Retail Analyst Syd Vianello has said that Black Friday creates the perception you are getting a discount, but whether that discount is real is debatable.
Speaking to CNBC Africa, Vianello explained that certain retailers will take slow-selling products and put these products on special on Black Friday to get rid of them.
“Retailers are discounting these products on Black Friday because they were not selling in any event,” he said.
He said there is no way that any retailer will take a potentially top-selling product and discount it on Black Friday.
He said this will unnecessarily throw away margin on a product which people would have purchased at full price anyway.
“That to me doesn’t make sense and I do not believe any clever retailer would do it because it does not make financial sense,” he said.
Christmas sales shifted to Black Friday
Despite the questions regarding Black Friday discounts, Vianello said sales have definitely shifted from Christmas to Black Friday.
This means that sales from the December period have moved to the November period, and that Christmas sales figures should take this info into account.
“We now have to look at November and December sales as a grouping rather than to look at each month individually.
Vianello added that while consumers previously did their Christmas shopping in December, they are now splitting their money between Christmas and Black Friday over two months.
“Consumers have a certain amount of money to spend. It is simply a question of how they allocate that money between Black Friday and Christmas,” he said.