Local Consumers are Building the Local Economy

When residents look around the Logan Square neighborhood, they see growth and development nearly everywhere. New restaurants and shops, community activities and cultural events, new and old residents working together to improve their homes and the community.

What’s driving the neighborhood and community growth?  I believe the residents of Logan Square are a large part of the answer. Residents are uniquely engaged in the community, and their loyalty and support for local businesses has been no small part in driving economic growth for Logan Square.

Shopping locally brings more than just economic growth to the community. It also encourages other new local businesses to invest in the neighborhood and contribute to the community prosperity by developing in the area. Some good examples of new local business development momentum are easily identifiable along Milwaukee Avenue as well as on Diversey and Fullerton Parkways.

Small, local businesses contribute to local communities significantly more than the big-box companies. Big retail corporations funnel their revenues back to their corporate headquarters and away from the community. Local stores contribute to the community, and local people who spend local money keep that money in the local economy.

According to the Retail Merchants Association, studies have shown that for each $1 spent at a local business, 45 cents is reinvested locally. Spending at companies without ties to a community results in little to no local revenue benefit.

The Extended-Benefit of Buying Local

When customers buy locally, there is a multiplicative effect that extends throughout the community.

For example, a resident in need of lip balm to combat an especially cold, dry Chicago winter can walk on over to the Dill Pickle Food Co-Op (@dillpicklecoop, 3039 W. Fullerton Ave.) and purchase a North Coast Organics (@NorCoastOrganic) vegan lip balm, which is packaged using a natural hemp vegan label printed by Pure Labels (@PURELabels) and marketing materials photographed by Alexander Gouletas.

By making this local purchase, the consumer contributes economically to the prosperity of at least four local businesses.  Certainly there are likely other local beneficiaries from this local purchase such as local support staff and potentially other supply sources which were used in producing, delivering, promoting and selling the lip balm product.

Hug Your Local Business Owner

So, next time you’re at your favorite restaurant, bar, gallery, shop, store or community event be sure to be sure to hug that local owner and let them know they’re appreciated. Patronize their businesses as they depend upon local consumers and know that in your individual way you are supporting the Logan Square community.

Photo: Adam DeRose