Conventional wisdom says brick-and-mortar stores cannot compete with e-commerce in this age of all things digital. But take heart, small retailers; the data says otherwise.
According to an analysis by SCORE, a nonprofit small business advocate, small retailers far outnumber their larger competitors, offer experiences you cannot get online and are preferred by consumers to online-only shopping.
Because July is Independent Retailer Month SCORE researched the role of small retail businesses on the U.S. economy and produced an infographic on the results.
“SCORE’s latest infographic, sponsored by Kimco Realty, examines the power of small retailers who not only compete against the big stores, but win,” a recent post on its website states.
Among the findings:
- Consumers spend 69% of their discretionary income each month in-store.
- Trying items in a store is three times more influential than other purchase factors.
- 82% of shoppers last year attended a retail event, such as a pop-up store or product demonstration.
- 55% of online shoppers would prefer to buy from retailers that have a physical store presence vs. online only.
As for the industry itself, SCORE’s analysis suggests it’s doing a lot more than just surviving in the digital economy. A whopping 98.5% of all retail firms are small operations with 50 or fewer employees.
And while e-commerce may seem to dominate the landscape, it actually comprises less than 10% of all retail sales, SCORE says.
