Christmas in November: Black Friday spend tipped to top Boxing Day
Black Friday is quickly leapfrogging Boxing Day as the biggest shopping event of the year, with over 10 million Australians tipped to spend an average of $440 each at the sales.
New figures released by strategic insights consultancy Nature predict a 14% boost on last year’s Black Friday sales, which saw Australians spend a record $7.1 billion, driving November spend to a record high for the month. Black Friday lands on November 24, and the sales carry through the weekend and into Cyber Monday, the digital equivalent.
Australians are increasingly using the sales to get their Christmas shopping done earlier. Last year’s Salesforce’s Holiday Insights Hub found that around 25% of all Australian Christmas shopping is done during the Black Friday sales. It also found the average discount during the sales was 22%.
Black Friday anticipated spend is expected to be 20% higher than Boxing Day spend in 2023, and more than two-thirds of Black Friday spending is expected to be split across three categories: clothing, shoes and beauty (30%); electronics, tech and entertainment (21%); and furniture and home lifestyle (17%).
“Black Friday has become a spending beacon for consumers, who are deferring their expenses to cash in at sale time,” explains Nature’s senior consultant, Andrew Zylstra.
“It’s also bringing forward Christmas, with 37% of people saying they plan to get a good deal and beat the rush for Christmas during Black Friday. But it isn’t all pre-planned: 44% of people will decide their purchases on Black Friday itself.
“Given how muted current retail sales are, this upcoming Black Friday event is unmissable for retailers – both online and in-store. Online sales will drive purchase behaviour and digital channels are necessary pre-purchase touchpoints for consumers when they are researching what to buy.”
Paul Zahra, CEO of the Australian Retail Association, noted the earlier Christmas shopping trends last year were driven by cost-of-living concerns.
“We know that many people are more conscious about their household budgets with the cost of living going up and interest rates on the rise, so the Black Friday sales are an ideal time to complete your Christmas purchases, save money and ensure that your gifts are delivered on time,” said Zahra.
So, what should brands and retailers do to maximum these shifting shopping patterns?
“For retailers, winning at Black Friday is now more important than ever and our research has uncovered a number of key steps to success,” said Nature’s head of strategy, Aliya Hasan.
“Beyond cost savings, free shipping and returns are major conversion drivers for consumers.
“Given the appeal of Black Friday to younger shoppers, personalisation – think text, social media and search marketing – cannot be underestimated. It is critical that brands have up-to-date UX and website accessibility; consumers will spend quite a bit of time researching and purchasing online and if the experience is not fast and seamless, they will go elsewhere.
“While we’re living through a period of enormous economic uncertainty, there’s one things retailers and brands can bank on: people will be spending big at Black Friday, so they should get ready.”
Got a tip?
Nathan Jolly is the Deputy Editor of Mumbrella. He joined the team in July, 2023.
Linkedin
Have your say