Black Friday – Fantastic Facts, Stats & Predictions

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Black Friday has become an international phenomenon that transcends its origins in the United States. It’s more than just a shopping day; it’s the official start to the holiday shopping season, known for jaw-dropping deals, midnight shopping sprees, and, increasingly, a major online presence. Let’s explore the exciting facts, fascinating statistics, and some predictions about this global shopping event.

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The History of Black Friday

The term “Black Friday” originally surfaced in the 1960s in Philadelphia, where police used it to describe the chaos that ensued on the day after Thanksgiving due to massive shopping crowds. Businesses, however, rebranded it to signify profitability – “going into the black” meant companies were turning a profit, a fitting description for this day of booming sales.

Fun Facts About Black Friday

1. Peak Traffic Day for Retail: Black Friday has been the biggest shopping day of the year for U.S. retail since 2005, with stores opening as early as midnight and, more recently, online deals launching as early as Thanksgiving Day.
2. Global Expansion: What started as a U.S. phenomenon has spread worldwide. Countries like Canada, the UK, Brazil, and even China now offer Black Friday deals, adapting this shopping extravaganza to their own retail calendars.
3. Cyber Monday Came Later: Cyber Monday was introduced in 2005 as an online shopping counterpart to Black Friday, which had mostly been focused on in-store sales. Now, Black Friday sales cover both online and in-store shopping, creating an entire shopping weekend.
4. Thanksgiving Day Shopping Controversy: In recent years, stores have started offering “pre-Black Friday” sales on Thanksgiving itself, sparking debates about the holiday’s intrusion on family time. This trend has fluctuated, with some retailers choosing to remain closed on Thanksgiving.

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Black Friday Stats – By the Numbers

1. Massive Revenue: Black Friday 2022 saw U.S. consumers spending over $9 billion online, with projections for 2023 expecting this number to exceed $10 billion, as e-commerce continues to gain traction.
2. Online vs. In-store Sales: E-commerce has shifted the dynamics of Black Friday, with nearly 60% of Black Friday sales now occurring online rather than in stores, a trend only accelerated by the COVID-19 pandemic.
3. Top Categories: The most popular items include electronics, apparel, home appliances, and toys. Gaming consoles and high-tech gadgets are especially sought after, often leading to sell-outs within minutes.
4. Record Sales of Mobile Shopping: The rise of mobile technology has brought about a surge in smartphone shopping. In 2022, about 45% of Black Friday online sales were made through mobile devices.
5. Cart Abandonment Rates: Despite the excitement, Black Friday cart abandonment rates reach around 75%, as consumers compare prices across different sites before committing to a purchase.
6. Return Rates: Black Friday also sees one of the highest return rates, with an estimated 30% of items bought either being returned or exchanged in the days following the event. This has led retailers to create more flexible return policies to retain customers.

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Predictions for Black Friday 2023 and Beyond

1. Longer Shopping Seasons: Retailers have begun stretching Black Friday deals into the entire month of November. Expect Black Friday to be less about a single day and more about a “Black November” as retailers launch promotions throughout the month to capitalize on demand.
2. Enhanced Online Experience: More retailers will be using AI, VR, and AR to create a more interactive online shopping experience. Customers may try on outfits virtually or preview how appliances would look in their homes using augmented reality.
3. Sustainability Push: Consumers are becoming more eco-conscious, and brands that offer sustainable or eco-friendly products are likely to see an uptick in sales. Some retailers are emphasizing the environmental impact of Black Friday and encouraging consumers to consider more sustainable purchases.
4. Buy-Now-Pay-Later Growth: Payment options like Buy Now, Pay Later (BNPL) have surged in popularity, allowing consumers to spread their payments over time without interest. Expect BNPL platforms to dominate Black Friday as shoppers seek more flexible payment options.
5. Focus on Local and Small Businesses: As a response to growing demand for local shopping, more consumers will shift focus from large retailers to local stores or small businesses. Black Friday promotions in this sector are predicted to gain traction as people seek unique, small-batch products.
6. Further Integration with Social Media: With social media’s influence on consumer spending, retailers are likely to increase their use of social media platforms for “shoppable” posts. Influencers, video demos, and live-streamed deals will become more prominent.

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Tips for Shoppers: Making the Most of Black Friday

1. Start Early: Many deals start as early as November 1. By the time Black Friday arrives, you may already be able to purchase the items you want.
2. Use Price Comparison Tools: Apps and websites like Honey, CamelCamelCamel, and PriceGrabber can help you compare prices, so you get the best deal possible.
3. Set a Budget: It’s easy to get carried away with “too-good-to-miss” deals, but setting a budget can help prevent overspending.
4. Research Return Policies: Since Black Friday has a high return rate, check the return policy on the items you buy in case you change your mind or find a better price later.

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Final Thoughts

Black Friday is evolving rapidly, integrating digital innovation and reshaping itself to align with modern consumer expectations. Whether you’re shopping in-store, online, or even locally, it remains a time when retailers pull out all the stops. As we look toward the future, Black Friday will continue to be a major player in the retail calendar, capturing the excitement of the holiday season with unbeatable deals and new shopping trends.

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