Black Friday: Christmas sales suffer from binge shopping day

Rather than boosting spending over the holiday period, research has shown that Black Friday breaks the Christmas shopping cycle

Overall spending in the final few days before Christmas is expected to be 7 per cent higher than last year, with many consumers going into debt to fund it (Getty)

Black Friday has broken the traditional Christmas shopping cycle, according to new research.

British shoppers steeling themselves – and their wallets – for Black Friday on November 27 in what looks set to be a new record for sales, despite some retailers choosing not to participate this year.

Rather than boosting spending over the holiday period, research has shown that Black Friday breaks the Christmas shopping cycle as customers spend most of their budget all at once.

(BRC/KMG)

Last year, the effect of Black Friday sales resulted in the weakest December sales growth since 2008 of just 1 per cent. While online sale broke a record of the lowest December growth ever of just 7 per cent according to data from the BRC-KPMG Retail Sales Monitor.

According to David McCorquodale, UK Head of Retail at KPMG, Black Friday has disrupted the traditional pattern of festive spending in the UK and this year the effects are likely to be even more pronounced.

“Consumers aren’t necessarily spending more, they are just spending earlier and more than ever hooked on a diet of discounts,” Mr. McCorquodale said.

“Looking at the graph, the effects of Black Friday last year resulted in much weaker pre-Christmas and Boxing Day sales and, not only that, retailers actually saw a distinct lull in spending during early December as consumers waited for the next round of bargains to hit the shelves,” he added.

Another survey by Conlumino showed that in 2014, 60 per cent of shoppers timed their purchases around the sales. (LINK)

Connor Campbell, senior market analyst at www.spreadex.com, said that last year Argos found Black Friday distorted their sales and created a discounting mentality that was harmful.

This year some experts are predicting that the UK will see it first ever £1bn spent on a single shopping day, but consequences might be felt by retailers in December

“If consumers are gearing up to spend an even greater chunk of their final 2015 pay packet at the end of November could this mean that the traditional Christmas shopping period in December is over, at least for big ticket items?” David McCorquodale said.