Saving Local Independent Retail

Of all the small to medium-sized businesses in the US, approximately three million are retailers, and about 600,000 are manufacturers that supply them. Combined with all other small and medium-sized businesses (SMBs), these businesses make up about 99% of US employers.

The one constant is that the locally owned retailer will be there continuously serving their communities. They have always been and likely always will. The same can’t be said for the Chain stores. They will come and go, expand and contract, but the passion and perseverance of small business owners in the US endure. 

It is easy to see the appeal a chain store has to CPG brands. There is leverage. Make one deal, and your product is in hundreds to thousands of stores. This leverage and scale are irresistible, and most often mandated by strategy or competition. However, this sales volume comes at a cost- Margin, control, and limited selection. Regardless of that cost, the trade-off for the chance to score the bigger sale is overpowering. 

Looking deeper, there are two realities most brand S&M teams miss: consumers prefer to shop local, and local retailers serve up significantly better brand experiences. It is also true that customer experiences are better, product education is available, and communities benefit more from their local businesses. 

Now, more than ever, we must invest in local retailers—not just through product placement, but also by offering robust support. Support in the form of POS, advertising, marketing collateral, and education. Today, the path to purchase—search-social-store, almost always ends with the customer visiting a brick-and-mortar store. This makes the local retailer’s role indispensable.

Investing in local retailers means recognizing them as critical partners rather than customers. By providing tailored training programs, adequate marketing resources, and technology solutions designed specifically for SMBs, brands can empower local stores to deliver exceptional customer experiences. When retailers thrive, so do the communities around them—creating a cycle of loyalty, trust, and growth.

Ultimately, embracing and supporting local retail ensures a vibrant and resilient marketplace. It safeguards diversity in product offerings, preserves the unique character of neighborhoods, and builds deeper, lasting customer relationships. At a time where authenticity matters more than ever, the local retailer isn't just a channel for sales—they’re loyal brand partners, and the trusted heartbeat of the community.