Black Friday set to rival Boxing Day in NZ & Australia

Over the past decade, Black Friday has become a major event in the pre-Christmas retail calendar across Australia and New Zealand.

Retailers have been extending sales periods and offering substantial discounts. In Australia, the concept of 'Black November' has emerged, with sales occurring throughout the entire month. In New Zealand, Black Friday holds considerable significance, now rivalling Boxing Day, with retailers reporting record-high sales.

The COVID-19 pandemic prompted many retailers to enhance their online offerings, thus accelerating Black Friday's growth by making sales more accessible.

Alistair Leathwood, Head of Insights, Analytics and Media, APAC at Circana, said, "The growth of Black Friday has been driven by changes in consumer behaviour, technological advancements, and strategic adaptations by retailers. The 2024 event is expected to be the biggest on record, with consumers especially motivated to save big, given the cost-of-living pressures."

Circana has highlighted several key Black Friday shopping trends for consumers and businesses.

Firstly, hybrid shopping experiences are increasingly popular. Consumers are combining online and in-store shopping to maximise savings and convenience. According to Shopify's 2024 holiday retail survey, 60% of consumers utilise this hybrid approach, purchasing small items online and larger purchases in-store.

Extending the sales periods through the weekend and into Cyber Monday and beyond is another trend. This strategy aims to alleviate consumer spending pressures by spreading out their purchases.

Social media exerts significant influence, particularly amongst younger consumers aged 18 to 24. Platforms such as Instagram and TikTok shape purchasing decisions, with 55% of surveyed shoppers using these platforms.

Sustainability is gaining traction, with 26% of shoppers planning to make more eco-friendly purchases. Consumers are showing a preference for independent brands prioritising sustainable practices.

Free shipping remains a decisive factor, impacting purchase decisions more than customer experience or loyalty schemes. The Shopify survey indicated that 47% of consumers viewed free shipping as a crucial decision-maker.

Retailers and consumers alike are navigating an evolving retail landscape. Adapting to new trends and technologies is essential for success during this key shopping period.