Retailers consider Black Friday one of the most critical days of the year to generate sales and connect with customers. Black Friday sales in the United States increased by 22% in 2020, reaching about $9 billion, despite the negative economic impact of COVID-19 shutdowns.
Certainly, things will be different by 2021, but knowing key Black Friday statistics will help you prepare your marketing strategy based on the right data. With the growth of online shopping, Black Friday has taken over the world, even though Thanksgiving in November is unique to the United States.
Black Friday has evolved into a season-long campaign of deals and promotions. In the weeks leading up to Christmas, retailers can recoup year-long losses through this shopping surge, and the term "Black Friday" reflects this. To prepare you for another year of shopping craze, we have gathered everything you need to consider.
After the Thanksgiving holiday in the US, Black Friday occurs. There are plenty of deals both online and in stores on this shopping day.
It is considered the start of a new shopping season when retailers offer special discounts and sales. Cyber Monday is also an important day to note (first Monday after Black Friday), as it marks the first day back to work for many consumers.
About $3.7 billion of Black Friday eCommerce revenue in 2021 came from smartphones, an increase of 2 percent over last year and a new record.
The biggest online shopping period of the year is Black Friday in the US and UK. The next five years have seen it surpass the pre-Christmas sales period in the UK, despite being well established in North America.
On both sides of the Atlantic, Black Friday and Cyber Monday are expected to break previous records in terms of traffic and sales. November is expected to be a very busy shopping month. Even retailers who don't agree with Black Friday eCommerce find that they cannot ignore it due to its sheer popularity.
With the growth of online retail, Cyber Monday has become equally popular. On a Monday immediately following Black Friday, retailers lure shoppers to their e-commerce sites with timed deals and steep discounts. According to the following statistics, Cyber Monday is rapidly overtaking Black Friday in terms of sales.
- Due to early sales launched by retailers such as Amazon, Best Buy, and Walmart as they tried to cope with shipping delays and supply issues during this year's Black Friday sale, we saw more early offers than ever before.
- This explains why spending on Black Friday was actually down 1.3% over last year, according to Adobe Analytics. Taking the month of November as a whole, consumers spent $109.8 billion, an increase of 11.9% over the same period in 2020.
- On Cyber Monday, the average order value reached $164.
- The average customer in Australia spent over $286 on Cyber Monday in 2021 compared to 2020.
- Black Friday weekend is the weekend when Canadians conduct one of five online shopping transactions, and they spend an average of $365. In Canada, retailers such as The Source and Staples are popular during Black Friday weekend.
- Cyber Monday sales are generally boosted in the waning hours of the day by fear of missing out, which is a perceived motivator.
- Cyber Monday sales for 2021 were about 10% below projections.
- There was a 60% increase in sales on Amazon Marketplace over the previous year.
- On Black Friday, the desktop conversion rate rose to 6.4% in 2021 from 3 percent in 2020.
- As compared to Black Friday 2020, computer prices dropped by 13.6% this year.
- Electronics were the items with the highest percentage discount.
During the 2021 Thanksgiving weekend, over 186.4 million customers shopped in stores and online, spending, on average, $312 each. Despite a decline compared to 2020, the figures are still higher than in 2019. Thousands of people are affected every year.
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The behavior of consumers can therefore drastically impact their spending patterns even with subtle changes. Businesses can better understand their customers' expectations in 2021 by detecting these variations.
What will People Spend on Black Friday and Cyber Monday 2021?
- As a result of the pandemic lockdowns last year, 75% of customers reported saving money on Black Friday thanks to not visiting stores.
- Only 17% reported spending the same amount as last year. In 2013, they did not hold back.
- Black Friday deals in 2021 will be more expensive for 59% of those who tightened their belts last year.
- Those who spent the same or increased their budgets in previous years will do so again this year (61%).
- Around 65% of customers are going to shop online in 2021, and 32% are looking for in-store experiences
- In-store shopping dropped by 30% over last year, which coincided with the online shopping trend. To comply with pandemic-related policies, people stayed at home and visited stores only when necessary.
- Despite the smaller number of holiday shoppers who plan to go to stores this year, they will probably spend more than those who plan to shop online. Approximately 66% of shoppers plan to spend more than last year. Online customers will spend more money this year than they did last year, only 46%.
What BFCM Trends are here to stay and what Trends are on their way
For BFCM 2021, the big question will be whether the shopping trends of 2020 will persist or wane as retailers return to business as usual. Consumers are still shopping in new ways even as things change and reopen.
1. Shopping small is still a big deal
Due to their non-essential status, small businesses were the hardest hit by COVID-19 closures. There has also been a movement to support local businesses and to shop at independent retailers. As businesses were able to open again in 2021, customers continued to shop locally.
Consumers once again chose independents for their holiday shopping. Shopify's independent and direct-to-consumer brands were the preferred choice for more than 47 million consumers during BFCM.
2. The demand for alternative fulfillment methods continues to grow
Both curbside pickup and local delivery were in high demand last year. The trend has continued this year. The curbside pickup-cart price in the US was $96.60, compared with $79.84 in 2020, and in Canada, it was $115.14, compared with $94.93.
Curbside pickup was also more popular in some categories than others, with apparel and accessories, home and garden, and health and beauty topping the list of most-shopped categories. Local delivery is also thriving, with the average cart price in the US for BFCM 2021 being $97.40. Local delivery in Canada averaged $120.75.
3. Foreign commerce still relies heavily on cross-border shopping
The last two years taught us that your business can be vulnerable if you rely only on one market or channel. Shipping internationally can boost your business. And many Shopify businesses have done that so far this year.
There are certain countries where customers are accustomed to placing international orders. Most of the cross-border activity was between the United States and Canada, Canada and the United States, and the United Kingdom and the United States.
Among the most popular items for these international sales are apparel and accessories, health and beauty products, and home and garden products. Being able to support international clients is becoming increasingly important in our increasingly globalized world. With a global-by-default approach, Shopify is making this a piece of cake for small businesses.
4. Mobile is king (still)
There is no reason to be surprised by the fact that more people are making Black Friday and Cyber Monday purchases from their phones than ever before. During 2014, mobile sales overtook desktop sales for the first time. Mobile devices will account for 71% of BFCM purchases in 2021, compared to desktops for 29%.
5. Social media is important to customers
Shoppers want to be able to buy from social media without leaving the app they're using. This is why you should integrate social media marketing into your strategy.
As a result of these integrations, customers can browse products right from apps like Instagram, add items to their carts, and check out all in one place.
After Black Friday Weekend, look for Sales Momentum
There is no such thing as Black Friday in a vacuum. Traditionally, the holiday shopping season kicks off during Black Friday (and Cyber Monday) sales. In the past, approximately 37% of holiday retail sales in the United States have taken place during the Black Friday Cyber Monday (BFCM), yet only about 18% of consumers have completed their holiday shopping by then.
Do you know about Cyber Week II? The second shopping bonanza occurs after Christmas when consumers are armed with gift cards. Around the world, it is the most popular time for sales.
Offering people personalized offers can encourage them to continue making holiday purchases. This could be displayed as a shopper explores the website, or an email could be sent to remind them about items they browsed but did not purchase. In peak season, it greatly increases your chances of increasing your sales.
When is Black Friday 2022?
The 2022 Black Friday will be held on Friday, 25 November, and Cyber Monday will follow on Monday, 28 November. Black Friday 2022 sales should begin around two weeks before the actual event, which is Friday 11 November.
As a result of the pandemic, merchants have faced some of the biggest challenges they've ever faced, but this year's BFCM data shows they're more resilient than ever and looking forward to the future.
These last two years have shown the resilience of small businesses. Once again, entrepreneurs have broken sales records, proving that any obstacle can be overcome. Let me end by saying thank you to all independent businesses. Despite all obstacles, you have been able to adapt, pivot, and thrive.
An engaging campaign that provides a seamless customer experience can help you capture and impress Black Friday customers and increase your chances of converting them into repeat customers. Our team can help if you are overwhelmed about where to start when it comes to the Black Friday shopping rush.