As the second wave of the pandemic threatens the critical holiday shopping season, supporting small businesses has never been so important to their survival. That is why this year, Small Business Saturday, brought to you by the Canadian Federation of Independent Business (CFIB) and American Express, is the day after Black Friday.
CFIB is urging consumers to think beyond big box stores and online giants and make an extra effort to support a small business, whether online, curbside or in person where possible this Small Business Saturday, November 28. According to CFIB’s latest data, only 38 per cent of retail businesses are making normal sales and one in seven is at risk of permanent closure. The picture is even worse for hospitality businesses, where permanent closure is a serious risk for one in four and just nine per cent are making normal sales.
“With 2020 being the toughest year ever for many businesses emotionally and financially, we are urging people to make every effort to support small business. It’s not always our first instinct to look for small businesses online but many have now worked really hard to make this an option,” said Laura Jones, Executive Vice-President at CFIB.
A third of small businesses now offer online sales, following an increase of roughly 152,000 new entrants into the eCommerce market across Canada since March. The top eCommerce adopters have been those hit hardest by the pandemic, including retailers, arts and recreation, hospitality, and health services businesses. While one in five businesses say they will increasingly rely on online sales to survive, a quarter of those using eCommerce are struggling to generate revenue that way.
“Small businesses need our support this holiday season and there’s no better time to shop small than on Small Business Saturday,” said Kerri-Ann Santaguida, Vice President and General Manager, Global Merchant and Network Services, American Express Canada. “So whether it’s grabbing takeout, shopping online or picking up curbside, a small-first approach can go a long way for so many of your neighbourhood favourites.”
“Making the extra effort to find a small business online can make all the difference,” added Jones. “They survive with your support and are grateful for it.”
Read CFIB’s research highlights deck for more details.
Source for CFIB data
This deck presents findings from CFIB’s eCommerce and competition with big business survey, completed online between September 17 and October 7, 2020 by 3,607 CFIB members. For comparison purposes, a probability sample with the same number of respondents would have a margin of error of +/-1.6%, 19 times out of 20. See highlights deck for full methodology.
SOURCE Canadian Federation of Independent Business