64% of Main Street businesses in the U.S. will see sales growth

Although the latest variant of the new coronavirus, Omicron, has caused a surge in infections, which has once again dealt a heavy blow to the American people , Main Street business owners in the United States are still full of hope for 2022, expecting everything to get better .

According to The Main Street Index survey released by foreign media after interviewing 765 American business owners , despite the objective existence of inflation and economic uncertainty , two-thirds of Main Street business owners still expect their sales to achieve steady growth in 2022 .

53 % of Main Street business owners expected their sales to increase in 2021 , and looking forward to the new year, 64% of respondents are optimistic that the economic recovery in 2021 will continue to be strong in 2022 .

In addition, 26% of the business owners surveyed expect that their operating income in 2022 will be basically the same as in 2021 , and 10% of business owners expect their income to decline in 2022 .

Image source: PYMNTS.com

Despite many companies' overall bullish outlook, about half of businesses said inflation and economic uncertainty would be major challenges to advancing business in 2022 .

Among them, concerns about inflation and economic uncertainty are more evident in companies that mainly adopt a hybrid business model . These companies do not sell entirely through online channels, but mainly rely on street stores for sales, or adopt a business model that combines online sales and physical sales .

The survey mentioned that 60% of companies operating in physical stores expressed concerns about inflation , while the number of companies operating in dual modes was 59%, which was basically the same . However, only 49% of companies that mainly operate online had the same worries .

Similarly, as for concerns about economic uncertainty , 59% of business owners who mainly rely on physical store sales and dual-mode operations have such concerns , but only 42% of business owners who mainly operate online sales have such concerns .

Image source: PYMNTS.com

Of these two factors, inflation is the main challenge and poses the greatest threat to the survival of Main Street businesses , with 65% of business owners saying that the biggest threat to their survival is the increase in operating costs.

In fact, under the current intermittent epidemic situation, enterprises can fully consider turning to online channel operations or adopting a combination of online and offline models. As inflation and economic conditions change, consumers' shopping habits are also changing. Merchants must actively adapt to seek development.

operations

Cross-border e-commerce market

inflation

economy

USA

Commercial Street