Source: Brooklyn Running Co.
Has COVID-19 made the ‘shop local’ message more real for consumers?
With the coronavirus pandemic leading to the temporary and possibly permanent closure of scores of local restaurants and stores, the “shop local” movement appears to be getting a huge boost.
The uplift is most evident in the number of families committing to ordering carry-out meals to support local restaurants. Many restaurants are trying to survive only on curbside pickup. The local boost is also being seen by some owners of specialty running stores interviewed by RetailWire. They have likewise introduced curbside fulfillment while amplifying their e-commerce efforts since lockdown measures arrived.
“This pandemic moment is supercharging society’s shop local mindset and highlighting the critical importance of small businesses in our economic makeup,” said Matt Rosetti, co-owner of Brooklyn Running, which operates two stores in Brooklyn, NY and two in Eastern Pennsylvania.
Running shop owners see the local love continuing post-COVID-19.
Josh Levinson, the owner of Charm City Run, which has seven Maryland stores, believes that busy shoppers would often “choose the easiest path” prior to the coronavirus outbreak, and that could mean turning to other options other than local retailers. He doesn’t think that consumers will take local commerce for granted after seeing COVID-19’s impact on their communities.
“Everyone likes a local business and wants local businesses to survive,” said Mr. Levinson. “They inherently believe they are important to a community and give a community character.”
By all accounts, many local establishments won’t outlast the pandemic.
A survey of over 1,400 restaurant owners conducted between April 9 and April 13 by The James Beard Foundation found only one in five restaurant owners in cities that are shut down are certain that they will be able to sustain their businesses until normal operations resume. Assuming they can reopen, operating within social distancing guidelines and a slow return of customers are expected to significantly limit revenue opportunities for restaurants and stores in the months ahead.
A global survey from Ernst & Young found that 42 percent of consumers believe the way they shop will fundamentally change as a result of COVID-19, including 34 percent indicating they would pay more for local products.
- NEW SURVEY: Only 1 in 5 Restaurant Owners Are Certain They Can Survive the COVID-19 Crisis Despite Stimulus Assistance, Putting at Risk 11 Million Workers and $1 Trillion Industry Without Urgent Fixes to Paycheck Protection Program – Independent Restaurant Coalition
- Four consumer behavior trends emerge during the COVID-19 pandemic, the first EY Future Consumer Index finds – EY (Ernst & Young)/PRNewswire
- Yelp Economic Average Reveals Rapid Business Closures During COVID-19 in Q1 2020 – Yelp/Business Wire
Discussion Questions
DISCUSSION QUESTIONS: Is COVID-19 giving more license for local retailers to capitalize on their importance to communities? How should they best do so? Do you agree that messages around shopping local will continue to resonate after COVID-19 becomes more manageable?
Poll
BrainTrust
Ryan Grogman
Managing Partner, Retail Consulting Partners (RCP)
Kathleen Fischer
Director of Marketing, Körber
