It Takes a Village: The Power of Collaboration
By Ashton Carter
Locally-owned and operated small businesses are the bread and butter of Canadian communities and the Canadian economy at large. Here in Northern Ontario, the difficulties small businesses face are amplified by our population and distance from larger cities, the cost and availability of goods and services, and large corporate entities with no community ties that operate in our beloved Algoma region. To combat these challenges, local businesses must diversify and adapt on a day-to-day basis. One of the strategies small businesses employ to this end is as simple as it is effective - working together.
Homespun Treasures and Sugar, two locally owned small businesses here in the Soo, recently collaborated to boost their presence in the downtown area by advertising each other's products in their respective stores through special discount promotions for purchasing goods at both locations. By combining their efforts, both businesses were able to direct new shoppers into their respective stores and effectively boost their sales.
“Not only were we able to partner with our neighbours and cross-promote each other, we were able to reach an additional clientele that we don't aim for on a regular basis.” Jeannette Oriazetti, owner of Sugar and Jeannette’s Custom Cakes, commented on her experience teaming up with her neighbour across the street. “Meeting all of the new people who are just hearing about us now after being open for a year has been such a positive experience.”
Mane Street Cafe and Tamar’s Trends also joined forces early this month to host a couples bouquet building event themed around Valentine’s Day. The idea was straightforward and effective - combining the special talents of both businesses to create a unique community networking experience for new and returning customers. The event, hosted in Mane Street Cafe’s award-winning venue, was a great success.
Why is this important? Very simply, Canada can’t afford to lose its main street storefronts. Here are the numbers: according to StatsCan reporting in 2019, small businesses contributed 36.7% to the Canadian Gross Domestic Product (GDP). During a 4-year period from 2015 to 2019, small businesses contributed 53.2% of the GDP in the goods-producing sector and 51.8% in the services-producing sector. As of December 2021, 97% of the 1.21 million employer businesses in Canada are classified as small businesses, compared to 2.1% of that 1.21 million being medium and large-sized enterprises. Additionally, Canadian Urban Institute (CUI) released a report in 2023 stating that for every $1 spent at locally owned small businesses, 66 cents stayed in the community, compared to 11 cents on the dollar when spent at Big Box stores or other businesses owned by large corporations.
What this data reveals is a clear difference in the long-term benefits of small and large business for the communities these businesses operate within. Canadians can’t count on large corporations to reinvest their profits to match this difference. The average small business here in the Soo is run from top-to-bottom by actual members of this community; these are people you know and love, who live and breathe the same concerns and hopes for a vibrant, prosperous North. It’s up to the community itself, with the support of the municipality and province, to reinforce the staying power of the brick and mortar storefront. If we want a stronger local economy, the path to that goal begins with collaboration.
“I think it’s about viewing your neighbours not as competition but as partners.” David and Ruth Nicholson of Homespun Treasures, a thoughtfully curated home decor and gift shop in the Heritage Block, believe that it’s important for local businesses to show a united front in the downtown. Whether through cross-promotion, events and networking, or simply acknowledging and supporting the strengths of other storefront owners, the principle is easy to understand. When it comes to main street businesses, we are stronger together than we are apart.