Slack Friday: Retailers offer huge deals and 60% off, but fear shoppers will tighten their belts this Christmas
- Deals of up to 60 percent off are already on offer before Black Friday
- Retailers fear consumers will tighten their belts over the coming weekend
- Figures show retail spending falls for first time outside of pandemic in 14 years
As the cost-of-living crisis strikes and consumers brace for the Chancellor’s tax raids, Black Friday offers shoppers a good chance to save some hard-earned cash.
For those looking for bargains, stores are already offering 60 percent discounts to shops desperate to be out of stock after Christmas. Some sales started weeks ago.
Gadgets are popular Black Friday buys, but off-high street retailers, including dentists, tradesmen, and even window fitters, offer Black Friday deals.
Shoppers’ outlay for the coming weekend is forecast to be 0.8% higher than last year, but 11% inflation means actual purchase volume will plummet.
But retailers fear the shopping weekend, which begins Friday, may have to be renamed Slack Friday as consumers tighten their belts.
Shoppers’ outlay for the coming weekend is expected to be 0.8 percent higher than last year, but 11 percent inflation means actual purchase volume will plummet.
Stores will see only a near-average day, with most shoppers engaging online and nearly £2bn of the £3bn expected to spend on Friday, according to a study by GlobalData Retail for VoucherCodes.co. uk.
But Friday night trading will be hurt by people watching England v USA in World Cup soccer at 7pm, instead of heading to the stores after work or spending online.
The dismal Christmas numbers show retail spending falling for the first time out of the pandemic since the credit crunch 14 years ago, when a number of retailers including Woolworths went bust.
A £2.5bn decrease from last year will see outlay in the six weeks until the New Year fall to £82.2bn.
A frugal holiday season will see gift spending hit hardest, falling 7 per cent.
This is largely responsible for electronics sales falling 16 percent, GlobalData Retail said. Professor Joshua Bamfield, director of the Center for Retail Research, added: “Because it’s Christmas, people will still be spending, but they’ll be very careful with big-ticket items like electronics.”
“Black Friday will primarily be an online event. Retailers will be eager to sell as much as possible, so there will be generous discounts.”
GlobalData Retail analyst Joseph Robinson said: “The Black Friday period will be a relatively bright spot after the months retail has had and ahead of a very weak Christmas.”
“Although there is a 0.8 percent increase in spending on Black Friday, the actual volume of purchases will decrease due to inflation.
“Cost of living concerns mean promotional items are more attractive, which is why some people have delayed spending until Black Friday. But people will cut back on gift spending over Christmas, as food and travel cost more now.”