Black Friday has become one of the year’s busiest shopping days in the United States. Black Friday sale is offered right after Thanksgiving. To draw customers into their stores, national chain stores typically provide a limited number of money-saving special discounts on various products in outlets and online. In this article, you will get to know all about Black Friday. Stay with us!
History Of Black Friday
Many think the term “Black Friday” comes from the idea that companies are “in the red,” or operating at a loss, until the day after Thanksgiving. When huge sales finally enable them to earn a profit or bring them “in the black.” This, however, is untrue.
The phrase “Black Friday, first appeared in Philadelphia in the early 1960s. Black Friday refers to the chaos when many tourists from the suburbs enter the city to start their holiday shopping. In some years, they attend the annual Army-Navy football game on Saturday.
The large crowds made it difficult for the police to work longer shifts than usual to deal with traffic congestion, mishaps, shoplifting, and other problems.
Black Friday also has another meaning in history unrelated to shopping. Jay Gould and Jim Fisk, two Wall Street financiers who wanted to drive up prices, tried to corner the country’s gold market in 1869 by purchasing as much gold as possible at the New York Gold Exchange. Their plan was disrupted on Friday, September 24, due to President Ulysses S. Grant’s intervention. Thousands of Americans went bankrupt, resulting in the stock market’s sudden collapse.
The phrase “Black Friday” became well-known in Philadelphia quickly. “Big Friday” was the name given to the day by city merchants to make it look better. It was in the late 1980s that businesses began to promote the red-to-black profit narrative.
The term “Black Friday” came to be used to denote an increase in retail sales nationwide. Black Friday is reportedly the most demanded, most awaited day for shopping in the US.
In actuality, the Saturday before Christmas was the busiest shopping day for the majority of stores. Other shopping holidays have emerged in recent years to complement Black Friday, like Small Business Saturday and Cyber Monday.
Black Friday Around The World
The adoption of Black Friday has spread across the world in recent years. It is estimated that 50–60% of the 195 countries in the world “celebrate” Black Friday in any way, either online or by visiting an outlet.
For instance, in Europe, within the last three to four years, Black Friday has become popular in the United Kingdom, France, and Germany. Black Friday advertising has also begun in countries in Central and South America. Black Friday is observed in China and parts of Southeast Asia, and it is also observed in some form or another in nearly all of Africa.
Which countries don’t celebrate Black Friday around the world?
In order to conduct research for this article, I used Wikipedia’s list of nations by economic freedom and moved through it backward. Unsurprisingly, Black Friday (or any other shopping holiday) is not supported by many countries that are outspoken in their opposition to capitalism and consumerism. These countries are Afghanistan, Iran, Venezuela, and North Korea.
However, some countries, like Tajikistan, don’t know the importance of Black Friday. The main barrier to participation in Black Friday in other nations is a lack of financial resources. Many of those regions associate Black Friday with bad times in their past. American retailers use it as a source of manufacturing. They object to the heavy obligations related to the holiday.
Nevertheless, Bangladesh does host a shopping festival. Fatafati Friday occurs roughly the same time as Black Friday (it began in 2017). The historical meanings of “Black Friday” vary significantly from country to country. As opposed to Burma, those Fridays are not for shopping. May 30, 2003, a day of the massacre in Burma, is commemorated as Black Friday.
Is Black Friday Spreading Around The World?
Amazon is the biggest supporter of the “manifest destiny” of fourth-quarter capitalism. There are 14 countries with specifically designated Amazon markets: the US, Mexico, Canada, Japan, Australia, the UK, Germany, France, Italy, Spain, Brazil, the United Arab Emirates, India, and Singapore. All of these countries have made Black Friday a national holiday for shopping.
In addition, even though there isn’t a specific market for Amazon, its existence impacts some countries. Like, Amazon’s quick shipping and tech deals sparked sales interest in Ecuador. In Guam/Micronesia, ordering “off-island” is a popular approach. To overcome this, the local chambers of commerce have issued statements urging people to shop locally before purchasing from Walmart or Amazon.
The speed with which it’s spreading in unexpected places is perhaps the most surprising thing I discovered about global Black Friday trends. This is demonstrated by the fact that two non-Amazon e-commerce retailers are driving the “war” for Black Friday in Africa. Jumia frequently referred to as the “Amazon of Africa,” operates in 12 countries across the continent, including Egypt, Zimbabwe, Nigeria, and Ghana.
The largest retail store chain in Africa is part of the conglomerate Shoprite. It has significantly increased its presence in Africa, focusing on the countries Jumia neglects. Shoprite websites promote Black Friday in Lesotho, Malawi, and Zambia, all of which have unique country codes and domain extensions.
It’s important to note that Jumia’s e-commerce versus Shoprite’s traditional brick-and-mortar strategy somewhat resembles the “Amazon vs. Walmart” retail competition in the United States.
Black Friday Benefits
- Increased Traffic And Sales
People are looking for deals and doing their Christmas shopping during Black Friday and Cyber Monday, bringing a lot of traffic and sales together quickly. E-commerce sales are at their peak on this day of the year.
Sales volumes were noticeably higher on Black Friday and Cyber Monday than they would have been on a typical day last year.
This is an obvious chance for retailers to take advantage of customer demand and increase website traffic.
- An Opportunity To Clear Stock Before Christmas Season
Many retailers view black Friday as an opportunity to eliminate outdated stock and add updated stock for Christmas.
This is truly the case for fashion retailers, of course! For electronics retailers, they can give discounts on appliances like TVs and laptops because they know that newer models will be available soon.
- Customer Acquisition
Although acquiring new customers can be expensive. Black Friday allows retailers to do so during a pivotal stage of the year.
You can use a strong post-purchase email strategy to drive repeat business if you attract customers around Black Friday and keep them satisfied.
Black Friday discounts are acceptable if customers can be kept for a more extended period and later purchase at the full price.
- Incremental Sales
Around Black Friday weekend, there is a genuine intent to buy, which may result in additional sales.
This implies that customers visit websites searching for deals but make full-price purchases because their pockets are emptied of cash.
Our statistics from the previous year demonstrate this propensity to buy. The average shopping cart abandonment rate for retailers is 81%, but this number drops significantly over the Black Friday weekend.
In the past, as shoppers sought out deals on Black Friday and Cyber Monday, abandonment rates fell to 76.68% and 76.91%, respectively.
- Easier Fulfilment
Orders can be processed and shipped well before Christmas, which is one advantage of moving sales to earlier in the holiday shopping season.
This eliminates the possibility that people will get their Christmas presents later and frees up capacity for later in the season.
Black Friday Negatives
- Pressure To Discount
Some customers have grown accustomed to the generous discounts offered on Black Friday.
Senior Optimisation and Analytics Analyst Simon Lancaster points out this puts pressure on retailers.
2. Impact On Margins
It is the day when more sales are made, and many retailers have their busiest sales days of the year, but this can result in lower profit margins.
Discounts can lower margins on goods that might have been sold closer to Christmas at full price. Retailers must think carefully about how much they can realistically discount.
However, if retailers don’t offer a discount, but their competitors do, they may lose to the competitor. It presents a tough challenge for retailers.
3. It Can Generate Returns
The cost of eCommerce returns to online retailers rises in the final weeks leading up to Christmas due to discounts and increased sales in the holiday season.
Therefore, during their busiest season of the year, distribution centers for retailers may become even more engaged. Additionally, there is a chance that returned items won’t sell before Christmas and will remain on the shelves until the next gift-giving season.
4. It’s Crowded And Competitive
It can be challenging for a retailer to stand out from the competition when many brands promote their Black Friday deals. Additionally, increased search traffic makes it more difficult for retailers to compete. Publishers are now focusing on keywords like “Black Friday deals” to increase traffic, making it more difficult for retailers to rank higher for these terms.
5. Customers Have Been Trained To Wait For The Discount
Customers now expect discounts on this day and Cyber Monday. This has a few outcomes. First of all, this day’s sales will probably suffer because consumers prefer to wait until there is a chance of a coupon code or discount rather than paying full price.
Moreover, convincing customers to buy even with a good discount is more challenging if they expect huge discounts. Customers may be more likely to compare shops before purchasing if better discounts are available.
For retailers, this poses a challenge. They could attempt to price match, as Curry’s does in this instance (deftly pursuing customers who copy product titles), or they could stand by their principles and risk losing business to competitors.
Why Do Online Retailers Value Black Friday??
In the past, retailers would open their stores as early as 5 am and offer various deals on everything from electronics to toys to start the Christmas shopping season. The shopping craze has migrated online in recent years. 2018 set a record for eCommerce retailers with $6.2 billion in online sales by 23.6% from the year before. With many people preferring to shop for pre-holiday deals online, eCommerce businesses have an unbeatable opportunity to draw in more customers and boost their sales.
Amazing Black Friday Statistics:
- In 2021, 88 million Americans made online purchases on Black Friday.
- Over the previous year, in-store traffic increased by almost 19%.
- Online sales on Black Friday totaled $8.9 billion.
- The typical Black Friday discount was 24%.
- In 2021, average order values rose by 9%.
- On Black Friday, mobile devices accounted for nearly 43% of sales.
- The most frugal generation was the millennials.
- In 2021, about 29% of women planned to shop on Black Friday.
- 17.7% of all Black Friday sales came from Amazon.
- During the shopping event, an adult spent $430 on average.
Essential ECommerce Insights:
- With more people using mobile devices to complete online purchases, Black Friday shopping is preferred online than from outlets. Americans are six times more likely to make an online purchase on Black Friday than on any other Friday.
- Retailers on the internet report revenue increases of up to 240% and 380% on Black Friday and Cyber Monday, respectively.
- Online traffic on Black Friday and Cyber Monday can increase by up to 220% and 155%, respectively, over a typical sales day.
- Sales events that last all day or longer are more efficient than flash sales.
- More than 70% of Black Friday shoppers shop online at free shipping businesses.
- The five-day shopping extravaganza is ideal for e-retailers looking to get rid of their inventory.
- The Black Friday market is a massive opportunity for online retailers looking for fresh sales opportunities.
Is Black Friday Profitable For Retailers?
Most retailers typically experience their highest profit margins during the final quarter of the year, which includes the time from Black Friday to New Year’s. Nevertheless, not everyone benefits financially from the Black Friday shopping season.
Despite a 45% increase in sales, UK high street retailer Argos didn’t find the shopping event particularly beneficial to its bottom line in 2014. The home goods retailer discovered that although there was a lot of demand on an actual day, consumers insisted on receiving significant discounts. Sales were the same before and after the event.
It is an example of a troubling trend that retailers face consumers who will not purchase unless they receive tremendous discounts.
This is terrible news for retailers hoping to profit in a cutthroat retail environment where margins are already under pressure. The risk is that discounts appeal to customers to complete their seasonal shopping during the sale period, reducing their sales for the year’s remaining months. In 2015, more a tremendous increase in sales in Great Britain in November and December.
Online sales increased daily by 12 times in Brazil in 2014. Whatever industries you work in, you must learn what products the US and other foreign retailers sell. Over Black Friday, cross-border sales might be dominant, impacting your sales of products with discounts.
How To Prepare For Black Friday: Advice For Online Retailers
Make sure you’re prepared to engage the deal-hungry shoppers well in advance because online Black Friday sales can begin as early as Monday of that week. There have been a ton of Black Friday marketing ideas in recent years, and the list keeps growing, but some of the most effective ones are as follows:
- Utilizing the skill of online marketing. Online marketing is the science and art of putting the best deals and products on a website in a way that boosts sales. Make sure your best offers are placed to grab visitors’ attention as soon as they arrive on your website. The most prominent offers are frequently displayed using hero images, banners, and popup windows.
- Providing rewards to encourage social sharing. In order to increase sales, you must quickly increase the traffic to your website, which is why paid Google ads and social media are the preferred methods marketers use. However, you can also use discount coupons to entice customers to share your promotions and boost social media traffic. The home page, product page, checkout page, and order confirmation page are the best places to place these offers. You can also include the coupon in the email that confirms your purchase.
- Making gift lists. One of the best tricks to get potential customers to open their wallets is by assisting them in finding the most compelling and pertinent offers. Sales can be overwhelming. Make sure to develop several gift guides targeted at various audience segments (i.e., gifts for couples, grandparents, gifts for her and him, etc.) and include them on your homepage and in your email marketing campaigns.
- Using emotional triggers for gain. The only difference between Black Friday and regular customers is that they arrive at your store eager to make purchases. You must hit the right buttons to encourage them to buy by sprinkling your website with various emotional triggers.
- In addition to adding a live support window (at least during the busiest shopping season), make sure to include visually appealing offers (limited discounts, free shipping, referral coupons, and gifts) in prominent locations on your website. Eager customers are frequently overflowing with inquiries. Gift cards and exit-intent popups have also proven to be particularly effective at piquing the interest of potential customers.
Stores For Offering The Best Black Friday Deals
You must still choose where to spend your money, whether your Black Friday shopping plans involve an online, in-person, or combined experience (or both). Even with various shopping options, sale merchandise is frequently scarce and always in limited supply. Be prepared to put some time into finding items at significant discounts.
Four Places To Shop On Black Friday And Save
Four large national chains that provide both of these shopping experiences and are renowned for having Black Friday deals are listed below.
1. Macy’s
We place Macy’s at the top of our list for 2021 due to its average 56 percent discount on Black Friday. Macy’s limits can be tracked in little kitchen machines, home stylistic layouts, toys, and clothing. The chain’s Black Friday sale for 2021 begins on November 23 and runs until November 27.
2. Kohl’s
During the Thanksgiving holiday, this specialty department store chain typically offers more than 52% discounts. The best Black Friday deals at Kohls’s are apparel, home decor, smart home gadgets, small kitchen appliances, and toys.
3. Walmart
Walmart’s average Black Friday discounts, which exceed 34%, are not surprising given the company’s reputation for low prices. The Walmart Black Friday sale for 2021 begins online on November 22 at 7 pm ET and in-store on November 26 at 5 am local time. Walmart claims that Walmart Plus members will have early access to deals on November 22 at 3 pm Eastern Time. Some fantastic bargains include the Apple Watch, AirPods Pro, Instant Pots, and iRobot Roomba vacuums.
Walmart’s physical locations are closed on Thanksgiving Day, just like most stores, but you can still shop online. The store offers online and in-store shopping, curbside pickup at most locations, and home delivery, including same-day delivery for selected items beginning at midnight.
4. Target
Target’s average 27% Black Friday discount may be enough to convince devoted customers that they can’t go wrong. Target’s Black Friday 2021 sale begins on November 21 and runs through November 27 in stores and online. There are deals on AirPods, Dyson vacuums, KitchenAid mixers, and Apple Watches, to name a few.
Online shopping is available, and most stores open at 7 am on Black Friday. At Target, you can shop online for home delivery (same-day for some items), in-store pickup, or during regular store hours.
Target, like it did last year, offers shoppers additional protection by matching prices if the Target price drops before December 24.
What To Expect If You’re Looking For Apple Deals
What To Anticipate From Iphone Deals
You won’t be able to find any iPhone 14 deals on Amazon if you live in the United States, and it will be challenging to find discounts on unlocked models too. In any case, Verizon, AT&T, and T-Versatile, as well as Best Purchase, will have lots of limits for new and existing supporters who have old models to exchange or are hoping to switch transporters or add a line.
A discount is offered if you buy an unlocked iPhone from a contract in the United Kingdom. However, we have yet to anticipate a discount on the iPhone 14 series. Older iPhones are most likely to offer the best deals. For instance, during the October Amazon sale, the iPhone 13 Pro Max and the iPhone 13 mini were discounted by $208 and £322, respectively. Be careful, as the resellers don’t always clear that the phones with the lowest prices are refurbished, as we believe they should!
The iPhone 13, 13 mini, and SE will likely be included in Apple’s Black Friday shopping event, where gift cards worth $50 or £50 can be won with any shopping.
What To Anticipate From Ipad Deals
Amazon is the best spot to go for iPad arrangements, and we’ve proactively highlighted a couple of the above. It’s possible that the most recent models—the M2 iPad Pros and the 10th-generation iPad—will see their first significant price cuts on Black Friday. Discounts on other models, such as the iPad Air and iPad mini, are likely to be at all-time lows.
What To Anticipate From Airpods Deals
We anticipate this year’s Black Friday sales will take advantage of AirPods again. The new AirPods Pro won’t be priced as low as last year, but we wouldn’t be surprised if they dropped $30 or $40 off their $250 MSRP. After hovering between $449 and $479 for the past year, the AirPods Max may drop to $399 for the first time. Additionally, keep an eye out for significant discounts on the third-generation AirPods.
Tip! Be sure to check the generation of the AirPods you’re purchasing because older models will likely receive the best discounts.
What To Anticipate From Apple Watch Deals
Black Friday is usually the most awaited and the best time to buy new or used Apple Watches at a discount. The 1st-generation SE and Apple Watch Series 7 are likely to receive the best deals, while the Series 8, 2nd-generation SE, and Ultra are more likely to receive modest discounts.
The Apple Watch Series 7 models were discounted by more than $100 during the most recent Prime Day sale, and the SE model fell to an all-time low of $199.However, discounts in the United Kingdom were only £10 off.
We don’t think we’ll get deals like that; the Series 7 was about $20 cheaper last year, and we wouldn’t be surprised if the Ultra model got a significant discount.
What To Anticipate From Mac Deals
Since Apple has yet to make a new Mac in a long time, everyone can get significant discounts. Keep an eye out for those models to go even lower because we’ve already seen ongoing deals of up to $400 on the 14-inch and 16-inch MacBook Pro, $150 off the 13-inch MacBook Pro, and $100 off the M2 MacBook Air. Additionally, given that the Mac mini is approaching its two-year mark, we may see M1 models at all-time low prices.
Conclusion
Retailers must weigh the advantages and disadvantages of discounts offered on Black Friday and Cyber Monday and the many difficulties they face.
However, this retail event has many advantages, and retailers can protect their margins while simultaneously increasing sales and acquiring new customers if it is well managed.
Faqs (Frequently Asked Questions)
These are the questions people are also looking for. These might help you too!
How many days until Black Friday 2022?
On November 28, 2022, Cyber Monday comes right after Black Friday. Technically speaking, Black Friday ends when Cyber Monday begins. Most of the time, only these two days (and the weekend in between) offer the best deals. However, some deals remain in place until the following week’s end.
Is the iPhone less expensive on Black Friday?
Black Friday is indeed a good time to buy iPhones at a discount
Are autos less expensive on Black Friday?
Black Friday is one of the most awaited and best times of the year to save money on a new car. We’ve compiled a list of the best finance deals on top-rated cars, trucks, and SUVs for Black Friday.
Is Black Friday coming to Walmart in 2022?
Unlike in the past, Walmart has announced that its stores will closed on Thanksgiving Day 2022 (Thursday, November 24). On Black Friday, Nov. 25, the majority of Walmart stores will reopen at 5 a.m. local time.
