As the threat of an economic downturn looms, many small business owners have become increasingly concerned about the impact of a potential recession on the critical holiday shopping season. These businesses often rely heavily on a winter sales bump to make ends meet. But this November, 73% of recently surveyed SMBs reported a sharp decline in consumer spending — and a record-breaking 41% were unable to pay their rent on time. What can small companies do to weather the storm and attract shoppers in a holiday season clouded by economic woes?
How Small Businesses Can Attract Holiday Shoppers in a Downturn
Seven strategies to stay competitive and draw in customers — even when budgets are tight.
December 16, 2022
Summary.
The holiday season is a critical time for many small businesses. But as the threat of an economic downturn looms, what can business owners do to attract holiday shoppers, who may be increasingly price sensitive? To explore this question, the authors surveyed 550 U.S.-based consumers and interviewed nearly 50 small business owners. Based on their findings, they identified seven strategies that can help local businesses stay competitive and draw in customers this year — even as budgets grow tighter.
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HBR Learning
Strategy Planning and Execution Course
Accelerate your career with Harvard ManageMentor®. HBR Learning’s online leadership training helps you hone your skills with courses like Strategy Planning and Execution. Earn badges to share on LinkedIn and your resume. Access more than 40 courses trusted by Fortune 500 companies.
How to develop a winning strategy—and put it to work.