One of the biggest arguments for reshoring your production operation is that it can attract new customers. A recent poll from the Alliance for American Manufacturing found that 82% of shoppers would buy more Made in America products if they were sold more widely. Reshoring your manufacturing can not only bring in new business but also boost brand loyalty. Here’s what you need to know about marketing your domestic production operation.
The phrase “Made in the USA” carries a certain connotation for consumers. “‘Made in the USA’ [is] a label that carries an unspoken promise of quality with an undertone of job security for American workers,” wrote Investopedia.
American-made products are perceived as being higher quality, both domestically and overseas. A study by Boston Consulting Group found that 85% of consumers in the United States and 82% in China believe American-made products have higher quality.
Pairing this label with your credentials as a small business can have a multiplying effect. Consumers are already committed to supporting their local businesses. Research from Faire found that consumers will spend an extra $150 per month to support local shops. Coupled with the demand for American-made products, small businesses can increase trust and loyalty by reshoring their production.
It takes more effort than simply slapping a “Made in the USA” label on a product. In fact, brands that ignore U.S. Federal Trade Commission (FTC) guidelines on labeling and meeting the “Made in the USA” standard can find themselves in hot water. Mislabeling your products can lead to penalties of up to $53,088 per violation.
FTC rules on labeling are designed to protect consumers from being misled about a product’s origin. As such, there are extensive guidelines on how to label your American-made products on the FTC’s website. Briefly, there are two categories of U.S. origin claims that the FTC considers:
- Unqualified claims for products that are entirely or almost entirely made in the United States without exception. These claims are heavily regulated and scrutinized.
- Qualified claims are for products that have some elements not entirely of domestic origin. For instance, “70% U.S. content” and “Assembled in USA from Italian leather” are two labels meeting the qualified claim standard. Read the guidelines carefully to make sure you aren’t misrepresenting how much of your product originates from the United States.
New data suggests that customers are actively searching online for U.S.-made products, presenting an opportunity to leverage search engine optimization (SEO) practices, paid ads, and online marketplaces to sell more. E-commerce analytics firm SmartScout reported that discovery-oriented searches like “Made in USA products only” have increased 220% year over year.
“Similarly, ‘made in America products only’ is up 130%, while more specific terms like ‘American flag made in America’ have jumped 250%,” reported Digiday.
The spike in search queries indicates you should integrate keywords on your website, in your product descriptions, and in any online advertising to attract customers. For instance, Scott McIntosh, Owner of the viral Cell Phone Seat product, told Modern Retail that he has added a “Made in America” badge to his website's homepage as well as language stating “No tariffs applied.” He’s also adding “Made in America” language to marketing content on Amazon and in SEO descriptions.
Amazon doesn’t have a way to publicize the country of origin, and many customers flock to that site to find the lowest prices. Therefore, Amazon and other big marketplaces may not be the best places to showcase your U.S.-made products. Instead, try specialist sites like Etsy, Bonanza, and Wish. It’s also worth using the native selling tools on Pinterest, TikTok, Instagram, and other social media channels.
Explore listing your business on specific Made in the USA sites, like the Made in America Store or Authenticity50.
To learn more visit the
US Chamber's website.
This article appeared on CO, by US Chamber of Commerce it was written by Emily Heaslip