How Small Businesses Can Maintain Momentum in the Post-holiday Season

The Intuit QuickBooks Holiday Shopping Survey 2022 revealed that nearly half of holiday shoppers planned to shop at small businesses. Small business owners also anticipated what the holiday season would bring. Consumers stated that they want to shop small but there were growing concerns about product shortages, shipping costs, and delivery times. However, even though they fear losing customers to traditional retailers, the new Intuit QuickBooks data shows that shoppers are still sticking to their original intent to shop small as the holiday shopping season winds down
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Intuit's vice president and general manger of QuickBooks commerce segment, Shilpa Rddy, stated that more than 80 per cent of holiday shoppers planned to increase or maintain spending at small businesses during the holiday season. Intuit also found that 40% of holiday budgets were spent at small businesses by consumers. Reddy stated that it's a $88 billion opportunity and that this is a clear indication of consumers' desire to see small businesses thrive while also sourcing unique gifts for loved ones. This holiday was a wonderful opportunity for small businesses to reach out to their local communities and generate the revenue they need. Shilpa, vice president and general manger of QuickBooks commerce segment at Intuit
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Reddy also said that the consumer support has remained consistent when he compared this holiday season with previous years. Reddy stated that there was a lot of support for small businesses at the beginning of the pandemic. This support has been constant since then as consumers continue to make an effort to save their favorite businesses from closing.
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Although inflation is having an effect on spending in this year's specific market, consumers still feel the need to spend more money on small businesses. The company's recent survey revealed that consumers are planning to spend more on small businesses this holiday season, despite rising costs. Intuit's survey found that more than half of respondents said they support local economies. Only 47 percent stated they would miss small businesses if they closed down. Reddy stated that consumers are interested in unique gifts, and they often turn to local businesses to help them find them.
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"Another report has found that 68% of American consumers prefer to purchase unique holiday gifts from small businesses." Reddy mentioned Grace+Love Candle Co. as a small business she's seen connect with consumers at this time. It was founded by Natalie Grace and Jamahl. Reddy stated that Grace+Love Candle Co. was prepared for the holiday season early by doing market research and analyzing data from previous seasons.
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Jamahl & Natalie used QuickBooks to manage their finances. They looked at past years, current trends, and predicted that holiday sales would make up between 30-40 percent of their annual revenues. Grace+Love Candle Co. was able to participate in Cyber Monday, Black Friday and Small Business Saturday, which helped them engage customers during the most important shopping days of the year. Natalie and Jamahl said that it was crucial to be able to engage existing customers as well as new customers through these promotions. Reddy shared some strategies small business owners can use to keep their momentum going as 2023 approaches quickly.
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Small businesses must first consider the fact that having an omnichannel presence is more important than ever. Small businesses need to be able to reach customers wherever they are. Ninety-seven per cent of consumers said they prefer shopping in-person as well as online. Reddy advised small businesses that they look beyond their website to find customers when establishing an Omnichannel Strategy. This could include online marketplaces such as Amazon, eBay, Etsy, or social platforms that have commerce capabilities such as Facebook and Instagram.
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Digital-only businesses may also want to consider joining in-person sales events such as farmer's markets, pop-ups, festivals, and community pop-ups. Reddy also stated that small businesses should keep customers informed about the availability of items. To avoid frustration when shopping, customers need to be informed about the availability of items in a store.
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She also suggested that businesses should offer deals to encourage new customers and existing customers to visit their stores. It is also important to streamline the shopping experience for customers once they have been there. She said that it is important to offer discounts and in-store experiences whenever possible to increase sales, since inflation is making customers more price sensitive.
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According to the company's research, 80 percent of consumers are likely to cut back on spending if they feel the economy is getting worse. Small businesses offering holiday discounts and promotions, as well as quick, affordable shipping options and easy checkouts are all popular choices. Reddy expressed optimism about the prospects for small businesses. He stated that although this year brought with it its own set of challenges (inflation, supply chain issues, and ongoing pandemic), 'one constant has been the resilience of small business owners and the enthusiasm of consumers to support them.