LFC: The True Cost of Holiday Shopping on Amazon: Why Supporting Local Businesses Matters

I’ve written this newsletter for local businesses to use and share in newsletters, blogs and social media. I know I’m preaching to the choir in our newsletter but use this as you see fit to remind customers to choose local, shop local, live local.

As the holiday season approaches, many shoppers turn to Amazon for convenience and deals. It’s understandable. It’s easy, you can find just about anything, and you don’t even have to put shoes on. So go ahead, use Amazon. But use it for a search engine to find what you want, then buy from small businesses.

Think you’re buying from small businesses but on Amazon? The reality of that purchase is that Amazon takes a whopping 45% according to a report from ILSR, raising prices for you and robbing small businesses. Find what you want online or better yet, put on your shoes and visit your local retailers. Experience the charm and surprises your local merchants have waiting for you.

While Amazon’s convenience is tempting, the long-term costs to our communities and economy are significant. This holiday season, make a conscious choice to support local businesses. Your purchases can help create a more diverse, resilient, and vibrant local economy for years to come.

Impact on Local Communities

Amazon’s dominance has a significant impact on local economies during the holiday season, particularly affecting small businesses and local retailers. Here’s how Amazon’s influence plays out during this crucial shopping period:

1. Redirecting revenue: The holiday season is typically a critical time for local businesses to generate revenue. However, Amazon draws a substantial portion of holiday spending away from local economies.

2. Increased pressure on small businesses: According to an ILSR report, Amazon’s fees have tripled in just four years. During the holiday season, when sales volume increases, these fees become even more burdensome for small businesses selling on Amazon’s platform. Some sellers may be forced to raise prices or operate at a loss during what should be their most profitable time of year.

3. Reduced local employment opportunities: If more holiday shopping shifts to Amazon, local retailers may struggle to maintain staffing levels or hire seasonal workers. This can lead to fewer job opportunities within the community during a time when many people seek extra income.

4. Loss of local character and tradition: Holiday shopping at local businesses often contributes to a community’s festive atmosphere and traditions. If consumers opt for online shopping with Amazon, these local holiday experiences and traditions will diminish, affecting the cultural fabric of communities.

5. Reduced diversity in gift options: While Amazon offers a wide selection, the prevalence of mass-produced items can lead to a homogenization of gift-giving. Local businesses often provide unique, locally-made, or curated items that contribute to more diverse and meaningful gift options.

6. Data disadvantage: Amazon’s vast collection of consumer data gives it a significant advantage in targeting holiday shoppers with personalized recommendations and deals, making it harder for local businesses to compete for attention and sales. (We have a solution coming for you that will give you the data big corporations have had and are using to take customers. Watch for Marketing Clarity soon!)

Amazon’s dominance during the holiday season can have far-reaching effects on local economies, potentially weakening the financial health of small businesses, reducing local employment opportunities, and altering the traditional holiday shopping experience that many communities have long cherished. This impact underscores the importance of conscious consumer choices and support for local businesses during this critical time of year.

And isn’t it empowering to know that you can change the course of all these effects just by shopping locally? So spread local cheer throughout your community this holiday season by choosing local first.

Spread a Litte Cheer in Asheville

As we’re all planning our holiday season, let’s not forget the devastation in Asheville. Please take just a moment and share your good fortune with Go Local Asheville so they can help locally owned businesses through this tragedy. READ MORE.