Get ready for a blowout Black Friday
Nov 17, 2023, 23:29 IST
- Black Friday and holiday sales might be bigger and better this year.
- Credit-card delinquencies are rising, Americans are saving less, and consumer confidence is falling.
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Get ready for some killer sales on holiday goods.
Retailers are warning that demand is slowing heading into the holiday season. Walmart said this week it's seeing more shoppers spend only during sales events — not before, or after — and Target said shoppers are delaying more purchases. Meanwhile, credit-card delinquencies are rising, Americans are saving less, and consumer confidence is falling.
All of this could be adding up to a perfect storm for some blowout Black Friday and holiday sales. The all-important holiday period from early November to late December is always marked by promotions. But this year is shaping up to feature even sweeter deals than in recent years, as retailers battle for an increasingly tepid consumer.Indeed, Adobe Analytics, which tracks holiday sales, said in October that it expected discounts to hit record highs this season — peaking at 35% off listed prices for toys and 30% off listed prices for electronics.Target and Walmart are already gearing up to lure shoppers with big discounts. Target said it would offer thousands of gift ideas under $25 and hang signage in stores highlighting value (a word the company's executives mentioned 17 times on an earnings call this week, by CNBC's count). Discounters and other stores known for low prices, like Walmart, are likely to win big in this environment, while higher-priced competitors may feel some pain.But the biggest winners of all in a blowout Black Friday, of course, would be shoppers.