Celebration of Small Business Saturday 2024 in Charleston, SC, with singer-songwriter Noah Kahan
Courtesy of American Express
Small Business Saturday (SBS), a day established by American Express to encourage shopping small after consumers splurge on Black Friday, is expected to attract 64.4 million shoppers this year, according to the National Retail Federation.
While SBS will draw about half the shoppers of Black Friday, which is estimated to attract 132 million participants, this year’s turnout represents an 8% increase from Small Business Saturday in 2019. The growth comes despite overall offline retail foot traffic being down 3% from last year, per Joe Shasteen of RetailNext.
Small businesses enjoy a psychological advantage on their shopping day over major retailers on Black Friday. Consumers feel a tangible sense of doing good with every purchase made at a small business.
Though major retailers employ local neighbors, small businesses are deeply embedded in their communities. Every dollar spent at a local small business is essentially a gift to the community, with approximately 68 cents recycled back into the local economy.
Additionally, this year’s Small Business Saturday shoppers will have the opportunity to aid small businesses in communities impacted by Hurricanes Helene and Milton.
For every eligible purchase made with an American Express card at qualifying businesses, American Express will donate $1 to the US Chamber of Commerce Foundation. This contribution complements American Express’s $5 million commitment to help 1,000 small businesses recover from the hurricanes.
Small Business Saturday’s Roots and Growth
Small Business Saturday began in 2010 as the economy was recovering from the pandemic. It was an immediate success and has continued to grow over the last 15 years. American Express estimates the initiative has contributed $201 billion to local economies during that time.
“We aim to strengthen the shop-small movement each year,” said Jessica Ling, Executive Vice President of Global Brand Advertising at American Express, who oversees the international Shop Small platform. “We are committed to rallying consumers around the power of shopping small.”
Shoppers Answer the Call
Consumers are responding enthusiastically. About 75% of 1,000 American adults surveyed by Amex in October believe small businesses are essential to their communities, and 63% feel a personal connection to their community when shopping small.
Additionally, 85% of respondents say they are committed to shopping small throughout the holiday season, with Millennials and Gen Z showing even stronger loyalty to the movement at 88%.
Small businesses are relying on shoppers this holiday season. Over 80% of 500 small businesses surveyed said that Small Business Saturday is more important than ever, up from 48% in 2023. Moreover, 87% anticipate stronger holiday sales this year despite inflation and heavy promotional activities by large retailers.
The Rise of Conscious Consumerism
Another advantage for small businesses this year is the growing trend of conscious consumerism and “slow shopping,” perfectly embodied by a leisurely stroll down Main Street to shop intentionally at local businesses.
Conscious consumers think twice before making purchases, prioritize needs over wants, and seek to support brands and retailers that care for the environment and operate ethically.
While large retailers often publicize their environmental, social, and governance (ESG) policies, consumers see the direct impact of their choices when supporting small businesses in their communities. Seeing truly is believing.
Championing Small Businesses
Over the past 15 years, small businesses have thanked American Express for championing their contributions to local communities.
In Jessica Ling, American Express has found someone uniquely qualified to advocate for the cause. Raised in a small business family that owned a series of Chinese restaurants in New Jersey, Ling understands the challenges.
“My first job in high school was working the takeout counter,” she shared. “I know exactly what it feels like to be part of a family of entrepreneurs who don’t get weekends or holidays off.
“So, I’ve always had a big heart and passion for small businesses. It’s been a joy to join American Express and have the chance to work for and alongside these small businesses.”
