Shopping local helps Napa business, economy and community

Let’s shine a light on something that might sound a bit dry at first but is actually pretty dynamic: the multiplier effect. If you’re shopping or doing business locally, you’re already contributing to it.

No, I’m not asking you to do math—promise! And there’s definitely no test.

So, what is the multiplier effect? It’s a way to measure how spending within a community sparks even more economic activity. When you spend at a locally-owned business, much of that money stays right here in Napa Valley. It helps create jobs, support families and drive community development — all while giving our local economy a boost.

Here’s an interesting stat: research shows that money spent at local businesses circulates in the community 2 to 4 times more than money spent at non-local companies. And studies suggest that for every dollar spent locally, there’s an additional economic impact of $1.20 to $1.50. That’s a lot of bang for your buck.

The national push to support small businesses has even inspired the Season of Small Business, launched by the U.S. Small Business Administration in 2023.

This initiative builds on the success of Small Business Saturday and encourages Americans to support local businesses throughout the holiday season, the most important time of year for many small retailers and service providers.

Why is this so important? For many small businesses, the holiday season makes up a huge chunk of their annual revenue. In fact, 8 out of 10 small businesses say this time of year is critical for their overall profitability. Every purchase you make, no matter how small, adds up to help keep these businesses thriving.

Local businesses are more than just places to shop — they’re a cornerstone of our Napa Valley community. Think about how often you’ve met friends or colleagues at a local coffee shop or restaurant. These spaces don’t just serve coffee or food; they bring people together.

Many of our Napa Valley businesses also sponsor events, support charities and provide gathering spots for neighbors to connect. Shopping locally helps sustain this sense of community.

It’s not just about the social benefits, either. Local businesses often prioritize sustainable practices, and source their goods and services from nearby, reducing transportation needs and lowering carbon footprints. Shopping local is a win for the environment, too.

And let’s not forget how much innovation small businesses bring to the table. Napa Valley entrepreneurs are constantly introducing fresh ideas, unique products and creative services. Supporting them helps keep our marketplace diverse and dynamic.

So, next time you’re deciding where to shop or dine, remember that every dollar spent in Napa Valley is an investment in our community. It’s about more than just a transaction — it’s about keeping our local economy strong, supporting our neighbors, and discovering distinctive items and experiences.

Now if that’s not justification enough to get out and shop, I don’t know what is!