Today, Black Friday represents a shopping tradition that has been cemented into the American consumers’ consciousness. Oftentimes, it kickstarts the national shopping season and is famous for being the day with the highest purchase rates for electronic devices, as well as a plethora of other products and services, all at discounted prices.
Economic analysts often use data obtained on Black Friday to gauge the short-term health of the consumer market. This allows for the creation of numerous financial predictions, which often prove highly useful for product manufacturers and service providers.
Despite the overall popularity of Black Friday, a recent report published by Adobe Analytics indicates that $1 billion in online revenue will be lost as part of this year’s shopping season. Surprisingly, the underestimated economy isn’t the one to blame in this case — rather, it’s the calendar date.
To put things into perspective, the shopping season this year will be 6 days shorter compared to the previous season. More so, this year’s shopping season will be the shortest one since 2013, due to Thanksgiving always falling on the fourth Thursday in November; hence, leaving shoppers with less time to plan their purchases.
According to the Adobe Analytics report, despite the shorter season, online sales will still likely surpass $143.7 billion, which is a 14.1% increase compared to last year. Similarly, the National Retail Foundation stated that a 3.8% increase will be noticed in the case of holiday sales, another increase from last year’s data.
Of course, these are only predictions. Accurate data will likely be released tomorrow, once Black Friday is over, as well as after the Christmas celebrations.
Overall, holiday-related expenditures are good indicators of economic health and represent an efficient method of gauging future trends in the consumer’s market.