Back to Black Friday
It’s that time of year again! Black Friday has become an annual frenzy in the UK. This is due to retailers across the country competing to offer consumers the best deals on everything, from beauty products to wearable tech.
What is Black Friday?
Black Friday began its roots in America. This title is used for the day after Thanksgiving. It is traditionally regarded as the start of the Christmas shopping season. It is so called ‘Black Friday’, as it is supposedly the day shopkeepers balance sheets turn from red (loss) to black (profit).
The concept was then imported to the UK in 2013 by Asda (a subsidiary of the American shop Walmart) and has since grown year on year as more retailers began to take part in the event.
A big deal?
With the current cost of living crisis, this could mean that consumers are willing to spend less this Black Friday.
In 2021, total online retail spend on Black Friday was £9.42bn. But forecasts this year are expecting shoppers to spend less in the next 24 hours with £8.71bn predicted to be spent during the whole Black Friday weekend.
Despite the fall in spending compared to 2021, Business Insider has announced that three-quarters of Gen Z plan to spend money during the sales event this year.
However, many businesses are finding it more difficult this year to offer as many big price cuts. Strong inflation, caused by the fall in the pound, along with rising business rates are thought to be impacting the reduced prices on offer compared to last year.
Will it spread Christmas cheer?
High street shops in particular have seen sales slowdown in recent months, caused by a squeeze on consumers’ disposable income.
Compared to the 2021 period, those in the travel, events, entertainment and fashion industries will be pleased to see the increase in interest from Gen Z’s. After years of the pandemic affecting their purchasing accessibility and as costs continue to rise, young people are depending on brands to offer non-essential memory-making purchases at accessible prices.
With retailers remaining hopeful that Black Friday will provide an increase in consumer spending, accessibility and discounted offers have become crucial variables for the festive period.
With consumers becoming savvier about Black Friday, those retailers who join the fray should seize the opportunity to boost customer engagement in the run up to Christmas.
If you need advice for your retail business, please get in touch with our team on 01903 234094.