What Makes Consumers Shop Local?
5 ways to make yourself more loveable
There’s clearly a lot of love for local businesses across Europe as consumers vote with their feet (and clicks) to support their local stores and webshops. But how can you make your business even more lovable? Here are some ideas to get you started.
1. Spreading the local love
Independent local businesses like yours, are the heart of the economy and the soul of the community. They can make towns into destinations, create jobs and bring greater diversity and personality to our streets.
But your local business not only enhances the fabric of the community. Every €1 spent at your independent business returns three times more to the local economy than if it was spent in a chain. (And almost 50 times more than buying from an online chain). It’s called the Multiplier Effect.
Put very simply, when local businesses like yours are thriving, it is good for everyone.
But while we know how important independent local businesses are for a multitude of reasons, one question remains unanswered:
What really makes consumers shop local?
To find out the answer CCV commissioned new research* offering key insights into consumer behaviour across Europe.The result is Love Local, a report to help CCV’s small business customers like you, make the most of your local opportunities.
At CCV we really care about local business and want you to strive. We are experts in online and offline payments for local
shops around Europe (with over 200 000 merchants). We always try to learn more about what makes people love local
shopping – as much as we do.
We know that your local business wants to stand on its own merits and earn local support, not for your size, but because
of who you are and what you stand for.
You can still compete with the big boys as smart solutions (like those from CCV) are available to support you in making
the most of being a local business and becoming even more loveable.
Read on to discover the key insights from our research and join us in spreading the Love Local message.
2. Consumers show their love in store
When you love your local business as much as you do, it’s good to know that customers do too.
Type When you love your local business as much as you do, it’s good to know that customers do too. Online shopping has been steadily gaining favour over the last decade. But growth is not equal in all categories. CCV discovers where consumers actually shopped for products and where they would prefer to shop.
It may come as no surprise to you that retail chains are the most popular choice for fresh food grocery shopping across the countries surveyed with 81% of people shopping in chains (compared to 47% shopping at local independent stores).
What is surprising however is, that despite the major growth in online shopping worldwide, there are still relatively small
numbers shopping for groceries online.
Our research shows that local grocery webshops were shopped just as much as online chains with each attracting 5% of consumers. This suggests, there are still opportunities for local grocery retailers to develop an online shop and compete with the larger chains.
Other food & drinks
When it comes to shopping other food and drinks the numbers are marginally higher with 84% shopping in a brick & mortar chain and 38% frequenting their independent local store.
Fashion & Jewellery
Clothing, shoes (including sports apparel) and jewellery were the most popular items shopped online from a chain, with 42% of customers shopping. This compares to 21% shopping these items at a local webshop.
In this category 59% of people shopped in the brick & mortar chain store compared to 30% shopping at a local store. This tells us that local clothing stores appear to be competing but do have room for growth.
Household appliances, computers and phones
When it comes to white goods and technology our report reveals some interesting findings. 55% of consumers
surveyed shopped in a chain while 35% shopped the webshop of a chain. This category has one of the lowest ‘Shop Local’
figures at 20% shopping at an independent store, and, 20% shopping a local independent webshop.
Beauty, personal care, medical
In the beauty, personal care and medical products category, chain stores are very popular with 73% of shoppers while just 27% shop local in brick & mortar stores. When it comes to online the gap in local versus chain is not as pronounced, highlighting possible opportunities for local Beauty, Personal Care and Medical businesses. They already attract 13% of consumers compared to 18% for the webshop of the chains.