What Are The Benefits of Black Friday?

We look at some of the benefits of Black Friday sales for retailers and we analyze the cons of participating in discounting around Black Friday weekend. Understanding the pros and cons can significantly impact retailers' Black Friday E-commerce Strategy.
What Are The Benefits of Black Friday?
What Are The Benefits of Black Friday?

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The majority of retailers will be taking part in Black Friday promotions this year, according to our survey of retailers. However, retailers have differing views around Black Friday, so we asked our survey respondents for the pros and cons as they see them.

Black Friday Benefits

Increased Traffic and Sales

People are looking for deals, they’re also shopping for Christmas, and Black Friday and Cyber Monday focus a lot of traffic and sales in a short period. It’s one of the Best Days For Ecommerce Sales throughout the whole year.

Last year, we saw sales volumes many times those of an average day on both Black Friday and Cyber Monday.

This is a clear opportunity for retailers to capitalize on customer demand and bring extra traffic to their sites.

An Opportunity to Clear Stock Before Christmas Season

Many retailers see Black Friday as an opportunity to clear old inventory to introduce newer stock in time for Christmas.

This applies to fashion retailers of course, but electronics retailers can also offer discounts on items like TVs and laptops knowing that newer models are coming soon.

Customer Acquisition

New customer acquisition can be expensive, but Black Friday offers retailers a chance to acquire new customers at a key time of year.

If you acquire customers around Black Friday and keep them happy, then you have a chance to drive repeat sales in the Christmas period and beyond using a good purchase email strategy.

If customers can be retained in the longer term and they buy at full price later, this justifies discounting around Black Friday.

Incremental Sales

People have a real intent to purchase around the Black Friday weekend, which can translate into incremental sales.

This means that customers head to sites looking for bargains, but end up buying full-price items as the money is burning a hole in their pockets.

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