What is Small Business Saturday? (+5 Ways SMB Owners Can Take Advantage)

Is your business ready for Small Business Saturday? It might seem early, but now is the time to prepare for one of the year’s biggest events.

Small Business Saturday is like Black Friday for local businesses. It celebrates these establishments and encourages customers to shop at independent retailers. It’s a great way for small businesses to generate revenue and increase brand awareness.

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This post will explain everything you need to know about Small Business Saturday, including what it is and when it takes place. We’ll also include tips for creating timely marketing campaigns that promote your products and services during this event.

Small Business Saturday was created in 2010 by American Express following the financial crisis of 2007-2008. The company provided small business owners free personalized ads to promote their businesses online. It led to a significant surge in revenue for local businesses, and by 2013, the day was celebrated by communities across the United States.

Let’s look at some facts about Small Business Saturday that explain why this day matters to small business owners.

Small Business Saturday Facts

Here are some key facts that show why Small Business Saturday is important:

• Most businesses are small: 99% of U.S. businesses qualify as small businesses. In the U.S., a “small business” is any privately-owned organization that typically has less than 500 employees. These qualifications can vary slightly based on industry and revenue.
• Many small businesses struggle: About 20% of new businesses close within a year of opening. Small businesses usually experience short-term success but struggle to maintain staying power.
• Small businesses aren’t growing as fast: 39% of business owners plan to expand this year. That’s down from last spring and has steadily dropped over the past two years. Small business owners need events like Smal Business Saturday to compete with bigger brands.
• Consumers want to support small businesses: In 2023, 59% of people who knew about Small Business Saturday shopped at an independent retailer. People want to support small businesses; they just need to know how.
• Small businesses must overcome challenges: 84% of small business owners say inflation impacts their business. Promotional events like Small Business Saturday help them generate short bursts of revenue.

• Small business owners care about Small Business Saturday: 55% of small business owners expect Small Business Saturday to contribute significantly to their holiday sales.

• It’s tough to remain profitable: 70% of small business owners have made tradeoffs to maintain profitability. Those tradeoffs include increasing prices, working more hours, reducing marketing costs, and paying themselves a lower salary.

Now that you know what Small Business Saturday is, let’s discuss how to prepare for it in the next two sections.

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How Does Small Business Saturday Work?

Small Business Saturday is divided into three phases: preparation, execution, and analysis.

Step #1: Preparation

You should start planning for Small Business Saturday early in the fall (but it’s not too late to start now!)l. That will give you plenty of time to create a promotion, a catchy slogan, and whatever else you need to launch a successful marketing campaign.

We’ll dive into preparation later on in this post, but here’s a quick checklist for creating an effective marketing campaign:

• Identify your target audience.
• Set a goal for your campaign.
• Determine what “problem” you’ll solve.
• Create relevant content.
• Choose your distribution channels.
• Measure your success.

For an in-depth explanation, check out this guide for marketing a product or service.

Step #2: Execution

You should be busy on Small Business Saturday if you’ve prepared properly. Customers will look to take advantage of your deals or be interested in learning more about your business.

Small Business Saturday is different depending on the industry you’re in. In retail settings, you might offer a sale on a specific product or a discount if you bundle products together.

For service-based businesses, you might launch a promotion that generates brand awareness. You could offer free quotes, estimates, or discounts if someone books an appointment on Small Business Saturday. The idea is to offer something unique that solves a problem like high prices, low-quality products, or bad service.

Step #3: Analysis

Your work isn’t done just because Small Business Saturday is over. You should analyze your marketing campaign’s performance to make improvements for next year.

Here’s where a CRM can come in handy. It tracks interactions between your business and customers. It shows how they discovered your brand and which products and services they purchased. You can use this information to identify the best marketing strategies for your business and repeat those efforts next year.

Now, let’s take a closer look at how your business can prepare for Small Business Saturday.

How to Sign Up for Small Business Saturday

Any business can participate in Small Business Saturday. While there’s no official “sign-up form,” there are steps you can take to participate in events in your area.

Here are a few things we recommend:

• Get on the map: American Express has an interactive map showing small businesses throughout the U.S. You can add your business by setting up a listing profile here.
• Use free marketing resources: Sites like American Express offer free marketing resources for Small Business Saturday. You could also check out some of our free tools on the Thryv blog.
• Sign up for events: Your local Chamber of Commerce will likely share events for Small Business Saturday. Check these sites routinely and sign up for worthwhile events for your business.

All you need now is an effective marketing campaign. Let’s look at a few in the section below.

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Marketing Ideas for Small Business Saturday

Here are five ways you can take advantage of Small Business Saturday. Test a few of these to see what resonates best with your target audience.

1. Promote your business on social media.

One of the easiest ways to promote your business is through social media. You can use it to market to existing customers or attract more followers with online ads. Both are effective for Small Business Saturday; you just have to set a specific goal for your business.

For example, if you want to market to existing customers, you shouldn’t pay to advertise. Your customers will see your promotions because they already follow you on social media. On the other hand, if you want to grow your audience, you might invest in a paid campaign to reach people who don’t follow your business online.

Here’s an example.

While this post thanks customers for their support, it also announces that the business is extending its sale. This brand doesn’t need to pay to boost this post because its audience is its existing customers.

2. Offer a limited-time deal or discount.

Since Small Business Saturday occurs immediately after Black Friday, you should try to offer a deal or limited-time discount. Black Friday unofficially marks the start of the holiday shopping season, and people are looking for deals to save them money.

Most small businesses can’t launch a sale that competes with a big-box brand, and some seasonal businesses might not have the demand to do it, either. These companies must get creative and offer services that bigger brands might not provide.

For example, this landscaping equipment company offers free shipping on Small Business Saturday. This is a nice incentive for people who want their products delivered before the holidays.

3. Participate in local events.

There are plenty of local events that you can participate in for Small Business Saturday. Start by checking your local Chamber of Commerce or Googling, “Small Business Saturday events near me.”

You can also check social media for posts with the hashtag “#SmallBusinessSaturday.” Here’s an event we found on Instagram using that hashtag:

Events like trade shows and festivals are great for local businesses. You get to talk face-to-face with customers and close deals in person. These events also build brand awareness because you it’s a good place for people within your community to discover your business.

4. Partner with other businesses.

Another option is to partner with businesses in your area. You can collaborate on marketing campaigns and create deals that promote each other’s businesses.

Here’s an example from two kids’ clothing brands that partnered up last year. One brand (Milk Teeth) sells new clothes, and the other (Noomoon) resells secondhand donations. Customers can donate clothes from Milk Teeth and receive a 15% discount to Noomoon’s online store. That encourages customers to shop at Milk Teeth while donating their old clothes to Noomoon.

Your campaign doesn’t have to be complicated. If you’re looking for a simple solution, consider swapping business cards with another company. You can refer customers to each other’s businesses, helping to generate sales for both brands. It’s a low-touch marketing campaign and a good way to use up those extra business cards you have lying around.

5. Create marketing content.

Whether your season is at its peak or your business is in a slower time of year, Small Business Saturday is great for content marketing.

Why? Because even if you don’t have a deal to promote, you can still generate some buzz for your business.

The easiest way is to thank your customers for their support and remind them when Small Business Saturday is. I like how this Instagram post celebrates small business owners and thanks customers who shop locally instead of with big-box brands.

Getting Ready for Small Business Saturday

Small Business Saturday is an important event for small business owners. It generates revenue and brand awareness for local businesses. If this is your first Small Business Saturday, bookmark the date and take advantage of the tips in this post. Getting started early is crucial so you can prepare and launch a successful marketing campaign. Use our ideas for inspiration, and you’ll be well on your way to growing your business this holiday season.

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