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small business Saturday 2021

10 Fun Financial Facts About Small Business Saturday

Small Business Saturday might not have the same cachet as Black Friday, and it certainly doesn’t have the same history. But this relatively young holiday has become an important annual focal point for local businesses.

And it drives some real numbers.

For the uninitiated: Small Business Saturday actually is a creation of American Express. The credit card company first established the shopping holiday, set for the Saturday after Thanksgiving, in 2010, as the U.S. was clawing its way out of the Great Recession.

The idea? “Encourage people to Shop Small and bring more holiday shopping to small businesses.”

With another Small Business Saturday on the horizon (Nov. 27), here’s a look at the holiday’s importance and some of its defining numbers.

10 Fun Financial Facts About Small Business Saturday

  1. Since its founding in 2010, American consumers have spent almost $140 billion on Small Business Saturday, according to surveys by American Express.
  2. That $140 billion included a $19.8 billion in reported spending in 2020.
  3. More than half of that spending was done online last year. Some 56% of shoppers reported making a small business purchase online in 2020. That was significantly higher than 43% reporting the same in 2019.
  4. American Express estimates that for every dollar you spend at a small business, 67 cents stays within that small business’s local community.
  5. More than half of Americans who said they shopped at a small business on Small Business Saturday said they either endorsed a local business on social media, or shopped at one because of something they read on social media.
  6. In the 2021 American Express Shop Small Impact Survey, 56% of small businesses say this year’s Small Business Saturday is “more critical than ever” for their company.
  7. In the same survey, 78% said that their Small Business Saturday sales will impact whether they can keep their doors open in 2022.
  8. 80% of consumers surveyed by American Express said they plan to “Shop Small” this holiday season.
  9. An analysis by Econsult Solutions shows that consumers could potentially contribute $695 billion into the U.S. small business economy over the 2021 holiday season.
  10. American Express has a stated goal of driving $100 billion in small business spending between 2021 and 2025.

Make the Most of Your Small Business Saturday

Clearly, Small Business Saturday is an important boom time for many local businesses. And it can end up making or breaking a company’s year.

If that’s the case for your company, proper yearlong financial planning for this holiday is prudent. McManamon & Co. provides outsourced CFO and accounting services that can help you with things such as budgeting, financial planning, forecasting and cash flow management.

Reach out to us at 440.892.8900 or contact us online today.

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