The 225 local music fans who turned out to see a three-band spree on Thursday night at the Electric Fetus may have been there for the intimate feel of a mini-concert, but retail music manager Bob Fuchs hopes he's onto something even bigger.
The event was a kickoff to the Electric Fetus' latest effort to turn up the volume on the "shop-local" movement, with a campaign called MinnEconomy.
Every month, the Fetus' stores in Minneapolis, Duluth and St. Cloud will highlight Minnesota artists and musicians in its stores and online, and will sell featured items at a 10 percent discount.
Driving business to stores during the current economic downturn is secondary to the broader goal of "connecting the dots" among different types of businesses and artisans, Fuchs said. The Minneapolis store already carries 500 to 600 items by local artists and musicians, he said.
"We've been experiencing a downturn in the music business for eight years," he said. "This is more about us supporting the kind of creativity that makes our community unique and interesting. I just think the broader society is ready for this."
The buy-local movement is not new, but in recent years such efforts have been gaining steam. About 100 communities around the country now are making a concerted effort to encourage consumers to keep dollars flowing through home-grown businesses, said Stacy Mitchell of the Minneapolis and Washington, D.C.-based Institute for Local Self-Reliance, which aims to help communities create solid jobs and be better environmental stewards.
The Institute for Local Self-Reliance and other like-minded groups often tout a 2004 report by the Texas strategic consulting firm Civic Economics, which found that for every dollar consumers spend with a local business, 68 cents continues to circulate in the state's economy through ancillary businesses such as printers, accountants and suppliers. When that same dollar gets spent at a national chain with no local headquarters, just 43 cents flow to the state economy, according to the report.
Without the big advertising budgets of national chains, small retailers must find other ways to get the word out about what makes them special. Buy-local campaigns, Mitchell said, are an effective way to do that.