The new life of local commerce: the same proximity, now at a distance
Posted: Thu Dec 26, 2024 4:29 am
The feeling of going into the grocery store near your house and being told “Good morning Tiago” or going into the café down the street and hearing “So boy, what’s it going to be? Is this the custom?” is a unique feeling, common in villages and city neighborhoods. This is local commerce at its most profound – full of close relationships and personalized service.
In an increasingly competitive market, local businesses imprint the historical identity and collective (and even family) memory of the place they are located in , presenting themselves as a differentiating service, with greater attention to the customer and concern for details.
The rebirth of local commerce in times of pandemic
The pandemic arrived without warning and caught everyone off guard – businesses had to reinvent themselves to survive and people changed the way they are, socialize and live. This has been a year full of changes – and consumer behavior is no exception .
And how is local commerce reacting?
Shopping at local stores has increased, both due to the proximity and japan whatsapp number database of stores – people are spending more time at home and avoiding long journeys. For example, in the last week of May, traditional food retail saw its turnover increase by 28% compared to the pre-pandemic period, according to Reduniq Insights.
In other words, through personalized service – the renowned personalized treatment and intimate environment ends up being even more valued at a time of greater social distancing and challenges that were once unimaginable – or even through the supportive attitude towards the difficulties that small businesses face at this time.
According to a study by Oney Bank, 82% of Portuguese people (surveyed) are willing to prioritize the "local/national production" criterion when spending on food.
Local commerce and delivery
We are experiencing a rebirth of the economy and local commerce . The pandemic has also disrupted supply chains, with local supplies gaining importance, thus opening the door to delivery of purchases from local businesses.
From a simplistic format such as a phone call or a message, in which the customer places an order for what they need to buy, to a more structured – and even technologically more advanced – format, such as an online store (your own, in a marketplace or even on social media), local businesses have found a new source of income in delivery.
And this delivery service maintains the identity of local businesses: "Good morning Tiago, here's your order" and "I brought your favorite cookies as a gift". The (almost) family relationship is transferred from the store to the delivery service. Furthermore, and in challenging times like today, receiving purchases is an increasingly valuable comfort.
Local commerce and e-commerce
E-commerce is undoubtedly a major trend these days. In fact, in many cases, it is the platform that has saved businesses during the pandemic. And the numbers don't lie : from 2018 to 2019, there was a 20% growth in online sales (B2C) and for 2020, growth of between 40% and 60% is expected , according to the CTT e-commerce Report.
And, as previously mentioned, purchases in local stores have increased their importance this year. Between March and August, purchases made in traditional stores saw a 44% increase compared to the same period in 2019 (SIBS Analytics).
So, is it possible to combine these two trends? Is it possible to bring intimate businesses, close and true relationships and a bit of the history of each neighborhood to the digital world? Yes. It is possible to transfer local businesses to e-commerce, without losing their identity!
Let us imagine, then, Portuguese emigrants scattered around the world, who do not have the opportunity to come to Portugal as regularly as they would like or even to show the new generations a little of the history and products of their homelands. These people – potential customers of local businesses – could benefit greatly from local businesses adopting e-commerce (since local customers can easily find the solution in the form of physical sales or delivery).
Thus, local businesses find an opportunity in this pandemic to transform themselves and find in e-commerce and digital a way to expand their area of influence and reach people who are far away with their stories – whether through an online marketplace/shopping mall – for those who do not have great technical knowledge, a lot of investment or the speed to be quicker to adopt digital – or through their own online store.
The future of local commerce is digital
We don't know for sure when this pandemic will end – the vaccine will bring greater comfort and safety to people, but it is still very uncertain how long it will take for vaccination to reach "mass" and what life will be like after this phase. Will we return to our pre-pandemic habits? Will we maintain many of our current habits? Or will we adopt new habits?
I believe the answer will vary from person to person, but in general it will be a combination of old, current and new habits. What is certain is that local businesses have adapted to this phase and will continue to change in the future. And e-commerce is a path that is here to stay , even for local businesses.
In the future (and already in the present), with the support of technology, merchants will maintain their personality and will be able to continue to create unique stories, increasingly closer to people, regardless of physical distances. There will be more neighbors and customers, in an increasingly larger neighborhood.
In an increasingly competitive market, local businesses imprint the historical identity and collective (and even family) memory of the place they are located in , presenting themselves as a differentiating service, with greater attention to the customer and concern for details.
The rebirth of local commerce in times of pandemic
The pandemic arrived without warning and caught everyone off guard – businesses had to reinvent themselves to survive and people changed the way they are, socialize and live. This has been a year full of changes – and consumer behavior is no exception .
And how is local commerce reacting?
Shopping at local stores has increased, both due to the proximity and japan whatsapp number database of stores – people are spending more time at home and avoiding long journeys. For example, in the last week of May, traditional food retail saw its turnover increase by 28% compared to the pre-pandemic period, according to Reduniq Insights.
In other words, through personalized service – the renowned personalized treatment and intimate environment ends up being even more valued at a time of greater social distancing and challenges that were once unimaginable – or even through the supportive attitude towards the difficulties that small businesses face at this time.
According to a study by Oney Bank, 82% of Portuguese people (surveyed) are willing to prioritize the "local/national production" criterion when spending on food.
Local commerce and delivery
We are experiencing a rebirth of the economy and local commerce . The pandemic has also disrupted supply chains, with local supplies gaining importance, thus opening the door to delivery of purchases from local businesses.
From a simplistic format such as a phone call or a message, in which the customer places an order for what they need to buy, to a more structured – and even technologically more advanced – format, such as an online store (your own, in a marketplace or even on social media), local businesses have found a new source of income in delivery.
And this delivery service maintains the identity of local businesses: "Good morning Tiago, here's your order" and "I brought your favorite cookies as a gift". The (almost) family relationship is transferred from the store to the delivery service. Furthermore, and in challenging times like today, receiving purchases is an increasingly valuable comfort.
Local commerce and e-commerce
E-commerce is undoubtedly a major trend these days. In fact, in many cases, it is the platform that has saved businesses during the pandemic. And the numbers don't lie : from 2018 to 2019, there was a 20% growth in online sales (B2C) and for 2020, growth of between 40% and 60% is expected , according to the CTT e-commerce Report.
And, as previously mentioned, purchases in local stores have increased their importance this year. Between March and August, purchases made in traditional stores saw a 44% increase compared to the same period in 2019 (SIBS Analytics).
So, is it possible to combine these two trends? Is it possible to bring intimate businesses, close and true relationships and a bit of the history of each neighborhood to the digital world? Yes. It is possible to transfer local businesses to e-commerce, without losing their identity!
Let us imagine, then, Portuguese emigrants scattered around the world, who do not have the opportunity to come to Portugal as regularly as they would like or even to show the new generations a little of the history and products of their homelands. These people – potential customers of local businesses – could benefit greatly from local businesses adopting e-commerce (since local customers can easily find the solution in the form of physical sales or delivery).
Thus, local businesses find an opportunity in this pandemic to transform themselves and find in e-commerce and digital a way to expand their area of influence and reach people who are far away with their stories – whether through an online marketplace/shopping mall – for those who do not have great technical knowledge, a lot of investment or the speed to be quicker to adopt digital – or through their own online store.
The future of local commerce is digital
We don't know for sure when this pandemic will end – the vaccine will bring greater comfort and safety to people, but it is still very uncertain how long it will take for vaccination to reach "mass" and what life will be like after this phase. Will we return to our pre-pandemic habits? Will we maintain many of our current habits? Or will we adopt new habits?
I believe the answer will vary from person to person, but in general it will be a combination of old, current and new habits. What is certain is that local businesses have adapted to this phase and will continue to change in the future. And e-commerce is a path that is here to stay , even for local businesses.
In the future (and already in the present), with the support of technology, merchants will maintain their personality and will be able to continue to create unique stories, increasingly closer to people, regardless of physical distances. There will be more neighbors and customers, in an increasingly larger neighborhood.