Retailers with community connections benefit by attracting customers with heightened loyalty, who don’t mind paying extra.
This idea of ‘mutual support’ where businesses support the local community and consumers in turn support the business was explored in a recent study from the University of Alabama in Huntsville.
Researchers surveyed more than 200 non-student adults on a business they felt ‘connect to’ rated on the four community social functions: socialisation, mutual support, social participation and social control. Finding as much as 40% of retailers’ support comes from these values.
Surprisingly, the study found larger retailers had more readily embraced these community practices and sponsorship than smaller stores.Read more at University of Alabama