The consumer spending kick off started early Friday morning beginning the holiday shopping season. After all the tryptophan (an aromatic amino acid that releases insulin into the blood stream; cause of post-meal drowsiness) wears off, shoppers prepared themselves to experience the craziest shopping day of the year, Black Friday.
Black Friday, which is traditionally held the day after Thanksgiving, started earlier than normal for most retail stores this year, opening their doors as soon as 12am. The idea behind was simple, to raise sales. Black Friday did exactly that. With an increase of 7%in in-store retail sales from the previous year, 2010, this equates to about $1 billion more sales.
It has been reported that the total number of shoppers for the day was 226 million, up from last year’s count of 212 million. The average consumers spent an average of $398.62 on Black Friday weekend, up 9.1% from last year. Of that, $150.53, or 38%, came from online sales. Retail sales rose by almost 7% over last year to about $11.4 billion on Friday.
The majority of increases can be accredited to several factors, the biggest being Door Buster Savings. US consumer’s are always looking to save wherever possible, even if that means staying up and shopping at 12 to 2am. Another contributor is successful marketing and advertising strategies. With the use of social media and other online mediums such as blogs and forums, advertising for Black Friday was happening for itself. The best deals were shared by word of mouth through online platforms such as Facebook and Twitter. Characters were being developed and stereotyped for humorous brand recognition. My favorite example being Target’s @ChristmasChamp, you can check out more of Target’s commercials on Target’s YouTube Channel.
Additionally, retail chains are in competition with each other. In attempt to compete against online sales, Wal-Mart and Target developed pricing strategies for the holiday season so that their customers would remain loyal.
Overall the holiday shopping season is projected to grow at least 2.8% from last year. Retailers and other stores do not look to stop with deals just for Black Friday. A holiday shopping trend has emerged for shoppers who pay attention to special deal days. If you missed out on the weekend deals, don’t fret, Cyber Monday is today. Since 2003, Cyber Monday serves consumers who are too busy to shop over the weekend, but had time once they were back to work the following Monday.
If you are in the retail business, do not fear the holiday shopping season. Newman Crane specializes in retail business insurance in Florida and makes sure you are properly covered. Retail Business Insurance becomes one of the most important aspects to running a successful retail business during this chaotic time and only with proper coverage will you be safe from mishaps that you are unprepared for.
At Newman Crane, we have insurance plans to protect your retail operation from a number of potential losses, including liability and property damage (fire, storm damage, vandalism or roof leaks, etc.). We can provide you with:
- General Liability
- Commercial Umbrella
- Equipment Maintenance Protection
- Business Interruption
- Workers Compensation
- Crime & Employee Dishonesty
- Cyber Liability
- Risk Control Processes and Strategies
- And Much More