Black Friday, an annual shopping extravaganza, has evolved into a global phenomenon, with its impact on online sales more significant than ever. In 2022, the United States witnessed a notable +13% increase in online transactions during the Black Friday weekend compared to the previous year, reaching unprecedented peaks. This surge indicates a shift in consumer behavior, underscoring the importance of strategic planning for businesses.
The Soaring Online Sales of Black Friday and Prospects for 2023
Online transactions on Black Friday 2022 saw a staggering +374% increase compared to the October average, with online sales amounting to $9.12 billion. This surge, with an 81.3% increase in absolute online sales, reflects an average annual growth rate of 14.86% from 2017 to 2022.
One of the primary reasons for the surge in online purchases during Black Friday is linked to prices. Globally, 76% of consumers prefer online shopping because it’s easier to compare prices, while 74% are attracted by the prospect of lower prices.
As Black Friday 2023 approaches, anticipation is high for increased consumer participation driven by enticing prices and targeted promotions. This is particularly significant for online sales.
Global Popularity of Black Friday
Internationally, the popularity of Black Friday is evident, with 44% of Italians expressing a positive perception of its global significance. Moreover, 43% of global consumers express interest in using Black Friday deals for holiday shopping.
Retailers’ Strategic Approach and the Role of Physical Stores
Black Friday is not solely a consumer-driven event; businesses are strategically aligning themselves to capitalize on its revenue-generating potential. In 2022, a surprising 85% of retailers planned promotional campaigns for Black Friday.
While physical stores continue to play a vital role, the purchasing journey often begins online. An overwhelming 81% of consumers conduct online research before making in-store purchases, highlighting the interconnected nature of online and offline shopping.
Competitive Intelligence and the Data-Driven Approach
In this highly competitive online market, where consumers can quickly compare prices, businesses must act strategically. Competitive Intelligence (CI) emerges as a key factor to help businesses develop a robust online strategy, optimize prices, and secure the right position.
Constant monitoring of competitor websites and major retailers can provide essential insights for best preparing a company. Through CI, it is possible to collect:
- Pricing data and price variations, including ongoing promotions.
- Product availability data.
- Data on the introduction of new products and product lines.
- Day-to-day trends in prices and promotions over time.
- Comparisons between products and prices of brands and retailers.
Continuous monitoring is the only way to ensure not to miss any data and optimize activities to stay ahead of the competition. Imetrics offers fully digitized CI solutions optimized to ensure up-to-date data and a competitive edge for its clients.
Conclusion
As Black Friday continues to shape consumer behavior and online sales, businesses leveraging the power of Competitive Intelligence can gain a competitive advantage. Insights obtained from CI data allow brands to navigate the complexities of Black Friday, both in the pre and post-event phases, ensuring an informed and strategically positioned approach. Explore the untapped potential of CI to maximize your brand’s success during this transformative sales event.
