Schaumburg's Economic Conditions
Studies indicate that 80% of net new job growth and capital investment for a community come from existing businesses which is why the Schaumburg Business Association prioritizes Business Retention and Expansion (BR&E) as part of its economic development efforts.
Building on last year’s BR&E success the SBA is continuing our proactive effort to track the trends and address the challenges facing the job creators in Schaumburg by engaging them on a regular basis. At the end of three months the trends continue to be in a positive and optimistic.
The early response is that business growth and sales are at their highest level in nearly a decade with businesses – regardless of industry – citing that sales are even better than they were back before the financial crisis of 2008. These anecdotal sentiments are reflected in that 70% of businesses are experiencing increasing sales growth year over year.
There are any number of reasons that could explain the cross-industry sales growth that is occurring but one factor that is noteworthy is the diverse markets in which Schaumburg businesses are selling their goods and services. Schaumburg’s position as the second-largest economic center in Illinois is evident as almost half (45.1%) of Schaumburg businesses identify their primary sales market as national. This type of national reach is not the norm for many communities – commonly a local sales market is the primary type of market – and has allowed the Schaumburg economy to grow, expand, and diversify.
Being able to sell beyond a limited sales market allows for businesses to expand their opportunities and increase sales and this is another key takeaway that Schaumburg businesses reference is the numerous international markets. 12% of businesses located in Schaumburg cite their primary sales market as the international field. This international sales market is made up primarily of internationally-owned businesses that have a North American operation based in Schaumburg comprising most of the 12%, but from that percentage there is around three-to-four percent that are domestic businesses with a primary sales focus on international.
With analyst still projecting a strong 2018 there is no reason to believe that Schaumburg’s businesses will not continue to experience sales increases that have defined the local economy since Summer 2017.
Posted on Mar, 27
by Kyle Schulz filed under