The Data Shows How The Pandemic And Recent Events Are Actually Impacting Small Businesses
Five Surprising Data Points From Yelp’s Recent Economic Report
Few companies have as much data into how businesses across the country are doing than Yelp does.
While you may only perceive it as a tech company that informs you of a businesses’ location, contact info, or hours of operation, Yelp does much more.
The company’s foray into reservations, delivery, and more enables it to have a unique view on foot traffic into stores, industry trends, and ultimately economic warning signs.
Last week, Yelp updated their Local Economic Impact Report with some interesting data that reveals how small and medium-size businesses are faring in the weeks and months since shelter-in-place orders began.
Here are five (of many) stats that I found interesting and worth sharing;
More than 20% of the businesses that were closed in April are now open.
Since May 25, there has been a 1,785% relative increase in searches for Black-owned businesses, compared to the three weeks prior.
An estimated 41% of businesses That have listed as closed on Yelp are permanent closures. Nearly half of these are restaurants.
Consumer interest in breweries and wineries have spiked significantly over the last few weeks.
Foot traffic back into retail malls, outlet, and thrift stores are up over 70% from prior weeks, indicating increased consumer confidence in physical in-person shopping.
The report has so much more data that could be of interest to you, particularly if you work in a small business or knows someone who does.
The statistics that I read over and over again focused on the businesses that closed their doors permanently. When you think about the sheer number of employees and families that are impacted, it’s hard to see how local economies will maintain in the short term as few alternative job opportunities are available.
Furthermore, based on recent spikes in cases in certain regions and speculation about a ‘second wave,’ it’s possible and likely that these numbers take a shift again as local experts reconsider re-opening plans and restrictions.
While we all remain positive and hopeful that the economic picture gets brighter, it’s important that we keep an eye on what’s happening and recognize how it could impact us.
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