TUCSON, Ariz. (KGUN) — Tucson small businesses are experiencing an unexpected slump during what's typically their busiest season, despite Small Business Saturday bringing some success to local store owners.
Local business owners say Americans are spending more on necessities like food and electricity than they were last year, which is affecting the profits of Tucson businesses.
James Goodreau, who opened vintage Mexican folk art store Arte de la Vida near Broadway and Tucson Blvds. in Midtown Tucson 14 years ago, says those businesses need extra support.
"I feel like the small businesses in Tucson and the locally-owned restaurants, we are part of what makes Tucson, Tucson," Goodreau said.
Goodreau has seen steady growth at his store over the years, weathering challenges like COVID-19 and years of Broadway construction. However, recent months have brought unexpected difficulties.
"Every year's been better than the last. Of course, COVID came along, and also we made it through the Broadway construction—which took years—and everything's been good until lately when business slowed down," he said.
The decline became apparent first through fewer customers walking through the shop door, then in their sales data.
"I have numbers from every single day for the last 14 years. Year to date, we are down—as of today— 26%," Goodreau said.
As a result, Arte de la Vida has had to let go of their two part-time employees and extend shop hours to seven days a week—a first in the store's decade-and-a-half history.
"With the current political situation, a lot of people don't know what going on, so they're not buying, and if they do buy, they're not buying as much," he said.
Goodreau says other business owners in the community have seen a similar trend. A U.S. Commerce Department census shows that while retail sales increased in September, the rate of that increase slowed from the summer months.
Heading into the holiday shopping season, Goodreau is encouraging the community to shop locally.
"It's not just about me... It's about small businesses in Tucson," he said.
To encourage customers, Goodreau donated $5 to the food bank for every $39 spent at his store. He says he's working with other local business owners to keep giving back to the community that supports them and are planning to continue promotions like that one in their stores this season.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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Alex Dowd is a multimedia journalist at KGUN 9, where her work combines her two favorite hobbies: talking to new people and learning about the community around her. Her goal is to eventually meet every single person in Tucson. Share your story ideas with Alex via email, alex.dowd@kgun9.com, or connecting on Instagram or X.