Raleighwood Media Group + Raleighwood Event Group
Traditional & Digital Marketing + Commercial Event Planning Based in Downtown Raleigh
Tucked in a corner of Downtown Raleigh between the Warehouse District and Nash Square, Imurj has established itself as home to any and all emerging visual artists, performing artists and fans alike in the Raleigh area.
An article recently published by the American Independent Business Alliance (AMIBA) shed light on the importance of small businesses communicating the positive impact they have on local economies. Referenced as the “local economic multiplier effect“, the effect is a result of a greater percentage of revenue circulating through a local economy when money is spent at local businesses.
Research from Civil Economics states that the impact can come from three factors: direct, indirect, and induced impact.
Direct impact occurs when money is spent by local businesses to operate the business.
Indirect impact occurs when money spent by a local business at other local businesses re-circulate.
Induced impact occurs when consumers such as employees, business owners, and others spend their money in the local economy.
Such studies have taken place in Austin, Chicago, and Grand Rapids. On average, 48% of each purchase at a local business recirculated locally while less than 14% of a purchase at a chain business recirculated. It is important to note that percentage values do vary by the size of the local economy. The information garnered in these studies is that purchases through local business do contribute more funds towards creating jobs and wealth in a local economy as opposed to chain-operated businesses.
The Local Multiplier Effect at Retailers – click to enlarge
The Local Multiplier Effect at Restaurants – click to enlarge
As the “Shop Local” movement continues to gain momentum across the country and in Raleigh, it is important that local businesses should take advantage of these findings. They can calculate Raleigh’s “local economic multiplier” for various supplies to determine the amount that is returned to the economy. It is also a good idea for businesses to promote these findings in an accurate yet memorable manner so that consumers are driven to spending money locally. Using advertisements and messages that are heavily ridden with percentages and statistics and are not linked to reliable sources are less likely to remain in consumers’ minds for long.
Lerato Tsotetsi has recently joined the Raleighwood Media Group + Raleighwood Event Group team as our summer marketing associate. She is a recent graduate of NC State University, where she obtained a degree in Fashion & Textile Management from the College of Textiles.
Lerato has previously worked for the Shelton Leadership Center where she served as a program assistant developing marketing materials and handling press. She has also interned with various non-profits, focusing on social media marketing and event planning. Lerato developed a keen interest for marketing through these experiences as well as through projects and marketing competitions during her undergraduate career. She is also interested in the fashion industry as she has been heavily involved with the NC State fashion community, volunteering and coordinating fashion shows, participating in various seminars and company visits, as well as doing a few styling projects with local businesses. She looks forward to having more experiences with both fields and is excited to work on behalf of retail, restaurant, and hospitality clients with Raleighwood Media Group + Raleighwood Event Group.
In her free time, Lerato enjoys keeping up with fashion trends through social media, various magazines, and bloggers. She also enjoys downtime with a good book and is an avid runner. As community service is important to her, she also participates in volunteer projects with various youth projects and local animal shelters.
In her very first week with Raleighwood Media Group + Raleighwood Event Group, Lerato jumped in head first to the Raleigh Food & Wine Festival, creating social media posts leading up to the event, as well as spending a full day staffing the Sunday tasting event, tackling all sorts of assignments – from entry management to photo documentation to promotional table staffing – at Raleigh’s inaugural food and wine festival!
