What Impact Shop Local has on the Local businesses

When you shop at a small business or local business, more money is kept within your community. Local businesses frequently use or buy from local service providers and companies.  Buying locally supports growing other businesses as well as your community’s tax base. But what does “buy local mean actually?  It is a fact that mom-and-pop stores and bakeries are more real to you than the market value of the products. Because you can feel the taste and the care that goes into each product.


In Simple, shopping local is buying from a local business instead of shopping at a large chain. Some examples are:

  • Buying seasonal vegetables at your local farmer’s market
  • Eating at Locally owned restaurants instead of fast food brands or chain restaurants
  • Shopping at your area’s hardware store instead of a big box store
  • Supporting local artists who make handcrafted jewelry, furniture, etc.
  • Buying from small booksellers instead of online and big retailers
  • Using local craftspeople to refurbish or repair furniture or other broken items
    Local shopping helps build relationships within the community. Particularly during hard economic times, it is a win-win for everyone involved. And it’s a beautiful feeling to know you are helping your neighbors. When buying from locals and people you trust, shopping becomes more meaningful. It is because you know the people behind these products.


Buying local helps your community in many ways. It is also a blessing to the community. All that “made abroad” stuff might be cheap. But the shipping cost and packaging costs are costly in the long run to our health and our environment. When you shop small, on regular basis, what you buy is unique. There is something very special when you give a well thought gift that’s also one of a kind or has a story behind it.

The National Federation of Independent Businesses states that Small Business Saturday is the most significant shopping day for 38% of independent business owners. A research has shown that shoppers re invested seven times more money in their local economies when they purchased home improvement products locally in comparison with ordering the same products from Big Business Chains.

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The actual reason for the Buy Local movement can really be summarized in the following

Shop Small

Think about small businesses when you think of shopping small. Salon or clothing stores, toy stores, gift shops, hardware stores, spas, restaurants, and sports shops are just a few examples of businesses run by local owners where you can find great products. You can find a soap maker in your town who makes the most beautifully scented body products inspired by local attractions. Now that’s a double local win!

Spend Locally

Where do your dollars go when you spend them on shopping? According to American Independent Business Alliance (AIBA), there is a phenomenon called the “Multiplier Effect”  “The multiplier outcome is the improvement to your local economy that results from locally-owned small businesses, owners, and employees spending their revenue within the community.” In a number of researches illustrated on AIBA’s site, a proven 48% return to the community happens when you spend locally. While only a 13% return when you shop from big chains.

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You will also relish a higher quality product in maximum cases when supporting your local small businesses. Local Business owners specially create products considering the needs of local shoppers.

Buy local to support yourself

Numerous studies show that when you buy from a small locally owned business, significantly more of your money is used to make buying from other local businesses. In this way, service providers and farms continue to reinforce the economic base of the community. When you shop from national-owned businesses or big brands then your money isn’t re-invested in your local community.

Be friendly to our environment

Locally owned small businesses tend to make more local purchases. They require less transportation and normally set up shop in town or city centers as opposed to developing on the fringe. This commonly means contributing less to mass, congestion, and habitat loss. This also helps in controlling pollution.

Supports community by supporting Non-Profits

Non-profit organizations receive an average of 250% more support from smaller business owners than they do from big brands. Small businesses know the issues of the community so they contribute to solving those issues.

Keep your community unique

Where you shop, where you eat and have fun – all of it makes your community home. Our locally owned businesses are an essential part of the unique character of this place. Our tourism Sector also benefits from this.

Put your taxes to good use

Local businesses require moderately little infrastructure investment and make more effective use of public services as compared to nationally owned stores. In addition, nationally owned businesses regularly demand tax incentives.

Inspire future investment

A growing structure of economic research shows that in a progressively standardized world, entrepreneurs and skilled workers are more likely to invest and settle in communities that reserve their local businesses and distinctive character. Small businesses overall promote future growth, and this has a good impact on local schools, libraries, and public services. Your money is helping your community, making the small business stronger, and building up the local economy so it is beneficial.

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Competition leads to more options

A marketplace of thousands of small businesses is the finest way to ensure innovation and low prices over the long term. A multitude of small businesses, each choosing products based not on a national sales plan. In fact, they chose on their own interests and the needs of their local customers. It guarantees a much broader range of product choices.
iListUGo.com has thousands of local businesses listed to search for. Whether you are looking for products, services, or experiences you can find the best local businesses on the listing platform. iListUGo promotes Shop Local movement and intends to strengthen the local businesses by helping them get more customers.