A national survey of 2,000 adults reveals that being active in a local chamber of commerce is an effective business strategy because two-thirds of consumers believe that such companies use good business practices, are reputable, care about their customers and are involved in the community.

The study, conducted by The Schapiro Group, an Atlanta-based strategic consulting firm, found consumer perceptions of chamber members to be positive in many ways:

• When consumers know that a small business is a member of the chamber of commerce, they are 49 percent more likely to think favorably of it and 80 percent more likely to purchase goods or services from the company in the future.

• If a company shows that it is highly involved in its local chamber (e.g., is a chamber board member), consumers are 10 percent more likely to think that its products stack up better against its competition.

• When consumers know that a national restaurant franchise is a member of the chamber of commerce, they are 68 percent more likely to eat at the franchise in the next few months.

• When consumers know that an insurance company is a member of the chamber of commerce, they are 36 percent more likely to think favorably of the company.

“We believe this study underscores another benefit of belonging to your local Chamber and validates the efforts of our chamber, as well as chambers across the country,” said Laurie S. Moran, president of the Danville Pittsylvania County Chamber of Commerce.

Major impact on small businesses

Small businesses represent the largest segment of most local chamber membership rolls, and the study indicates that chamber membership has consistent and powerful benefits for small business members — if consumers are aware that the small business is involved with its local chamber.

For example, if respondents know that a small business is a member of its local chamber, the business enjoys a 49 percent increase in its consumer favorability rating, a 73 percent increase in consumer awareness, a 68 percent increase in its local reputation and an 80 percent increase in the likelihood that consumers will patronize the business in the future.

Most people know fairly well what their local chambers do; the study assessed the effect of this knowledge on perceptions of chamber members.

The researchers said “any belief about the chamber of commerce — whether that belief was true or not — could have a significant positive impact on how someone views a member… he or she is more likely to think that the [member] company’s products stack up well and have a favorable opinion toward the company.”

The key factor in developing and maintaining positive consumer perception of chamber members, the Schapiro Group said, was that “positive outcomes only occur when consumers know that a business is a chamber member (i.e., being involved in the chamber is a known facet of the company's reputation).”

Accordingly, when consumers know that a large business is a member of the chamber, they are likely to patronize the company more often, to express favorable opinions about the company, to know more about the company, and to buy the company's products. The strength and nature of these effects differ by industry:

Large restaurant chains

When consumers know that a restaurant franchise is a member of the chamber of commerce, they are 15 percent more likely to report knowing a lot about the franchise, 58 percent more likely to eat at the franchise more often, 68 percent more likely to eat at the franchise in the next few months and 37 percent more likely to think favorably of the franchise.

Among consumers who do not eat at the franchise so often, those who are aware that the franchise is a member of the chamber are 33 percent more likely to hold favorable opinions of the franchise.

Among consumers who hold less favorable opinions of the franchise, those who are aware that the franchise is a member of the chamber are 65 percent more likely to eat there in the coming months.

Insurance companies

When consumers know that an insurance company is a member of the chamber of commerce, they are 29 percent more likely to report knowing a lot about the company, 36 percent more likely to think favorably of the company and 36 percent more likely to consider buying insurance from it.

Among consumers who hold less favorable opinions of the insurance company, those who are aware that the company is a member of the chamber are 25 percent more likely to consider purchasing insurance from it. Among those who have not considered purchasing insurance there in the past, chamber membership increases that likelihood by 37 percent.

Automobile manufacturers

When consumers know that an auto manufacturer is a member of the chamber of commerce, they are 21 percent more likely to have a favorable opinion of that company and 31 percent more likely to consider purchasing their next car from that company. Among those who have ever considered buying a car from a particular auto manufacturer, chamber membership leads to a 44 percent increase in consumers’ likelihood of purchasing a car there in the future.