NEWPORT – Businesses in and around the City by the Sea are mostly optimistic about their futures, according to a survey by the Greater Newport Chamber of Commerce, though many continue to struggle with workforce shortages and supply chain disruptions.
Of the 57 businesses that responded to the October survey, which was done by the Chamber’s Connect Greater Newport economic development division, 72% reported feeling “very confident” about their future success.
Among the hard-hit tourism and hospitality sectors, which play a leading role in the Newport region’s economy, 73% reported confidence in their business’s future success.
Despite this optimism, businesses continue to face the same pandemic-related challenges burdening many companies around the country – most notably, finding and retaining workers, which 51% identified as a significant challenge; and supply chain disruptions, which 46% noted as significant.
Behind these two issues, respondents also highlighted limited access to internet and broadband services, regulations, and difficulty working with the state government as challenges.
“We were pleasantly surprised that businesses were feeling confident about the future,” said Isabel Marsh, business outreach specialist for Connect Greater Newport, “and that despite the challenges – especially for the hospitality industry – with the labor shortage and now the supply chain, that they felt positive going into 2022.”
Marsh attributed this confidence boost to a strong tourism season in the region and COVID-19 relief efforts, with 77% of respondents reporting they had access to this emergency funding.
Some relief sources, such as the federal Paycheck Protection Program, were instrumental in helping businesses stay afloat amid closures, Marsh said, while others, such as the state’s Take It Outside initiative and Restore R.I. grants, also provided businesses with the chance to make lasting improvements to their businesses through means such as adding outdoor seating options or expanding their web presence.
Additionally, “We were fortunate that the tourists who were coming to the area had disposable income,” Marsh said, “and we were also probably attracting more people who were driving, people coming from other states.
“We didn’t have as much international travel, but we were a popular destination for people in the U.S,” she added.
The survey highlights a need for more networking opportunities, access to larger applicant pool, improved e-commerce and marketing services, and showcasing the community as areas that will continue to help businesses rebound.
Most participants were small businesses, with over 60% of respondents representing businesses with nine or less employees, and close to 30% having 10-49 employees.
Respondents represented a variety of industries, such as retail, heath care, finance, child care, manufacturing and education, and included 19 women-owned, two minority-owned and two veteran-owned businesses, the survey notes.
The Chamber previously conducted the same survey in person during a business walk event in 2019 but did not repeat this event due to the pandemic in 2020. This year, the Chamber restarted the survey on an all-virtual basis, and intends to continue it annually with virtual and in-person interview opportunities for businesses.
Jacquelyn Voghel is a PBN staff writer. You may contact her at Voghel@PBN.com.
