Black friday sales

Definition

Black Friday sales refer to the major retail shopping event that occurs the day after Thanksgiving in the United States, marked by significant discounts and promotional offers. This event not only signifies the start of the holiday shopping season but also creates a sense of urgency among consumers to take advantage of limited-time deals, driving them to stores and online platforms in large numbers.

5 Must Know Facts For Your Next Test

1. Black Friday originated in the 1960s but gained widespread popularity in the 1980s as retailers began to offer significant discounts to attract shoppers.
2. Many retailers open their doors early on Black Friday, some even on Thanksgiving evening, to capture early-bird shoppers looking for the best deals.
3. The term 'Black Friday' reflects the transition of retailers from operating at a loss (in the red) to making profits (in the black) due to increased sales during this time.
4. Online shopping has become a major component of Black Friday sales, with many retailers offering exclusive online deals that cater to consumers who prefer shopping from home.
5. The event has grown internationally, with many countries adopting their own versions of Black Friday sales, often featuring local products and deals.

Review Questions

• How do Black Friday sales create urgency and influence consumer behavior?
  • Black Friday sales create urgency through limited-time offers and significant discounts, prompting consumers to act quickly to secure desired products. The fear of missing out on these deals drives shoppers to plan ahead, often leading to long lines and early store openings. This behavior is further fueled by marketing strategies that highlight scarcity, making shoppers feel pressured to buy before items sell out.
• Discuss the impact of online shopping on Black Friday sales and how it changes consumer expectations.
  • Online shopping has transformed Black Friday sales by offering consumers greater convenience and accessibility. Retailers provide exclusive online deals that encourage shoppers to browse from home rather than physically visiting stores. This shift has raised consumer expectations for seamless digital experiences, including fast shipping and easy returns, and has prompted traditional retailers to enhance their online platforms to compete effectively during this crucial shopping period.
• Evaluate the long-term effects of Black Friday sales on retail strategies and consumer habits.
  • The long-term effects of Black Friday sales on retail strategies include an increased focus on strategic discounting, customer loyalty programs, and enhanced marketing campaigns around scarcity. Retailers are now more aware of consumer behaviors influenced by Black Friday, leading them to plan promotional strategies well in advance. Additionally, this event has shaped consumer habits by fostering a culture of deal-seeking, which can result in shoppers waiting for big sales instead of purchasing items at full price throughout the year.

Related terms

scarcity marketing: A marketing strategy that emphasizes limited availability of products or offers, encouraging consumers to make quick purchasing decisions.

loss leader: A pricing strategy where retailers sell a product at a loss to attract customers, with the expectation that they will purchase additional items at full price.

flash sales: Time-limited promotions that offer steep discounts on select products for a short period, creating a sense of urgency for customers to buy quickly.