The State of Black Business: New Survey Finds Progress, Challenges
Grouponand National Black Chamber of Commercesurvey for National Black Business Month found nearly 80% of Black business owners say their businesses are better off than last year
- Nearly three of four Black business owners say investment in Black-owned businesses still trails white-owned businesses
- Groupon is helping consumers discover and patronize local, Black-owned businesses
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Groupon and the
Nearly 80% of Black business owners said their businesses were better off than they were last year at this time and nearly 60% said their business is as good or better than it was prior to the pandemic. Seven out of 10 consumers said that they actively sought out opportunities to shop at Black-owned businesses and an equal number plan to continue to do so long term. Nearly 70% of consumers also said they find it helpful when a business identifies as Black-owned and approximately 60% said they would be willing to pay more if they knew a small business was Black-owned.
More than half of all Black business owners said that while there’s more attention on the concerns and needs of businesses owned by people of color, the overall environment is still quite challenging. Roughly three out of four Black business owners said capital investment still lags in comparison to their white counterparts. In fact, gaining access to capital investment was the number one concern among the businesses surveyed. Their ability to tap into government resources, recover from the pandemic, build a support network and hire enough staff, were the other top concerns cited. Ultimately, black business owners indicated that the system that sets them up for success or failure still has a long way to go and more than 75% of those surveyed feel as though they’re held to a different standard, which makes launching and growing a business as an entrepreneur even harder.
“Groupon recognizes the importance of being a brand that lives by its values, taking a stand for what’s right and leveraging our influence to drive positive change within our communities,” said
Groupon is taking action in August and throughout the year to translate its support for Black-owned businesses into meaningful action:
The company has curated a collection of hundreds of Black-owned businesses across
the United Statesand will be featuring these merchants across Groupon’s mobile, online and social channels throughout the month of August. In 2020, Groupon saw searches for “Black-owned” increase nearly 400% for the full-year vs. 2019. During Groupon’s 2020 Black Business Month campaign, units sold for businesses that identified as Black-owned and participated in the month-long event increased 44% compared to the previous month. To find Black-owned businesses that you can support in your community, please visit gr.pn/celebrate.
In addition, the company has partnered with Kiva.org––a renowned crowdfunding platform––to raise funds from consumers to support a Black-owned business fund that will help create opportunity and unlock investment capital for Black merchants across the
Groupon is also working with the
National Black Chamber of Commerceto offer an online marketing and technology education session at the Illinois Chamber’s annual convention in September. The Groupon and chamber survey of Black-owned businesses identified social media, lack of a digital/online presence, consumer awareness, upfront costs and foot traffic as their biggest marketing challenges. Experts from Groupon will consult with business owners who are attending the convention.
Aug. 22, Groupon is partnering with The Black Women’s Expo - BWE Nextto feature 10 Groupon merchants as exhibitors. Each Black-owned business will have their own booth in the expo’s marketplace and Groupon will help promote and advertise their presence. Groupon will also have its own booth at the expo to help the company recruit diverse applicants from the estimated 30,000 attendees.
Finally, to help bring more attention to the disparities Black entrepreneurs face and resources available to help their businesses succeed, Groupon is joining forces with the
Illinois Department of Commerce and Economic Opportunity(DCEO) to host a virtual panel discussion: Building Back Better: Charting Economic Recovery for the Black Business Community & Craftingthe Roadmap for Access to Capital for Black Entrepreneurs. The discussion will take place on Aug. 25, 2021at 10:00 a.m. CDTand will bring together a national audience of business, government and community leaders. For more information about the Grouponand Illinois Department of Commerce and Economic Opportunityvirtual panels, please visit gr.pn/webinar.
“Over the past year we’ve made progress drawing attention to the needs and concerns of Black-owned businesses, but we know that we must do even better,” said
The National Black Chamber of Commerce® was incorporated in
Groupon (NASDAQ: GRPN) is an experiences marketplace where consumers discover fun things to do and local businesses thrive. For our customers, this means giving them an amazing selection of experiences at great values. For our merchants, this means making it easy for them to partner with Groupon and reach millions of consumers around the world.
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