Commerce is a form of interpersonal dialogue. When the goals of some participants align with those of others, and the first group is smart enough to predict the reaction of the second, we get the phenomenon of Black Friday. It is talked about everywhere and all the time. Shopping malls experience extreme activity, sometimes leading to tragic incidents in some countries. But what is Black Friday really, and what are its results? Read about it in today’s Brandon blog.
In many stores, real discounts are much smaller than the tricks used to create the illusion of a sale. More often than not, only leftover stock from previous seasons gets discounted, while the latest collections are sold at full price—even on Black Friday. In many cases, promised price reductions mean that prices were artificially raised two weeks prior, only to be brought back to their original level on Black Friday.
Is Black Friday a sales promotion tool?
Black Friday was introduced by the National Retail Federation in the United States. At first glance, its purpose wasn’t obvious—it aimed to promote brands, products, and stores during seasonal declines in sales. The goal was to establish a new cultural norm—shopping hysteria.
The mechanism was quite simple. Retailers tried to sell old stock at cost price to clear out warehouses and attract more customers to their stores. All of this was done against a backdrop of massive advertising—not focusing on products or locations but on the event itself. This allowed stores to get rid of excess stock while gaining consumer trust.
Today, brands spend millions on Black Friday advertising—not to create a social dynamic that encourages spending, nor to build long-term relationships with customers. Instead, they do it because advertising is easier than loyalty-building.
Why invest in customer relationships when it's much easier to capitalize on a momentary hype?
But year after year, shoppers realize that there’s little reason to rush into Black Friday sales. The same products, at the same prices, can be found on store shelves in January, when retailers traditionally experience a drop in sales and offer additional promotions to attract buyers.
Have you ever taken advantage of Black Friday discounts? Do you consider your purchases worthwhile? Share your thoughts in the comments! Keep following Brandon's blog, and don’t forget to check out our post “Black Friday: 12 Interesting Facts”.