover during a given time period

effective education and consciousness raising is a perpetual process

We will constantly seek new

ways to engage people and deliver the core message in a variety of packages

As we grow

the

number of effective tools and possibilities will continue to expand and be accelerated by increased

interest in creating a more stable and sustainable economy

Beyond Buy Local Building Strength In Numbers

While a well run buy campaign can create some positive movement in the community there would be like using only two cylinders of a four cylinder engine

rapidly as we could

education

’

we ll move

stopping

but not nearly as

While this publication focuses primarily on elements of effective public

delivering the greatest benefit to our members will take in three major realms of

activity

Execute the

“

”

buy small business

campaigns that shift consumer

business

and institutional

spending

Facilitate Collaboration

resources

Cooperative promotion

mutual financing initiatives

advertising

purchasing

sharing of skills and

and other activities help small businesses gain economies

of scale and compete successfully

’

Create a common voice for small business while engaging citizens in guiding their community s

future

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Facilitate Collaboration to Help The line between public education campaigns and facilitating collaborative efforts among our

member businesses should get blurry if done right

Custom created promotional materials can

deliver the public education messages and build our collective brand while also cutting costs for

members and boosting their profile

Our group logo and materials are for collective benefit use to

. ,

help develop universal recognition as a symbol of top quality American small businesses

This is

accomplished largely through member businesses displaying the logo in their own stores

websites

brochures

etc

In addition

sharing of skills

collaboration will help the group members as well

business groups

ads

- -

business to business mentoring and other

Such activities also can occur within other

the community participation may open up additional opportunities

Creating a

culture of mutual support among fellow businesses eventually will lead to joint purchasing and

’

cross promotion ideas that don t require the

members start doing this without us

“

”

official

group direct involvement at all

When

we will feel we are succeeding

Create a Voice and Engage Citizens Proposing small business policies can be a powerful educational tool and organization building

exercise while generating concrete benefits for entrepreneurs

Enacting better purchasing and

contracting preferences might perhaps be the most successful

Small business owners who lack

paid lobbyists or Public Relations people can benefit greatly by using their collective voice to

represent their concerns

Organizational Partnerships Is the community going to be better served by an existing organization hosting a campaign or by

setting up an entity dedicated to fulfilling that role

’

There s no pat answer

but many communities have organizations

downtown partnerships

Main Street programs

- -

chambers

and others operating side by side

organizations or Main Street programs are great campaign partners

geographically determined

While downtown

their mission is usually

and they are not typically able to lead wider campaigns

chambers of commerce typically serve any business wishing to join

And because

they usually focus on other

aspects of what the business community needs and rarely will express a preference toward only

locally owned or small businesses

work complements

We want to make clear and communicate to ensure that our

rather than duplicates theirs in other realms

–

and seek partnering

opportunities with a wide range of community entities willing to collaborate for a common goal

And what about that goal of getting people to self identify as supporters of small business

’

It s doubly important to develop it among business owners themselves

recognize how small businesses are interdependent

loop that drives further cooperation

As small business owners

it can create a powerful positive feedback

- -

Business to business spending is economically significant

’

and it s critical to the integrity of our organization for member businesses to focus on their

purchasing where feasible

As with individuals and major institutions

analyze where their spending goes

services from small businesses

possible

we ask business members to

and see if they can facilitate sourcing additional goods or

We should all make sure to utilize these sources

Leveraging the power of institutional buyers by helping them source even slightly more

goods or services from small businesses can yield a large economic stimulus

local and county governments

nature

whenever

schools

colleges

hospitals

These entities include

military and others that

by their

are rooted in our communities

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We understand you likely have a long list of responsibilities and stretched resources

but this

may be one of the most crucial and fertile times in generations to initiate and commit to a

small business association that can give a major boost to our communities

and working together

Properly crafted

we can harness positive activity to empower our local businesses and

our communities for many years to come

Sign Up Your Business as a Member! Spread the Word in the Community! Buy from Small Businesses, Growers, and Makers! Each one of us can make a difference and together we can create positive change! American Small Business AmericanSmallBusiness.co ContactUs@AmericanSmallBusiness.co

(This mission guide was written, adapted and/or edited utilizing and incorporating information from fellow organizations. We encourage everyone to join forces across all of those wanting to create a better America.)