Some business owners have started their Black Friday sales, while others are all geared up for it. Traditionally, Black Friday is the Friday after Thanksgiving in the United States, and the last Friday in November. Now, it may be done on every Friday in November, or any other day. In fact, for many businesses, black Friday sales runs throughout November, with flash sales and special discounts on selected dates.
Why is it considered to be the biggest sales of the year?
Well, as November comes to an end, black Friday is just the time when the Christmas shopping begins.
How come the name ‘Black Friday’?
Well, there are different explanations as to why it is called Black Friday. One version says police officers in Philadelphia began using the phrase “Black Friday” in the early 1960s to describe the chaos that resulted when large numbers of suburban tourists came into the city to begin their holiday shopping and, in some years, attend Saturday’s annual Army-Navy football game. The black became necessary because Police officers had to work longer shifts during this period to deal with issues like traffic jams, accidents, shoplifting, and others..
However, here’s one version that would interest every business owner. It says Black Friday derives from the idea that the massive sales made during the period puts the business “in the black” (meaning profits). So, even for businesses that operated at a loss prior to this time, Black Friday presented them an opportunity to turn a profit.
The profit does not come from large profit margins, but from the massive sales and high turnover. Maybe this even has something to do with the following day being called “Small Business Saturday”. Whether true or not, this can apply to your business. Data shows that eCommerce retailers report up to 240% increase in revenue on Black Friday. The question is; what are you doing with Black Friday?
Here are some E-commerce insights on Black Friday, and actionable tips for business owners.
- Black Friday shoppers are more likely to shop online than in-store. With technological advancement, most people would rather opt to shop online than go to the crowded store outlets and join long queues. Data shows that more people complete purchases online during this period, even for those that have had items in their shopping carts for months. Tip: Prepare your online sales team to attend promptly to orders and enquiries. It may be overwhelming, but you want to make sure a potential customer does not get frustrated with delayed replies and takes his money elsewhere.
- All-day sales are more effective than flash-sales. While flash-sales sound tempting, they really are not as effective as all-day sales. You can however use flash-sale to encourage shopping during your low-traffic hours
- Compared to normal days, Online traffic increases up to 220% on Black Friday. If more people are online, then what you should be doing is displaying your best offers and products. You can do so on your website and/or even run sponsored ads to bring them to your space.
- More than 70% of Black Friday desktop shoppers spend their money with retailers who offer free shipping. Do you really need any tip on this? I guess not. You know what to do.
- A five-day shopping bonanza is an ideal way to clear your stocks. It is also a good idea to cross-sell and upsell to your customers while they are shopping and during checkout. Remember to incentivize shopping with you. Offer discount coupons (especially for customers who check out within a certain time-frame), or free shipping or add a free gift etc. Keep in mind that the incentive should not prevent you from making a profit though.
- Extra tip – activate the emotional triggers. Unlike other times of the year, the black Friday shopper has the money to shop and is ready to spend it. Help them reach a purchase decision by activating the emotional triggers that get the job done. Things like limited discounts, free shipping, referral coupons, and free gifts as earlier mentioned, can get the job done.