what seattle really thinks about local

7/28/2019 What Seattle Really Thinks About Local

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Presented by:

What Seattle Really Thinks About Local



seattlenetwork.org



BRANDING · MARKETING · DIGITAL · VIDEO · SOCIAL

TRAYcreative.com

WE

KNOW

LOCAL



Purpose and Content

Why we’ve undertaken the study

This study is part of Seattle Good Business Network’s efforts to provideSeattle’s locally owned businesses with the marketing insight they need

to more effectively compete against non-local chains and corporations.

What we’ve measured

• How Seattle-area consumers define the term local.

• The importance of purchasing from locally owned businesses inSeattle / King County.

• Specific consumer segments within the Seattle market.

• How much more, if any, consumers are willing to spend for locallysourced products and services.

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Methodology

Technique: Online Survey

Criteria:

• King County residents: 75% Seattle; 25% King County outside of Seattle

• Age: 18+ years; reflective of King County age demographics

•

Have primary or shared shopping responsibility in householdFielded: April 25 - 30, 2013

Sample Size: 495 completed interviews

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What Are They Buying?

Purchased/Used In Past 6 months

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25%

31%

32%

33%

38%

46%

48%

49%

51%

70%

72%

82%

85%

88%

97%

Children’s clothes/toys

Professional services

Home services

Fitness services

Home furnishings

Pet products/services

Beauty salon/spa/massage

Financial services

Automotive

Healthcare services

Books/music/videos

Personal care products

Clothing/shoes/accessories

Restaurant/bakery/coffeehouse

Groceries

Q. Which of the following categories have you purchased or used in the past 6 months? Base: All respondents



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Why do they shop

where they do?

Q. When shopping for products or services, what are your 3 most important factors in deciding where to shop? Base: All respondents



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Low prices

60%




9

Quality products/services

62%




10

Convenient location

63%




11

Locally owned

12%




Other Factors

Variety of products/services

Reputation

Knowledge/expertise

Return policy

Products in stock

Hours

28%

21%16%

13%

12%

8%




What Is Local, Anyway?

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7%

15%

15%

21%

42%

65%

79%

Non-local company, local employees

Locally owned, national franchise

Non-local, sells locally made items

Global company headquarters in area

Multiple NW/West locations

Multiple area locations

Locally owned in area

“Local” is…

Q. How “local” is a business if it is… Top 3 box summary (8-10, on a 10 point scale where 1 means “Not at all local” and 10 means “Extremely local”)

shown. Base: All respondents



How Important Is It to Shop Local?

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Q. Compared to other things in your life, how important do you think it is to shop at locally owned businesses? Base: All respondents

13%

Unimportant

29%

Neutral

58%

Important



What Are Their Attitudes About Shopping Local?

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52%

49%

42%

35%

31%

31%

30%

29%

Makes me feel good

Helps jobs/economy

Like to tell others about cool local businesses

Wish more online options were available

Online has better price and selection

Online shopping is more convenient

Shopping local is more environmentally responsible

Want them to stay in business

Q. For each of the following statements, please tell us how much you agree or disagree. Top 3 box summary (8-10, on a 10 point scale where 1 means

“Strongly disagree” and 10 means “Strongly agree”) shown. Base: All respondents



What Are the Main Benefits to Shopping Local?

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81% 80%

45%

39% 38%35%

28%

Enhance the localeconomy

Support mycommunity

Creates self-reliance

Makes me feelgood

Close to myhome/work

More personal Better for theenvironment

Q. What are the main benefits of shopping at a locally owned business for you? Q. What, if anything, prevents you from shopping at a locally owned

business? Base: All respondents



What Holds Them Back From Shopping Local?

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Q. What are the main benefits of shopping at a locally owned business for you? Q. What, if anything, prevents you from shopping at a locally owned

business? Base: All respondents

52%

27%23%

20%17%

Costs more/higher prices Inconvenient location No local options Less convenient hours Unsure which stores arelocal



Will They Pay More For Local Options?

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Q. In general, how likely are you to pay more for products or services offered by locally owned business? Base: All respondents

46%

LikelyUnlikely

21%

Neutral

33%



How Much More Are They Willing To Pay?

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Among those willing to pay more, they are willing to pay:

Q. On average, how much more are you willing to spend for these products or services offered by a locally owned business?

Base: Those who are likely to pay more at locally owned businesses

16+%

More

1 - 9% More 10% More 11-15% More

25%16% 36% 23%



What % of Their Shopping Goes to Local?

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Q. In the past 6 months, approximately what percentage of your purchases have been from locally owned businesses in each of these categories? Mean

percent (from 0% to 100% purchased from locally owned businesses) shown. Base: All respondents/Variable base size

21%

22%

23%

26%

26%

37%

38%

38%

41%

48%

55%

64%

80%

82%83%

Clothing/shoes/accessories

Personal care products

Home furnishings

Books/music/videos

Children's clothes/toys

Professional services

Financial services

Groceries

Pet products and services

Automotive

Fitness services

Restaurant/bakery/coffeehouse

Healthcare services

Beauty salon/spa/massageHome services



Three Groups You Need to Know

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Q. When deciding where to shop for products or services, how important is it that a business is locally owned? Top 3 Box, Mid 4 Box, Bottom 3 Box.

Base: All respondents

Fence Sitter (67%)Price Shopper (12%) Local Loyalist (21%)



Local Loyalists: Demographics

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Base: Local Loyalists

Average Age: 50 years

Gender: Female: 53%Male: 47%

Residence: Seattle 82% King County 18%

Area Tenure: 25 years in King County (avg.)34% have been in King Co. 11-20years32 years in Pacific NW (avg.)

29% have been in PNW 11-20 years

HouseholdIncome: $100,260 (avg.)



Local Loyalists: Shopping Factors

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Local Loyalists are more likely than other groups to seek out

locally owned businesses, and to value the knowledge andexpertise of a business.

63%60%

40%34%

26%

62% 63%60%

12%16%

Quality products/services Convenient location Low prices Locally owned Knowledge/expertise

Local Loyalists All Shoppers

Q. When shopping for products or services, what are your 3 most important factors in deciding where to shop? Base: Local Loyalists



Local Loyalists: The Importance of Local

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Relative Importance of Shopping Locally Owned Businesses

Unimportant Neutral

90%

Important

Q. Compared to other things in your life, how important do you think it is to shop at locally owned businesses? Base: Local Loyalists

10%



Local Loyalists: Willingness to Pay More

25

Willingness to Pay More at Locally Owned Businesses

1%

Unlikely

20%

Neutral

79%

Likely

Q. In general, how likely are you to pay more for products or services offered by locally owned business? Base: Local Loyalists



Local Loyalists: Attitudes About Local

Local Loyalists are extremely motivated by a sense of duty to

their community.• Shopping local makes me feel good: 85%

• It helps with jobs and the economy: 85%

• I like to tell others about cool local businesses: 75%

• It’s more environmentally responsible: 65%

• I’ll shop around to find local options: 56%

• I shop local so the owners can stay in business: 55%

• I wish more online options were available: 55%

• I will pay more at locally owned businesses: 50%

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“Strongly disagree” and 10 means “Strongly agree”) shown. Base: Local Loyalists



The Takeaway

Local Loyalists…

Are your core customers – those already patronizing your business.

Keep them loyal by reinforcing how you financially support thecommunity and employees, communicate where your products comefrom, how you impact the environment, offering new ways to shopyour product and service offerings, and supporting your employees.

They are most motivated when you do the following:

• Ensure that dollars flow back to local economy: 76%

• Stock locally sourced products: 74%

• Offer products/services online: 71%

• Offer benefits to your employees: 69%

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Q. How likely would the following cause you to shop more often at locally owned business? If the business… Base: Local Loyalists




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Fence Sitter (67%)Local Loyalist (21%)Price Shopper (12%)



Base: Price Shoppers

Price Shoppers: Demographics

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Age: 48.5 (avg.)

Gender: Female: 40% Male: 60%

Residence: Seattle 61% King County 39%

Area Tenure: 27 years in King County (avg.)33 years in Pacific NW (avg.)




Price Shoppers: Shopping Factors

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Price Shoppers are more likely than other groups to base

purchase decisions on value – the best available mix of lowprices, high quality and good selection. Locally owned is not

important to them.

Q. When shopping for products or services, what are your 3 most important factors in deciding where to shop? Base: Price Shoppers

73% 73%

54%

44%

0%

60% 63% 62%

28%

16%

Low prices Convenient location Quality products/services Seek variety ofproducts/services

Locally owned

Price Shoppers All Shoppers



The Takeaway

Price Shoppers…

Are a difficult audience to convert. Their priorities and values representlarge hurdles for locally owned businesses to overcome. Your efforts arebetter spent elsewhere.

However, there are a few things you could do to attract some of them:

•

Have 5-star reviews: 36%• Have a local rewards program: 34%


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“Strongly disagree” and 10 means “Strongly agree”) shown. Base: Price Shoppers




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Local Loyalist (21%)Price Shopper (12%) Fence Sitter (67%)



Fence Sitters: Demographics

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Base: Fence Sitters

Age: 48.5 years

Gender: Female: 51% Male: 49%

Residence: Seattle 71%

King County 29%

Area Tenure: 26 years in King County (avg.)30% have been in King Co. 0-10 years31 years in Pacific NW (avg.)23% have been in PNW 0-10 years




Fence Sitters: Shopping Factors

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Q. When shopping for products or services, what are your 3 most important factors in deciding where to shop? Base: Fence Sitters

64% 63% 62%

7%

60% 62% 63%

16%

Low prices Quality products/services Convenient location Locally owned

Fence Sitters All Shoppers

Locally owned is somewhat important to them.



Fence Sitters: The Importance of Local

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10%

58%

Important

Fence Sitters are less likely than Local Loyalists to say that

shopping locally owned businesses is important to their lives,but they still find it important.

Unimportant

10%

Neutral

32%

Q. Compared to other things in your life, how important do you think it is to shop at locally owned businesses? Base: Fence Sitters



Fence Sitters: Willingness to Pay More

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Willingness to Pay More at Locally Owned Businesses

44%

LikelyUnlikely

17%

Neutral

39%

Q. In general, how likely are you to pay more for products or services offered by locally owned business? Base: Fence Sitters

S A d Ab l



Fence Sitters: Attitudes About Local

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“Strongly disagree” and 10 means “Strongly agree”) shown. Base: Fence Sitters

Fence Sitters shop local because they want to help the

community, but they want more convenient options.• Shopping local makes me feel good: 47%

• It helps with jobs and the economy: 44%

• I like to tell others about cool local businesses: 38%

• I prefer the convenience of online shopping: 34%

• I wish more online options were available: 32%

• Online has better price and selection: 31%

Th T k



The Takeaway

Fence Sitters…

Represent the largest potential audience segment for your business.They have some inclination to shop at locally owned businesses but justneed a few more incentives. They want to support local businesses butthey want it to be easy.

How to connect with them:


• Ensure that dollars flow back to local economy: 45%

• Have a local rewards program: 44%

•Have 5-star reviews: 42%

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Th T k



The Takeaway

Fence Sitters…

Additional ideas to consider:

• Reinforce how your personal involvement in your business leads to ahigher level of quality products and services.

• Show how you are interconnected with the local community from an

economic and personal standpoint.• Reduce the perception that your prices are substantially higher than

non-local competitors.

• Use social media and review sites to inform the community aboutwhat you offer and the level of your quality.

• Consider ways that your customers can share their good feelingsabout shopping local.

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W L k F d t O i C ti !



We Look Forward to an Ongoing Conversation!

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David Bauer @davidrbauer

Paula Rosecky

4703 Ballard Ave NWSeattle, WA 98107

Phone: 206.706.7618

www.hemispheresinsights.com

[email protected]

http://www.hemispheresinsights.com/

mailto:[email protected]

mailto:[email protected]

http://www.hemispheresinsights.com/

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