Illustrating the challenges mom-and-pop businesses face in encouraging consumers to buy local, a recent survey found that of the 29% of U.S. adults who said they are morally opposed to shopping at Amazon, 85% still do anyway.
On the favorable side for local shops, the online survey of 2,000 U.S. adults taken in August from LendingTree found that 90% of respondents believe shopping locally positively impacts their community, and 65% wish they could do so more frequently. When asked which local businesses they commonly use, 78% said grocers or farmers markets, 60% said restaurants or cafes, and 48% said clothing stores. Younger generations were also found to shop locally slightly more often than older generations.
Further, half are willing to spend more to support local businesses.
However, 80% of respondents indicated that inflation was making it more difficult to shop locally, and 75% wished they could afford to patronize their local businesses more than they do.
Overall, cost was found to be the top reason consumers don’t shop locally more often (cited by 57%), followed by convenience (42%) and product selection (39%). When asked which factors are important when determining where to spend their money, only 14% cited supporting their local community, with the primary purchase drivers being price, convenience, product availability, product quality, and product selection.
The survey did find that “buy local” movements are resonating with some consumers. The touted benefits include strengthening the local economy and reducing your carbon footprint.
While 71% of consumers order from Amazon and other online retailers at least monthly, 31% say they feel guilty when they do. Gen Zers feel the most guilt (45%, versus 20% of baby boomers). Among income groups, 40% of those who make at least $100,000 a year said it weighed on their conscience, compared to 24% of those who make under $30,000.
“People feel guilty because they know that many small, local businesses have struggled to compete with Amazon and the onslaught of online retailers,” said Matt Schulz, LendingTree’s chief credit analyst, in a statement. “They value small businesses and know how important a part of the community they are, but shoppers also feel conflicted because they’re struggling, too. Their financial wiggle room is tiny, making them very price-conscious.”
When it comes to the environmental impacts of online shopping, less than half of Americans (43%) consider them, although younger generations (53% of Gen Zers and 50% of millennials) are more likely to care than older ones (38% of Gen Xers and 30% of boomers.)
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