Australian consumers are set to spend big this year with the NRA predicting a $9 billion spend over the Black Friday and Cyber Monday sales period.
Black Friday is here and The National Retail Association has reported that Australian consumers are ready to spend big. “Black Friday and Cyber Monday sales are growing in popularity with retailers and consumers, especially as for those who want to get ahead of their Christmas shopping and cash in on the great deals,” said NRA Deputy CEO Lindsay Carroll. “Each year the event gets bigger and better, and the NRA predicts Aussies will splash $9.04 billion nationwide.”
Compared to 2021, there is set to be a 3.9 percent increase in spending.
According to Carroll, consumers are being strategic with their spending this year, as the cost of living crunch continued to impact household spending. “Current cost of living challenges have caused consumers to tighten their purse strings, but rather than not spending at all, they are planning ahead by holding back on their day-to-day spending to be able to splurge on the festive season.
“This behaviour is causing consumers to be selective of the retailers they choose to spend with. Shoppers want a great retail experience and are looking at retailers that provide a whole suite of complementary services such as free delivery and returns, loyalty rewards, friendly staff and click and collect.”
According to Google Trends data research by Picodi, In Australia, Black Friday enthusiasm decreased by 15% in the last three years. Although Black Friday doesn’t attract as much attention as it used to, on November 26 2021, the number of sales was 191% higher compared to a regular day, and on other days of the so-called Black Week, sales were between 58% and 177% higher.
An increase in sales events and Black Friday branding throughout the year is cited as a possible reason for this dwindling interest.
Ms Carroll also said that consumers were returning to brick-and-mortar stores now that lockdowns were a thing of the past. “This year we can expect more shoppers to return to brick-and-mortar stores, shopping centres and high streets, but retailers need to be able to deliver the same convenience their customers have become accustomed to through online shopping.
“The NRA’s Consumer Sentiment Report, released in October, found 94 per cent of consumers want to save time and 77 per cent of consumers want the flexibility to shop whenever and wherever they want.
“Retailers can capture this sentiment by making their items easy to find, training their staff appropriately and offering fast and flexible fulfilment options.”
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