Small Business Reacts to 2012 Election Results

THE RESULTS ARE IN! Small Business Reacts to Election Results. With all of the election polling that was going on, we were inspired. So we put together a quick poll of our own. We asked small businesses across the country how they'd be impacted by the presidential election results. Are they dusting off those "Help Wanted" signs? Or will they delay the groundbreaking on their second location? Well, the results are in, and you'll be amazed at the trends we discovered. Inc. cargO a thinking partnership PRE-ELECTION With the election still up in the air, we wanted to know how small business felt going into election day. At 58%, it appeared small business optimism would once again show its strength, regardless of who was in the White House. However, post election results would prove otherwise. What was your outlook on the future of your business? What was your outlook on all US Small Business? What was your outlook on the US Economy? 7.0% 7.0% 4.7% 7.0% 20.9% 18.6 20.9 25.6* 20.9% 30.2% 16.3% 37.2% 41.9% 37.2% I Very Pessimistic I Pessimistic I Neutral 1 Optimistic I Very Optimistic What was your projected business performance pattern for the next 12 months? 9.3% 14.0% 32.6% 34.9% 9.3% I Decline I Flat I light Growth I Substantial Growth (+10%) Uncertain "Why are small businesses important to an economy? Not because small itself is beautiful. Rather, it's because the best small firms become big." - Catherine Rampell The Economist When business owners woke to see the election results, their renowned POST-ELECTION optimism plummeted to 27%. Even"neutral" respondents lost confidence overnight as they went from 30% to a mere 189%. How do you see the results impacting your business over the next 12 months? How do you see the results impacting all US Small Business over the next 12 months? How do you see the results impacting the US Economy over the next 12 months? 9.3% 7.0% 7.0% 27.9 16.3% 14.0% 18.6 39.5% 44.2% 11.6* 14.0 18.6% 25.6 23.3% 23.3% I Very Pessimistic I Pessimistic I Neutral 1 Optimistic I Very Optimistic Now that the results are in, what is your business performance pattern for the next 12 months? 18.6% 18.6 30.2% 20.9% 11.6% I Decline Flat Slight Growth I Substantial Growth (+10%) Uncertain " The small-business community exhibited an overwhelmingly negative response to the presidential election through a dramatic drop in owner confidence..." - November 2012 NFIB SMB Optimism Index Survey* THE ÎNSIGHT Historically, SMB have always expressed a strong degree of confidence and optimism in their businesses, and themselves. This new void of confidence is staggering. The fact that this critical piece of the US economy remains so uncertain about their futures should be the driving force behind any efforts to engage them. They will be reluctant to spend. And when they do spend, they will be more judicious than ever before. The brand who understands this, who can give them the hope and the help they need, can cement themselves as an invaluable partner for years to come. Post-election optimism on personal business: Optimism on personal business: A decrease of 52% vs. pre-election optimism A decrease of 63% vs. April Study's optimism April Study 75% optimistic Pre-Election Poll 58% optimistic Post-Election Poll 28% optimistic Post-election optimism on US Economy: Optimism on US Economy: A decrease of 18% vs. pre-election optimism A decrease of 38% vs. April Study's optimism April Study 37% optimistic Pre-Election Poll Post-Election Poll 28% optimistic 23% optimistic Optimism on personal business growth: Post-election optimism on personal business growth: A decrease of 24% vs. pre-election optimism A decrease of 40% vs. April Study's optimism April Study 85% optimistic Pre-Election Poll 67% optimistic Post-Election Poll| 51% optimistic Inc. cargO a thinking partnership At 8 Million strong and growing, Small Business Owners (SBOS) are often the neglected target audience within brand, company and agency plans. That's where the B-side Marketing Projects comes in – developed as a thinking partnership between Inc. Magazlne and Cargo, this long-term research initiative brings a voice to the under-served segment, revealing SBOS behaviors, attitudes and insights so brands can better understand and ultimately better connect with this passionate, driven and loyal audience. Work Cited National Federation of Independent Business (NFIB) Small Business Optimism Index Survey Report (released 12/11/2012) http://www.nfib.com/Portals/0/PDF/sbet/sbet201212.pdf Cargo is the authority on marketing and advertising to small business. We help a wide range of brands in a wide range of industries engage and influence the decision makers of millions of small businesses that exist today. > thinkcargo.com / @tweetcargo / 640 S Main St, Ste 200, Greenville, SC 29601 / 864.704.1180 / [email protected] <