Deloitte comments on Black Friday discounting has been saved
Deloitte comments on Black Friday discounting
27 November 2019
Commenting on Black Friday sales, Ian Geddes, North South Europe head of retail at Deloitte, said:
“Promotional Black Friday events have kick-started discounting in the Golden Quarter earlier than ever this year, as retailers attempt to draw in shoppers amid falling consumer confidence.
“Deloitte’s research found that UK consumers have an average Christmas budget of £567 each this year, up 1.3% from 2018, with over a third intending to buy presents in November. Whilst just 2% intend to make use of Black Friday promotions for the majority of gift purchasing, it remains a key date in the retail calendar as sales are likely to be driven by self-gifting.
“Falling on the last Friday of the month, Black Friday itself coincides with payday for many. This happy coincidence will be welcomed by retailers, which could see record sales as a result.”
Commenting on November discounting, Jason Gordon, lead consumer analytics partner at Deloitte, said:
“Discounting for November is only marginally deeper, by 0.1% on average, than this time last year when average discounts reached 26.6%. Whilst discounting itself remains largely consistent with 2018, Black Friday sales have been some of the earliest on record, and could see sale volumes jump significantly for retailers.
“Some retailers are already advertising up to 70% off goods, but the question remains whether these offers are temporary or a seamless continuation of mid- and end-of-season autumn sales. What is clear is that Black Friday discounting is no longer a clear-cut, single day of promotions, but an extended period, with many of this year’s sales lengthening to over a fortnight. In some instances, up to three weeks.
“This is good news for consumers who are already taking advantage of the breadth of discounts on offer. Additionally, we are also seeing promotions applied to more regular merchandise, reflecting a ‘truer’ discount.
“For those consumers looking for pre-Christmas bargains, the greatest discounts are likely to be found in the mid-market clothing category. With Black Friday sales just warming up, we could see lots of last minute discounting on the day itself.”
Notes to editors
In this press release references to “Deloitte” are references to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”) a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity.
Please see deloitte.com/about for a detailed description of the legal structure of DTTL and its member firms.
Deloitte LLP is a subsidiary of Deloitte NSE LLP, which is a member firm of DTTL, and is among the UK's leading professional services firms.
The information contained in this press release is correct at the time of going to press.
For more information, please visit www.deloitte.co.uk
Member of Deloitte Touche Tohmatsu Limited