#MyMoneyStaysLocal Campaign Debuts, Reminding Consumers to Support Small Businesses

With the coronavirus pandemic still heavily impacting American life, small businesses across the nation continue to be among the hardest hit. Not only have closures hurt local businesses but so have shifting consumer habits. For example, rises in online shopping and delivery services have increased as a result of the crisis. While these activities can include small and local businesses, more often than not, it’s been major corporations such as Amazon that have seen the biggest boosts. That’s why the small business networking site Alignable recently unveiled a new campaign: #MyMoneyStaysLocal.

The #MyMoneyStaysLocal effort is not only aimed at reminding consumers to support the small business in their communities but also encourage fellow business owners to do the same. While this has been important in the past, it could very well be a saving grace for some operations during this incredibly difficult time. According to survey data from Alignable, 3% of small businesses have permanently closed since the start of the pandemic while 40% are at risk of running out of cash by the end of this month.

As part of the campaign, Alignable is inviting businesses and consumers to calculate how much of their spending takes place in the community. As an example, offering their own figures, the company calculates that 66% of its spending stayed in its home market of Boston last month.

For businesses, the spreadsheet for finding this number breaks down into local expenses (such as payroll, rent, and supplies for local vendors) and non-local expenses (web hosting, communications, etc). Similarly, the consumer edition highlights purchases from local and non-local businesses. In either case, “local” is defined as within 25 miles of your location — although this is surely malleable depending on the situation.

Speaking to the need for the #MyMoneyStaysLocal initiative, Alignable’s co-founder and CEO Eric Groves said in a statement, “Local economies desperately need everyone to switch back to shopping locally to help fuel their recovery. People need to realize local businesses spend 50% or more of what they earn, on average, back in their own communities, causing much-needed cash to circulate throughout their local economies.” Groves went on the note, “In comparison, online spending drains this cash from your community and sends it off to the headquarters of these huge corporations.”

Of course, Alignable isn’t the only company looking to bring customers back to local shops and restaurants. One notable small business ally has been American Express, who is currently incentivizing cardholders to Shop Small with a $5 statement credit that can be triggered up to 10 times. However, Amex’s definition of a “small” business can be a bit loose and is not restricted to purely local offerings. Nevertheless, the perk seems to fit perfectly with the #MyMoneyStaysLocal movement.

Although hashtags and mottos won’t save small businesses on their own, the sentiments behind efforts like Shop Small and now #MyMoneyStaysLocal are important. For one, it may help consumers realize just how endangered and in need of support their local shops are. Additionally, turning to the silver lining, these campaigns present a chance for businesses in a given community to come together and explore future collaborative possibilities. With that in mind, it may serve consumers and small businesses well to calculate their local spending numbers and see how they can personally raise these figures for themselves.

Also published on Medium.

Support local, help small business owners and your community especially in these hard times.

Comments are closed.


Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded DyerNews.com in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

Hawaiian Airlines Introduces Enhanced Bag Benefit for Cardholders

When it comes to travel credit cards, there are several routes that consumers can take. For some, a generic catch-all card may make sense, while others may prefer to leverage their brand loyalty by adding a co-branded travel card to their wallet. With the latter, travelers can often enjoy perks specific to their preferred airlines or hotel, allowing them to save money and/or time. Case in point: Hawaiian Airlines and...

Debt Payoff App Tally Raises $80 Million

A well-known FinTech app that offers debt consolidation to consumers has just secured a major investment. Today, Tally announced that it had raised $80 million in its latest funding round. The Series D was led by Sway Ventures, while Menora Mivtachim along with previous investors Kleiner Perkins, Andreessen Horowitz, Shasta Ventures, Cowboy Ventures also participated. With the new funding, Tally plans to further expand its debt pay-down platform and continue...

Bilt Rewards Announces Rent Day Offers, Increased Earning Rates

Six months ago, the Bilt Mastercard became available to more consumers after Wells Fargo came aboard to issue the card. Since then, the unique rewards card has continued to expand its offerings, including debuting its own travel portal and adding travel transfer partners. Now, Bilt has unveiled its Rent Day promotion, that will bring new benefits and perks to cardholders. The Bilt Mastercard is a rewards credit card that, most...