Retailers hoping for a bright start to the golden quarter are set to be disappointed as Black Friday footfall is expected to be driven down by low consumer confidence across the UK.
Footfall across bricks-and-mortar retail destinations is predicted to fall 4.5% year on year, as dampened consumer confidence continues to bite, according to research by Springboard.
This represents the third straight fall in Black Friday footfall in as many years, with 2018 down 5.4% and 2017 down 3.6%. The high street is likely to be hit the worst, seeing a 5.5% drop.
Springboard forecasts that consumers are unlikely to be visiting stores this year because Black Friday falls a week later than usual on a payday weekend. It also points to the “prevalence of discounting from retailers through the year” as well as mounting scepticism about Black Friday discounts generally, for the decline in consumer interest.
Payday boost?
However, research from Retail Economics and Klarna found that the timing of Black Friday after payday would help boost spend, albeit online would be the biggest beneficiary.
The research found that more than a quarter (26%) of consumers are planning to buy during Black Friday, which represents a 5% increase from 2019, with 19% saying they will spend more due to the post-pay day timing.
The survey showed the event was moving further towards becoming an ecommerce dominated event with 55% of consumers planning do more shopping online this year.
Retail Economics chief executive Richard Lim said: “Black Friday is likely to be more disruptive this year given the event falls after payday for most households and savvier shoppers are looking to grab a bargain and start their Christmas shopping early.
“What’s more, household finances are in a much stronger position than last year. Although consumer confidence remains soft, such a highly anticipated event may be the key in unlocking this demand.
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