British shoppers are planning to spend an estimated £6bn on Black Friday and Cyber Monday purchases this year, according to research from Finder.com. This figure is £0.4bn more than what Brits spent last year (£5.6bn). However, fewer people will be splurging on Black Friday and Cyber deals this year than last year.
Let’s take a look at the reasons for these spending trends and figures.
Brits will spend more on Black Friday and Cyber Monday deals this year
Finder.com found that fewer Brits are planning to take part in Black Friday and Cyber Monday sales this year. While 42% of consumers in the country took part last year, only 39% will participate this year.
However, those seeking Black Friday and Cyber Monday deals this year plan to spend more on average.
In 2019, shoppers planned to spend an average of £251.20 across Black Friday and Cyber Monday. This year, they’re planning to spend £295.67, an increase of about 18%.
So even though fewer Brits will be accessing in the sales this year, more average spending per person will increase the total amount spent.
The effect of coronavirus on consumer spending
Up to 15 million people in the UK have experienced a hit to their personal finances because of coronavirus, according to StepChange. This has caused emergency borrowing to soar by 66% since May to £10.3bn.
At the same time, the pandemic has made many of us more mindful of how we spend our money. We have adopted new habits to try and stretch our money further.
The biggest result of these new money-saving habits is a significant reduction in non-discretionary spending across the UK.
The impact of coronavirus on Black Friday
The majority of Black Friday deals this year will likely be found online. This is largely attributable to coronavirus, which has accelerated the shift towards online shopping.
That hasn’t stopped consumers holding off spending or shopping for much of the year in anticipation of Black Friday deals. Their hope is to make the most of their limited funds by taking full advantage of the discounts on offer.
This might explain why the average spending per individual on Black Friday is expected to be higher this year.
As for why fewer consumers will make use of Black Friday deals this year, there are two probable reasons.
- A significant number of people, particularly those whose income has been affected by coronavirus, simply don’t have the money to splurge on Black Friday or Cyber Monday deals
- Many people are now keen on saving rather than spending after being caught unprepared by the pandemic.
Make the most of Black Friday deals
If you are one of those hoping to take advantage of Black Friday deals this year, here are a few useful tips to help you make the most of the day:
- Do your research by reading product reviews and making enquiries where needed.
- Use apps and sites such as PricerRunner and PriceSpy to check out the price history of a product to make sure that you are actually getting a bargain.
- Shop around to identify the best deals.
- Make a budget and stick to it; avoid impulse buying or panic buying.
- Pay for your purchases with a credit card that offers protection under section 75 of the Consumer Credit Act should something go wrong with your purchase.
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