Tips for shopping locally and finding unique gifts this holiday season

Every holiday season, gift shopping can feel like a mad dash, but a little intention behind what you and your family buy this year could make a big difference in your community.

Where you shop matters, especially for local businesses. While they make up 99% of businesses across the country, small businesses are only expected to see 41% of the $263 billion holiday season shoppers are projected to spend this year, according to an Intuit survey of consumers.

“We see firsthand how much the holiday shopping season matters for many of our customers — it’s a big part of their success,” said April Schneider, head of Wells Fargo Business. “This time of year is important for every business, but when you choose gifts from independent stores and local entrepreneurs, it can make an even bigger difference in your community.”

Here’s why you should shop locally this year, making the holiday season of small business owners a little brighter in the process.

Think outside the gift box

Some gifts, especially from local businesses, aren’t meant to be wrapped, but that doesn’t mean they’ll have any less impact. Instead of a surprise that fits in a box, consider a gift card or voucher so a loved one can have a memorable meal or experience long after the holiday season.

Where should you go? Think of favorite or special restaurants, arcades, nail salons, escape rooms, and other local options. Adding a few of these businesses on your gift list won’t just mean making a loved one’s day, it’ll help a local entrepreneur, too.

Explore makers markets and gift fairs

Buying local gifts doesn’t mean you have to skip the one-stop shopping convenience larger retailers are known for. Makers markets, craft shows, and other gift fairs offer opportunities to peruse the wares of many independent shops in a single trip. Oftentimes, makers at these events tailor their goods to holiday season shoppers.

Look on social media for events or peruse online directories or databases to find one in your area. Farmers markets or flea markets may also have local business owners offering gifts.

Shop the circular economy

You might already participate in the circular economy without even knowing it. When you shop for used or secondhand gifts, such as thrifting vintage clothes, furniture, or housewares, you’re not only being more sustainable, you’re also likely supporting a small business in your community, too.

Many secondhand stores are independent or regional. Used books, board or video games, clothes or jewelry, and other secondhand items are often cheaper or more unique than other gift options.

It’s an opportunity to support independent businesses

Many of us want to shop locally — whether it’s because we want to find that unique, extra-special gift or we’re looking for a last-minute present.

More than half (54%) of consumers in the Mastercard Consumer Collective Sentiment survey reported wanting to support independent entrepreneurs, and one in two are already supporting small businesses more than they did in the past.

Your support makes a difference at a crucial time

Shopping locally doesn’t have to be seasonal, but the holiday season happens to be the most important time for many businesses. Small business owners may expect the shopping season to make up for an unstable year or slower sales during other seasons.

In fact, the holiday season is important for the overall profitability of eight in 10 small businesses, according to the Small Business Administration’s Small Business Index. Small Business Saturday alone represents nearly a fifth of annual revenue for small businesses on average, according to the American Express Shop Small Impact Study.

Local purchases support jobs and families in your community

When you spend money with a locally owned business, most of that purchase stays within your community.

Research shows that purchases at these local independent stores create a ripple effect in their communities by returning more than three times as much money — from your purchase — into the local economy as larger chain competitors, according to the American Independent Business Alliance.

It turns out that shopping locally is what many shoppers already want. About seven in 10 (71%) shoppers surveyed in the Mastercard Consumer Collective Sentiment survey said they wanted to support their local economy compared to 59% with the national economy.

“It’s not just what we buy that matters, but where, too. Many consumers are looking for ways to make purchases that align with their values,” Schneider said. “When you give a gift from a local entrepreneur, it’s going to have an extra message behind it because you made that decision with intention.”