While Black Friday and Click Frenzy dominate the sales calendar in Australia and New Zealand, another initiative, Small Business Saturday, is making waves globally, focusing on uplifting smaller businesses.

Introduced in the United States in 2010 by American Express, this event takes place annually on the Saturday following Thanksgiving, aiming to encourage consumers to “shop small” and support local businesses.

Why Small Business Saturday Matters

Small Business Saturday addresses the unique challenges faced by small enterprises that cannot compete with the deep discounts and extensive marketing campaigns of large retailers.

In Australia and New Zealand, small businesses are the backbone of the economy, representing a significant proportion of business activity. In Australia, small businesses (defined as those with fewer than 20 employees) make up 98.4% of all businesses, employ 41% of the workforce, and contribute about 32% to the nation’s Gross Domestic Product (GDP)​

In New Zealand, small businesses are even more prominent, with approximately 546,000 such entities comprising 97% of all firms. They provide nearly 30% of employment and contribute over a quarter to the country’s GDP

By fostering consumer support, Small Business Saturday helps boost local economies, create jobs, and celebrate the entrepreneurial spirit.

The initiative’s impact extends beyond a single day. For example:

• Economic Contributions: Small businesses contribute roughly 40% of the U.S. GDP, emphasising their vital role in economic resilience.

• Community Engagement: Shopping locally ensures that more money stays within communities, funding public services and enhancing quality of life​

International Success Stories

• United Kingdom: Launched in 2013, Small Business Saturday UK has grown steadily. In 2022, it reported £774 million spent on the day, showcasing its popularity and the tangible economic benefits for local communities.

• Canada: Small Business Saturday initiatives often align with broader “shop local” campaigns to strengthen regional economies and support Canadian entrepreneurs.

• Australia and New Zealand: Although not formally adopted, localised campaigns such as “Shop Small” and small business festivals echo the same sentiment, urging consumers to prioritise local vendors during peak shopping periods.

Future Trends and Opportunities

Small Business Saturday sets a benchmark for future retail strategies. Beyond its immediate economic impact, it creates a sustainable shopping culture that values local businesses.

As digital marketing and eCommerce evolve, small businesses can leverage tools like virtual storefronts, targeted social media campaigns, and partnerships to maximise their reach during this event.

By championing Small Business Saturday, Australia and New Zealand can cultivate a culture that supports local entrepreneurs year-round. The movement’s success across the globe demonstrates its potential to transform how we shop, ensuring that small businesses continue to thrive in an increasingly competitive marketplace.

*Reference data from U.S. Chamber of Commerce

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