Small Business Saturday and ArcGIS Business Analyst
Saturday, November 26th is the 13th annual Small Business Saturday, dedicated to supporting the diverse range of local businesses that create jobs, boost the economy, and enhance neighborhoods around the country. Based on a study from U.S. Small Business Administration, as of 2021 there are a total of 32.5 million small businesses in the U.S.. These small businesses are the core of every neighborhood as they continue to contribute to the local economies by bringing growth and innovation to their communities. However, only 82% of small businesses survive during the first year; 50% survive to the five-year mark; and 35% survive ten years (Bureau of Labor Statistics). But why is that the case? Is it the fact that the businesses’ location is not in the best location, or is it that the business does not know where their target customer is located?
That’s where ArcGIS Business Analyst can assist! ArcGIS Business Analyst helps users make smarter decisions for market planning, site selection, and customer analysis. This location-based market intelligence tool can play a fundamental role in helping businesses achieve their goals and continue to prosper. I’m sure we all can agree, understanding customers and communities are incredibly important factors regardless of the industry the small business is in. ArcGIS Business Analyst has datasets which provide insight on America’s changing population, housing, demographics, workforce, psychographic, and the tools to leverage that data and accomplish business goals to gain a competitive edge. Here are some of the many ways in which ArcGIS Business Analyst can help small businesses succeed.
Small businesses can continue to support the local economy:
According to an online source, around 82% of consumers will pay more to support small businesses, and 61% of consumers are willing to buy locally as they believe that local businesses offer unique products. The U.S. Chamber of Commerce states that when customers shop locally, around $68 out of every $100 stays in the community. The tax revenue from the sales tax spent at local businesses helps support local government as they reinvest the money back into the community.
Based on the above statistics, as a business you may wonder where can I locate customers that prefer quality or prefer local small businesses? Look no further, ArcGIS Business Analyst is the tool that will help you locate your target audience. With ArcGIS Business Analyst, you can explore over 15,000 variables that define your target audience and characteristics. You can then use those criteria’s in the Smart Map Search tool to locate and expand to areas where your desired target customer is located. Below we’ve broken down some variables different small businesses may use:
Local small business that wants to locate customers that prefer local shops vs. national stores:
- Buy based on quality not price
- Will pay more from trusted company
- Prefer local vs. national stores
- Median disposal income
Small business focused on sustainability and environmental impact:
- Used environmentally friendly / green product last 6 months
- Very knowledgeable on environmentally products
- Important to be seen as environmentally conscious: 4 – agree completely
- Median disposable income
Small family-owned restaurant:
- Went to family restaurant last 6 months
- Spent $x amount at family restaurant
- Prefers to eat out
- Family household
- Disposable income
These are just a few examples of how different small businesses can leverage ArcGIS Business Analyst. ArcGIS Business Analyst provides enough information to help the diverse compendium of small businesses within each community. With the use of ArcGIS Business Analyst, small businesses can continue to increase their reach, which will help the continuous development of the local community and local economic activity.
Small businesses continue to give back to the community:
Based on Forbes magazine, in comparison to large businesses, small businesses donate 250% more to local non-profits and community causes. These small businesses continue to create a positive cycle of giving back within each community.
ArcGIS Business Analyst has an abundance number of infographics and reports that can help you answer all your non-profit questions. Maybe you’re a small non-profit organization looking to locate customers that provide cash contributions. Or maybe you’re a small business that wants to assist with local non-profit organizations.
Regardless of what you’re looking for, ArcGIS Business Analyst can assist. With this tool, you can identify donor opportunities’, board or volunteer opportunities, where to expand certain services, and more. Check out our non-profit community profile infographic that provides an endless amount of details!
Small businesses create more jobs
According to the Small Business Administration, small businesses employ 47.3% of the private workforce which help push economic growth and the local economy by creating new employment opportunities locally. These businesses have generated 12.9 million net new jobs over the past 25 years, they continue to contribute to financial growth, and they generate new products and services for the local community.
As an economic development professional, workforce development professional, or city department, you might be interested in learning more about what’s in your local economy, what the top industries are, and what the workforce looks like. By understanding these key areas, ArcGIS Business Analyst provides you insight through reports, infographics, and variables to create ad implement strategic workforce plans, invite businesses and industries to the area, and help with destination branding to attract new businesses and opportunities to your area.
ArcGIS Business Analyst includes reports such as Civilian Labor Force Profile, Business Summary, Retail Market Potential, and Retail Demand Outlook that help contribute to strategic growth and building a strong workforce.
Or, as mentioned before, you can create custom infographics to pull in the specific data you need to evaluate your specific use case. Understanding the workforce overview through and economic development profile can help you understand in which industries workers are, how long they commute, how they commute, and provide a sense of how and where you might want to grow, to offer new prospects and opportunities within you community.
We hope you enjoyed reading through this blog article. Please remember, ArcGIS Business Analyst is not limited to just the capabilities we mentioned above. We have companies of all sizes in different industries using our demographic mapping software to perform location analytics and helping them make smarter decisions. For this Small Business Saturday, remember the positive impact you make in supporting your local businesses. Happy Shopping!
Below we’ve added resources to help you with your ArcGIS Business Analyst journey:
- Business Analyst product overview page
- Review pricing and purchase Business Analyst
- Join our LinkedIn Business Analyst User Group
- Join our Business Analyst Esri Community
- Read more Business Analyst blog articles on ArcGIS Blog
- Watch Business Analyst Web App videos
- Watch Business Analyst Mobile App videos
- Visit the Business Analyst Resources page