Shop Local Initiative Brings $45,000 to Lincoln Square Businesses

Christmas isn't over for several small businesses as a new shop local initiative put more than $45,000 back in the community this holiday season. 

The Lincoln Square Ravenswood Chamber of Commerce sponsored a program that rewarded people for keeping their dollars in the neighborhood—with 107 participants in its first year.

The Unwrap Lincoln Square Ravenswood program gave shoppers a $50 restaurant gift card if they spent $300 in at least three local businesses.

The offer applied to the first 150 people who submitted receipts for purchases from Nov. 23 to Dec. 24. All receipts had to be turned in to the chamber by Jan. 11. 

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“To get to 107 people was really exciting for us,” said Rudy Flores, executive director of the chamber. “For us, that’s why we work in this field.”

The program reached 98 stores for an average transaction of $82.30 per store. The participants racked up $39,835.27 in purchases, and with the chamber’s $5,350 expense on gift cards, the total spent in the community for the program was $45,185.27. 

Flores said several receipt envelopes included ‘Thank You’ cards from residents. And with the chamber purchasing the restaurant gift cards, local eateries also benefitted from the initiative. 

The gift cards will boost the businesses during a typically show time of the year, Flores said.

The chamber purchased gift cards from Himmel’s, Rockwell’s, Torquay, Bad Dog Tavern and several others across the neighborhood.

Flores and his staff have already decided to continue the program next year. The only change he foresees is a more aggressive marketing campaign. This year, chamber printed 75 signs and promoted the initiative on social media and their website. 

In the program’s inaugural year, he said the chamber was careful with the 150-person cap and marketing expenses. Next year, they’ll consider adding the program to their CTA advertising. If the chamber expanded the program to more people, say 250, more than $100,000 could go back into the community.

The initiative works, according to a study by the Institute for Local Self Reliance. Neighborhoods with a ‘buy local’ program have an uptake of more than 5 percent revenue.

A 2004 study in Andersonville compared the amount of every dollar that goes back into the economy for both local and chain businesses.

Researchers found $68 out of every $100 spent in a local business went back into the Chicago economy. That’s compared to a chain store, where $43 of every $100 remained in the community.

The Unwrap Campaign is a Chicago-wide initiative sponsored by Eat, Drink and Buy Local, a nonprofit organization that educates the public on shopping local. 

Unwrap Lincoln Square Ravenswood by the numbers:

• 484 receipts turned in from 107 participants
• Highest participant spent $630 in holiday shopping
• Average amount of total spending was $372.29
• 4.5 average number of stores visited
• 70 percent of businesses were members of the chamber
• Shoppers went to 98 stores
• The average transaction was $82.30