How Local Stores Can Thrive this Holiday Season

The following article was written by Abigail Ingram, executive director of the Polsky Exchange, and originally published in Crain’s Chicago Business on November 17, 2025. Read the original article.
When I first moved to Chicago, my best friend introduced me to the idea of “neighborhood days,” in which you spend a day on a particular commercial corridor taking in the shops, activities and restaurants. It was a wonderful way to get a literal and figurative flavor of the neighborhood. As we approach the holidays this year, I am planning a few neighborhood days, not only as dedicated time to cross items off my gifting list, but also to support Chicago’s local business economy. As more of us seek small, meaningful gifts instead of obligatory spending, choosing items in person gives a much better read on quality — without any “what I ordered vs. what I got” surprises.
While designing positive user experience for online transactions is, of course, non-negotiable for business owners, the Capital One Shopping Research reports only 15.5% of retail spend via e-commerce in the second quarter of 2025. The U.S. Census Bureau’s Quarterly Retail E-Commerce Sales Report calculates the exact same figure. This means consumers are still spending overwhelmingly in person. Even during the busy holiday rush in fourth-quarter 2024, e-commerce sales accounted for only a slightly higher percentage of sales, at 16.4%.
In my role supporting Chicago businesses, those who are successful in retail prioritize time for staff training and use data to inform their business decisions. When customers walk into a physical store, they want to have the full tactile experience of engaging with products and they often want to learn about their options and the features and origins of the products themselves. If consumers wanted to quickly choose an item without engaging with a business owner or staff member, they would likely do so from behind a screen.

The Polsky Exchange.
Many business owners map their retail space and calculate sales per square foot. It’s also beneficial to calculate normal inventory turnover — how many days items are on shelves — and experiment with product placement on shelves as a way to drive customers to higher-priced merchandise.
Successful business owners often walk their stores as if they were a customer, moving items as needed and identifying the best greeting point for staff to initiate interaction with customers. This is an opportunity for owners to revisit their store’s brand identity and be sure each employee understands how to interact with customers, even providing scripts for consistent messaging. Just a few minutes at the start of each shift reminding employees how to engage with customers can vastly improve consumers’ experiences.
Lastly, business owners paying for technology should fully exploit it. For example, the list of customer contact info pulled from the point of sale can be used to reach out to those who have purchased earlier in the year as they prepare to shop for the holidays, generating repeat customers and building brand loyalty. Even better if your team has bandwidth (and margins) to invite customers in for a special shopping experience, whether that’s a live band in the corner of the store, a cozy cup of cocoa for customers while they browse or a loyalty discount.
For retail business owners, winning the holiday rush now means providing the best shopping experience and customer service. For shoppers, the experience of going out to small shops can itself be a celebration of the season. Setting a budget can keep shopping local affordable, and while it may seem faster to shop online, think of the time we will not be spending reading hundreds of reviews.