CAPE TOWN - Consumers are spending differently this Black Friday.
While retailers are expecting a bumper weekend of sales during the annual shopping holiday, many have launched month-long sales campaigns to give consumers early access to their promotions. This has been dubbed “Black November”.
Under immense pressure to make up for the lost sales over the year, retailers have moved away from a short, intense peak in response to the changing spending habits of South African consumers.
This is the view of Thomas Pays, the chief executive and co-founder of Ozow, which provides easy, fast, and secure payment solutions - from QR codes, to point of sale, eCommerce, e-billing and peer-to-peer payments.
Pays says that there has been a significant shift in the way people shop.
“For the last 18 months, people have been mostly stuck at home. It’s meant that they’ve done most of their engagement and shopping online – largely on their mobile phones.”
According to Ozow, a staggering 85% of all transactions during Black Friday are done on mobile, with only 14% completed on desktop.
Based on Ozow’s transactional data, he says that consumers are spending 30% less on the average value of each transaction this month in comparison to the same period in 2020. However, it doesn’t mean that there has been a slowdown in spending.
Despite being a lot more budget- and deal-conscious, Pays says that there has been an uptake in South Africans shopping online.
The time of the day makes a difference, too. Pays expects consumers to spend more on higher-value deals at around 10am on the day.
“Conversely, people will be more likely to purchase low-value items at 7pm in the evening,” he said.
Pays also believes that consumers are planning ahead, with people looking to capitalise on this year’s Black Friday to find affordable gifts for the festive season as well.
Tips for consumers this Black Friday
Do your homework: The first deal may not always be the best one. So it’s important to do your research to compare prices.
Start now: With many retailers offering deals throughout the month, it’s important to take advantage of them to ensure that you get exactly what you want without worrying about stocks running dry.
Shop online: It’s convenient and safe – you can do it from the comfort of your home.
Shop at trusted brands. Only shop with trusted eCommerce stores, and traditional brick-and-mortar stores who have extended their offers to the online realm as well.
Website security: Make sure your checkouts are safe. Look for the little padlock next to the website’s URL – this indicates that information on the site is encrypted.
Keep your information safe: Don’t give away any information. If you use a credit card, don’t save your details, make sure they’re cleared from the site, and make sure you log out once you’ve bagged your deals.
Check the links: Although convenient, shopping online via your mobile device introduces many new security challenges. Cyberhackers use abbreviated URLs on social media, and once clicked on, you have no idea where it’s directing you to.
Cape Times