Buying Local Statistics

21 Buying Local Statistics in 2024: Facts on Local Shopping

Published on: December 18, 2023
Last Updated: December 18, 2023

21 Buying Local Statistics in 2024: Facts on Local Shopping

Published on: December 18, 2023
Last Updated: December 18, 2023

At one point of our shopping spree, we all have encountered a ‘support local’ banner at a Saturday Farmers Market or in the grocery store’s fruit section.

This started your curiosity about local shopping and everything related to it.

This article will explore buying local statistics and other interesting facts about this emerging market. 

Resource Contents show

Key Statistics

  • Global shoppers are projected to spend $6.04 trillion on local stores in 2023
  • More than 80% of buyers are willing to pay more in support of local businesses
  • 61% of consumers prefer shopping locally due to ‘unique product selection’
  • ‘Keeping money locally’ is the prime reason why consumers shop local, with 57% of respondents pointing to this reason behind their activity
  • Small businesses account for nearly half of economic activity in the United States
  • The majority of local businesses in 2022 were in the retail sector
  • 22% of consumers check websites to decide which local business to purchase from

Top Buying Local Statistics in 2024

Local Stores 646

1. Shoppers Are Projected to Spend $6.04 Trillion on Local Stores This Year

Shopping locally shows a huge growth potential, with the latest buying local statistics from OnlineDasher showing an expected $6.04 trillion in spending on local stores in 2023. 

This is thanks to the continued reliance of consumers on the internet – a click for ‘restaurants near me’ on Google Maps shows a never-ending list of local restaurants one can check out. 

(OnlineDasher)

2. More than 80% of Buyers Are Willing to Pay More in Support of Local Businesses

Moreover, the growing awareness on sustainability is driving consumers to support local businesses, regardless if they have to pay a little premium for doing so. 

An estimated 82% of consumers expressed a high willingness to show their appreciation of local business owners. 

In addition, more than half of American consumers said they shop locally as a conscious choice to support the community.

(OnlineDasher)

3. $68 on Every $100 Local Spending Circulates Back to The Economy 

An estimated $68 of every $100 spending on a local business returns to the economy.

Experts noted that choosing to buy from one’s neighboring businesses is similar to investing in the community – this creates a demand for local jobs.

If you are not yet convinced, a study from BusinessDIT revealed that small businesses donate 250% more than large corporations to nonprofits and community-led advocacies.

(BusinessDIT)

4. 61% of Consumers Prefer Shopping Locally Due to ‘Unique Product Selection’

Handmade crochet? Organic kale?

A 100-year-old recipe for creating draft beer? These are some of the products consumers can buy from a local business owner that cannot be found on mass-produced manufacturing companies. 

Craftsmanship is the center of local businesses, bringing uniqueness to locally-made products. As they say, those looking for top-notch quality have to pay for it.

(BusinessDIT)

5. ‘Keeping Money Locally’ Is the Prime Reason Why Consumers Shop Local

Local Stores 647

A recent survey found that wanting to ‘keep money locally’ is their prime motivator for shopping from local businesses. 

Moreover, 37% said they see the activity as a way of connecting with the community, while ‘supporting local creators’ garnered the same percentage.

28% of survey participants noted that local businesses offer better services, while 19% said this is their way of supporting local non-profits. 

There are many benefits to shopping locally beyond helping the local community in monetary terms.

Local businesses are also deemed more sustainable – one cuts down on excessive packaging from ordering on online stores alongside little to no travel emission for products. 

(Intuit Mint Life)

6. 68% of Canadian Consumers Shopped in Local Businesses in 2020

The pandemic changed the overall dynamics of shopping, opening opportunities for consumers to connect with their local business owners. 

According to a study from Statista, Canada led the countries with the highest percentage of local business shopping in 2020, with 68% of Canadians reported practicing buying locally during the year.

(Statista)

7. North American Countries Topped the List What the Highest Percentage of Consumers that Engaged in Local Shopping in 2020

Here are the countries and the respective percentage of consumers that primarily shopped on local businesses in 2020. 

  • Canada – 68% of the country’s consumers said they primarily shopped at local businesses during the period
  • United States – 66% of the country’s consumers said they primarily shopped at local businesses during the period
  • France – 62% of the country’s consumers said they primarily shopped at local businesses during the period
  • Germany – 59% of the country’s consumers said they primarily shopped at local businesses during the period
  • Spain – 58% of the country’s consumers said they primarily shopped at local businesses during the period
  • Australia – 58% of the country’s consumers said they primarily shopped at local businesses during the period
  • Italy – 58% of the country’s consumers said they primarily shopped at local businesses during the period
  • New Zealand – 
  • United Kingdom – 52% of the country’s consumers said they primarily shopped at local businesses during the period
  • Japan – 44% of the country’s consumers said they primarily shopped at local businesses during the period
  • India – 37% of the country’s consumers said they primarily shopped at local businesses during the period

(Statista)

8. Local Retailers Are Estimated to Make $3.50 Trillion in 2023 and $3.73 Trillion by 2025

With the growing support for local retailers, revenue from the industry is expected to come at $3.50 trillion this year. 

Take a look at this data detailing local retailers’ revenue from 2017 to 2022, and estimates for 2023 to 2025.

  • 2017 – local retailers worldwide generated a collective revenue of $2.54 trillion during the year
  • 2018 – local retailers worldwide generated a collective revenue of $2.65 trillion during the year
  • 2019 – local retailers worldwide generated a collective revenue of $2.68 trillion during the year
  • 2020 – local retailers worldwide generated a collective revenue of $2.79 trillion during the year
  • 2021 – local retailers worldwide generated a collective revenue of $3.39 trillion during the year
  • 2022 – local retailers worldwide generated a collective revenue of $3.40 trillion during the year

9. Projections for 2023 to 2025

  • 2023 – local retailers worldwide are expected to generate a collective revenue of $3.50 trillion during the year
  • 2024 – local retailers worldwide are expected to generate a collective revenue of $3.62 trillion during the year
  • 2025 – local retailers worldwide are expected to generate a collective revenue of $3.73 trillion during the year

(CapitalOne Shopping)

10. Share of Local Retail Revenue Is Growing in The United States

Local Stores 648

The United States is a fertile ground for local businesses which account for half of the nation’s entire retail revenue. 

Below is data showing the share of all retail revenue in the United States, divided between small enterprises and large chains. 

  • 2017 – 50.7% of the total retail revenue in the United States is accounted by small and independent businesses during the year
  • 2018 – 50.4% of the total retail revenue in the United States is accounted by small and independent businesses during the year
  • 2019 – 49.6% of the total retail revenue in the United States is accounted by small and independent businesses during the year
  • 2020 – 50.2% of the total retail revenue in the United States is accounted by small and independent businesses during the year
  • 2021 – 51.7% of the total retail revenue in the United States is accounted by small and independent businesses during the year
  • 2022 – 47.9% of the total retail revenue in the United States is accounted by small and independent businesses during the year

(CapitalOne Shopping)

11. Consumers Are Still Largely Influenced by The Cost of Goods and Services in Their Buying Decisions

71% of local consumers admit that the cost of products and services remain a significant determining factor in their buying decisions. 

Meanwhile, 47% said the distance of establishments are crucial in the buying process, while 32% said they buy based on business hours.  

(CapitalOne Shopping)

12. Small Businesses Account for Nearly Half of Economic Activity in The United States

A study from Serpwatch revealed small businesses account for 44% of the entire economic activity in the United States, making them the lifeblood of business operations in the country. 

In addition, a quarter of US exports in 2022 came from small businesses, creating 6 million export-related jobs for Americans.  

(Serpwatch)

13. 54% of Americans Shop Say They Shop Locally Every Month

In terms of local shopping frequency, more than half or 54.8% of Americans revealed they shop from local stores every month, while 33.2% of the respondents said they do it weekly. 

Only 9% do the activity on an annual basis and a mere 3% do so less frequently.

This shows a greater inclination to shop from local stores on a regular basis due to the growing awareness of benefits of local shopping and the proximity of stores.

(Serpwatch)

14. 27% of Consumers Will Buy Food Directly from Farmers by 2030

Many consumers will not compromise the quality of what they eat over a slightly cheaper price.

With this, a study from Specialty Food Magazine revealed that 27% of consumers will buy directly from their local farmers by 2030, just a tad lower than 34% who will stay with e-commerce platforms. 

Moreover, 26% will buy from local street shops by the period, showing a positive acceptance for the ‘support local’ campaign.

(Specialty Food Magazine)

15. The Pandemic Impacted Local Businesses the Most, with 23% Reporting Loss in Revenue 

Local Stores 649

The pandemic severely impacted both local and big businesses, but most so the local ones due to business closure and lack of monetary cushion. 

A survey taken during the pandemic revealed 23% of businesses reported loss in revenue from Covid-19, 11% revealed reducing budgets to keep operations afloat. 

Another 11% decided for a temporary closure, 10% decided to cut down on wages, while 7% temporarily pivoted to other sources of income. 

(Serpwatch)

16. Increasing Staff Was the Top-Most Plan of Local Businesses in 2022

As operations returned to pre-pandemic levels, local businesses started scaling their operations back to pre-restriction levels. 

Take a look at this data on the top plans of small businesses in 2022:

  • Increase staff – 51% named this as their top plan during the year
  • Business expansion or remodeling – 41% named this as their top plan during the year
  • Digital marketing investment – 40% named this as their top plan during the year
  • Traditional marketing investment – 23% named this as their top plan during the year
  • Business services technology investment – 14% named this as their top plan during the year
  • Information services technology investment – 13% named this as their top plan during the year

(On the Map)

17. The Majority of Local Businesses in 2022 Were in The Retail Sector

Retail provides immense opportunity for businesses of any size.

In 2022, 15.1% of local businesses operate in the industry, while 13.7% are in the Food and Restaurant sector and 10.1% engaged with providing business services.

Other notable industries for local enterprises are Health, Beauty, and Fitness Services, and Residential and Commercial Services. 

(On the Map)

18. 15% of Local/small Businesses Revealed Allocating 1-2% of Their Gross Annual Revenue on Marketing Budget

Local businesses are increasingly becoming aware of the importance of marketing in their overall operations.

In fact, 15.59% of local/small businesses said they allocated between 1-2% of their gross annual revenue marketing their products and services. 

18% allocated a higher percentage of up to 5% while 23% went as much as 10% to boost their presence.

Only 3% went overboard to allocate 31% to 50% of their entire revenue for this purpose. 

(On the Map)

19. 22% of Consumers Check Website to Decide Which Local Business to Purchase From

Marketing efforts are not put to bad use as 22% of consumers noted checking websites before deciding to buy. 

This means that a user-friendly interface and fast-loading times lead to sales one way or another.

In other words, UX investment should be made non-negotiable for local business websites.

(Online Dasher)

20. 64% of Consumers Admit to Using ‘Google My Business’ to Search for A Local Shop’s Details

If your local business is still missing a Google Business Profile until this day, it is time to think twice. 

A recent study revealed 64% of consumers look up a local business on Google for contact details and other online directories. 

Moreover, 32% said they do so as the tool provides the most accurate information about businesses in 2022. 

(Serpwatch) 

21. Presence on Google Maps Is Another Important Non-Negotiable for Local Businesses

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Google Maps is one of the most-valuable tools local businesses can leverage to their advantage.

42% of today’s consumers click on Google Maps results when searching for a local store for a product or service they need. 

(Serpwatch)

Conclusion

The rise of local shopping is evident from the buying local statistics presented above.

With a projected global spending of $6.04 trillion on local stores in 2023, consumers are increasingly inclined to support small businesses, driven by factors such as a desire for unique product selections, the importance of keeping money within the community, and an increased awareness of sustainability. 

As operations return to pre-pandemic levels, more than half of local businesses plan to increase staff, showcasing optimism and resilience, creating more jobs and opportunities for the local community.

Sources

SERP WatchGitnuxCapital One Shopping
On the MapLuisa ZhouSpeciality Food Magazine
Farmers Market CoalitionOnline DasherBusiness DIT
Mint.IntuitColuStatista

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Written by Jason Wise

Hello! I’m the editor at EarthWeb, with a particular interest in business and technology topics, including social media, privacy, and cryptocurrency. As an experienced editor and researcher, I have a passion for exploring the latest trends and innovations in these fields and sharing my insights with our readers. I also enjoy testing and reviewing products, and you’ll often find my reviews and recommendations on EarthWeb. With a focus on providing informative and engaging content, I am committed to ensuring that EarthWeb remains a leading source of news and analysis in the tech industry.