The holiday season is an exciting time for both consumers and small businesses. As the temperatures drop and festive decorations adorn the streets, small businesses gear up to make the most of this time of year.
Business owners already know that customers are ready to open their wallets, and small businesses rely on this peak season to meet their annual sales goals.
Let’s explore the significance of the holiday season for small businesses, focusing on the hopes and hindrances this year and how Fluid Truck can help you sleigh this $900 billion holiday season!
Why are the holidays important for small businesses?
A report from Constant Contact revealed that 58 percent of small and medium-sized retail businesses consider holiday customers to be "extremely important" to their overall success.
It's not just about quick sales either; 84 percent of surveyed consumers are likely to visit a small business they've never purchased from during the holidays, and 87 percent stated that they are more likely to return to a small business in the future after visiting or buying during the holiday season.
Economic benefits of shopping small this year
Supporting small businesses offers many benefits for yourself and your community, including sustaining the local job market, maximizing your spending power, and helping the environment.
- Strengthen the local job market: Did you know that nearly half of Americans work for a small business? In a volatile job market, support those creating employment opportunities.
- Support your community: Spending your dollars locally has a significant economic impact. Studies show that spending $100 at a small business generates $68 in economic activity, compared to only $48 at large retailers.
- Environmental benefits: Local shops are more likely to use sustainable packaging and delivery methods, contributing to a more eco-friendly approach compared to large retailers.
Hopes for small businesses this year
This year, for the first time in three years, individual holiday spending is projected to exceed pre-pandemic levels, with an average budget of around $1652. What does this mean for small businesses? It's a robust opportunity to secure sales in a volatile and fiercely competitive market.
Here are some optimistic prospects for small businesses this year:
The anticipated boost in sales
As the holiday season approaches, consumers gear up for a shopping spree. According to a recent Deloitte survey, 95 percent of customers have plans to make holiday purchases, which usually span from late November to December. This is great news for small businesses, as they heavily rely on the holiday rush to meet their annual sales goals. In fact, a substantial 75 percent of small businesses revealed that the holiday season plays a critical role in achieving their annual financial targets.
Consumer spending intentions
A remarkable 84 percent of customers prefer supporting small businesses, with industry experts forecasting potential $125 billion in small business earnings this year. When it comes to spending, 25 percent of shoppers aim to capitalize on October promotions, while the majority (66 percent) eagerly await November sales.
However, in 2023, the consumer holiday shopping window has shrunk from an 8-week pre-pandemic span to just 5 weeks, necessitating efficient inventory management for small businesses to meet demand and avoid stockouts.
This emphasizes the importance of swift, reliable delivery and logistics solutions to satisfy customer expectations during the busy holiday season. Services like Fluid Truck, with our flexibility and convenience, can help businesses deliver products swiftly during this busy holiday season.
Challenges for small businesses in 2023
The holiday season's hustle and bustle does not come without its challenges. Here are the current hurdles small businesses are facing this year:
Supply chain delays
Despite the hopes and optimism that come with the holiday season, small businesses are not without their challenges. According to a recent DHL survey, supply chain delays are the top concern for small business owners this holiday season, with 33 percent of respondents expressing worry about these delays. However, it's worth noting that this concern has dropped by 13 percent compared to the previous year. The tight job market, rising inflation, and global events have all eroded confidence in our supply chain.
While customers are eager to make purchases, 75 percent of Deloitte survey respondents are also concerned about the impact of inflation on their spending. Fortunately, compared to the previous year, these concerns have reduced by 11 percent. Small business owners are actively planning early to circumvent supply chain delays, with many stating that they initiated their holiday preparations as early as the second quarter.
Get over your holiday hurdles with Fluid Truck
In a world where labor is scarce, technology and automation are small businesses' best allies. Automation not only enhances the customer experience with seamless checkouts but also streamlines backend tasks and widens your sales channels.
Fluid Truck's cutting-edge telematics technology and user-friendly mobile platform ensure driver assignments, route optimization, and punctual deliveries are a breeze. Small businesses – or even chambers of commerce or shopping districts – can stage Fluid Trucks to be available for customers to bring large purchases home.
For businesses seeking a speedy holiday fleet, Fluid Truck's flexible rental options and extensive vehicle inventory are the answer. Whether you need vans, trucks, or specialized vehicles, Fluid Truck has the perfect solution for every small business. Be sure to check out our small business success stories on our blog!