Electronics remain the big-ticket item for savvy pre-Christmas shoppers.
More than half of bargain-hunters during this year’s Black Friday and Cyber Monday sales extravaganzas plan to spend between €100 and €500 online and offline, and increasingly by mobile phone.
A new survey by PwC indicates that 32pc of Irish shoppers will increase their spending during this year’s Black Friday/Cyber Monday sales and 26pc will increase their spending in the run-up to Christmas.
‘The survey gives a clear message that retailers must digitise their businesses to offer an integrated, seamless online and mobile experience alongside that in-store’
– GRACE MCCULLEN
PwC said that the increase in spending reflects a more positive outlook among consumers (25pc) about the economy in the year ahead.
Inherited from the American Black Friday sales that follow Thanksgiving every year, Black Friday 2018 (23 November) will see consumers flock for bargains in stores and online. Cyber Monday is a marketing term for the Monday after the Thanksgiving holiday in the US and was created by marketing companies to persuade people to shop online.
One-fifth (19pc) of survey respondents confirmed that they will purchase on Black Friday/Cyber Monday, while a further 37pc are considering it. Shoppers are polarised in their views of Black Friday/Cyber Monday shopping as 61pc of 18- to 34-year-olds intend to purchase, while only 7pc of the over-55s will.
Just 20pc of shoppers expect to do the majority of their Christmas shopping on Black Friday/Cyber Monday while the majority (60pc) of survey respondents still expect to do it in December. Nearly one in 10 (9pc) have done their Christmas shopping already.
Clothing/footwear (69pc) and electronics (60pc) will be the big-ticket items and the most popular on Black Friday/Cyber Monday. Around a third plan to purchase beauty products, toys, books, movies and games. The electronics category is most popular with men while clothing/footwear is most popular with women. Nearly half of 35- to 44-year-olds plan to buy toys.
“With retailers and brands going through so much transformation, the survey highlights that Black Friday/Cyber Monday and [the] run-up to Christmas offer great shopping and business opportunities,” said Owen McFeely, director of PwC’s retail and consumer practice.
“Savvy shoppers are getting the Black Friday feeling, and so should retailers. The survey highlights that consumer spending in Ireland will be significant on Black Friday/Cyber Monday and retailers need to ensure they get their fair share of the action.”
Mobile is adding a new dimension to the madness
The survey reveals that the most popular channel for Black Friday/Cyber Monday spending is online (66pc); for Christmas spending, it is the store (58pc).
Nearly half (49pc) of 18- to 34-year-olds plan to make their Black Friday/Cyber Monday purchases via their mobile phones while a third (34pc) of over-55s plan to purchase online via laptop or desktop.
“The survey gives a clear message that retailers must digitise their businesses to offer an integrated, seamless online and mobile experience alongside that in-store,” said Grace McCullen, senior manager of PwC’s retail and consumer practice.
“In spite of online trends, satisfying consumer expectations in-store is as important as ever. Retailer-owned media channels, including websites, apps and social media, are powerful methods to directly entice and engage with shopper segments. They can also help retailers reach the ultimate goal of long-term customer value.”