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Report reveals Exeter businesses could retain up to £6.9 million of spend in the city by switching to local suppliers

By February 28, 2020January 26th, 2021Member News & Updates

Tribe report calculates levels of B2B spend currently leaving Greater Exeter annually as it drives forward initiative to champion local supply chains

 

The business initiative Tribe, which aims to encourage use of local suppliers among Greater Exeter businesses, has released its report highlighting recent findings into Exeter’s B2B economy. The initiative links businesses procuring services and goods with local suppliers. To date over 250 introductions to local suppliers have been made to companies that usually outsource for services and over 100 businesses have agreed to switch to a local supplier in 2020, these switches alone have the potential to retain up to £1.25 million worth of business in the city that would otherwise have left the local economy.

Of 1,546 businesses contacted, Tribe has identified 1,375 supply lines where a Greater Exeter based business currently contracts a supplier outside of the area. Based on an assumption that those supply lines equate to an average spend of £5,000 per year, this equates to £6.9 million of B2B spend leaving Greater Exeter annually.

Managing director at Air Marketing Group, Owen Richards said: “We hear a lot about locally-sourced when it comes to consumer goods, but our research shows that this is just as important in the business community for the continued health of Exeter’s economy.  Tribe is a unique initiative that has never been done before and we are extending the scheme until April/May 2020. We’re thrilled to have over 100 companies sign our pledge to change to a local supplier in 2020 and hope to see some of the £6.9million spent outside of Greater Exeter invested into local businesses.”

Launched in July 2019 in partnership with Exeter City Council, Exeter Live Better and Exeter Chamber, Tribe aims to further the growth of Exeter and its business community by connecting local businesses to look closer to home for cost-effective services. The initiative is a first for Exeter and will continue to focus on increasing local collaboration to retain business in the city.