App Promotes Small Business Shopping

The city of Akron, Ohio, launched a program designed to help support the local businesses. The program rewards shoppers for shopping locally through a city-sponsored app called Akronite, from which shoppers receive reward points for every purchase they make. James Hardy, Akron’s deputy mayor of integrated development, says that the app is “encouraging citizens to spend money locally while putting cash back into their pockets.”

The reward points are called “blimps” after the Goodyear Blimp, which is based in Akron. Blimps can be redeemed at any of the participating stores for discounted or even free services. At the end of the month, the city reimburses the businesses for these redeemed values. The more you shop, the more rewards you earn.

Michael Mazur, vice president of business development at Colu, the entity responsible for building the app used to run Akronite, says that constantly rewarding people for doing something they were going to do anyway makes them want to come back for more. He also says that collecting rewards becomes a conversation point among social circles, and that “it becomes a game, a friendly competition.”

While shoppers enjoy the savings, the main goal is to support local business owners by creating loyalty and giving them a new way of attracting new customers. Business owners get to announce events and promotions in the app as well. Since the launch of the app, businesses are reporting that regular customers are visiting more frequently and spending more money.

In addition to this, the app is designed to accommodate advertising space for nonprofits so that their stories can reach their target audiences. There are plans to add ways to reward front-line workers, disabled merchants, and other underprivileged communities who need the support. The success of the app in Akron inspired the Colu team to expand the initiative to include other cities such as Youngstown, Oh, Boston, MA and several regions in California.