5 data-backed ways small business owners can maximize holiday revenue in 2024

The holiday shopping outlook may seem bleak—nearly a quarter (23%) of consumers tell Intuit QuickBooks that they expect to spend less this holiday season due to rising costs—but it might just be a winter wonderland for small business owners.

As revenue contracts for small businesses in more than half the states in November's Intuit QuickBooks Small Business Index, entrepreneurs need to be proactive in their approach to the holiday shopping season.

And there is reason for hope. According to the Intuit QuickBooks Holiday Shopping Report 2024, 93% of American consumers plan to shop small in 2024. That's more than 240 million people across the country. Nearly a third (31%) of those shoppers specifically say they expect to spend more money at small businesses than they have in years past.

To maximize your holiday shopping revenue this season, we have five suggestions to encourage customers to spend at your small business, based on data insights from consumers in the Holiday Shopping Report.

1. Feature unique, high-quality gifts and products

Big retailers excel at mass production, usually at a lower price point than small businesses could possibly negotiate. But small businesses have something better: products and services that are unique, handcrafted, created with quality materials, and made with love. There's real joy in finding a one-of-a-kind gift for someone, and the data reflects that.

More than half (52%) of US consumers shop at small businesses to find unique gifts or offerings that can't be found at big retailers, the Holiday Shopping Report found. And another 36% of shoppers say they find better quality or value for certain products and services. Though you've likely already stocked up on inventory for the season, it's never too late to take pieces on consignment from a local artisan, develop your own new, high-quality product for the holidays, or highlight your one-of-a-kind service in seasonal advertising to bring your unique offerings to the fore.

2. Emphasize 'shop local' messaging

It feels good to support your community's economy and innovators by shopping locally—but don't take our word for it. Nearly half (47%) of consumers are choosing to shop small in the 2024 holiday season to support local businesses and contribute to the community, according to the Holiday Shopping Report. Separately, 36% of shoppers want to support entrepreneurs and independent business owners. Neighbors are ready to show up for the well-being of their community.

Remind holiday shoppers that you're part of the small business community by emphasizing the "shop local" messaging. Many states have badges or graphics you can use to identify yourself as a local business. On your emails, social media posts, and sidewalk signs, add a #ShopLocal hashtag. Tell your customers what a difference it makes to the success of your business when they choose to spend their dollars with you over a big box store.

Then get ready for an influx of shoppers on Small Business Saturday, which is November 30 this year. A third (34%) of consumers say they plan to shop small that day—and it's when they plan to do an average 39% of their holiday shopping.

3. Extend great customer service experiences

Let's face it: You and your employees are likely much more invested in your business and products than many customer-facing employees at big retailers. That passion is often what drew all of you to your specific business in the first place. During the holidays in particular, you can use that passion to better connect with your customers when they need help. In fact, stellar customer service is a favorite aspect of shopping small for a third of consumers, who appreciate getting more personalized attention or greater flexibility.

It's easy to become frazzled during the holiday rush, but connecting with your purpose for serving your customers can help you give them the best possible experience with your business. Take advantage of the time and flexibility you might have to make your customer service shine for shoppers.

4. Offer personalization

Personalized, customized, made-for-you: Nothing says "thoughtful" like a gift that's so clearly intended for one special recipient. And these kinds of deeply personalized touches are hard to come by with big retailers. They're another secret weapon for your small business.

A quarter (24%) of consumers are motivated to shop at smaller businesses for the opportunity to personalize or customize gifts or services. Taking the extra time (often with a slightly higher price tag) to offer engravings, different designs, personal photos, or a choice of service options can help both gifters and recipients feel extra special. You can get even more creative—and meet the expectations of 21% of small business shoppers—by hosting unique experiences, such as in-store events or workshops. 

5. Send targeted emails

If your reaction to the word "marketing" is to hide yourself in the broom closet, we've got great news: Your customers want to hear from you! Specifically, 54% of shoppers prefer to receive communications about seasonal deals and offerings through targeted emails, according to the Holiday Shopping Report.

Creating great targeted emails can take some practice. Here's the short version: Write a catchy subject line; include engaging, visual content; and give your customers a clear call-to-action, like a "Shop the Collection" or "Buy Now" button. Business owners consistently find that personalized email campaigns lead to more engagement with your brand, higher conversion rates, and a better return on investment than a generic email. 

Help customers say 'yes' to spending with your business

Given that more than 9 in 10 Americans plan to shop small for the holidays in 2024, it's your job to make it easy for them to spend those dollars at your small business. 

Pair your innate advantages as a small business—qualities like convenience (33%) and smaller holiday crowds (32%), according to the report—with our five tips to boost your revenue during the critical holiday shopping season.