New research from cloud accounting solution MYOB has found consumers are prepping to dole out big bucks this sale season as they hunt for bargains ahead of Christmas.
A study by MYOB reveals fifty-seven per cent of consumers plan to shop during the Black Friday sales, up from 45 per cent who said they participated last year. Just over four in ten (45 per cent) said they hoped to pick up a bargain to save money on Christmas shopping.
Consumer expectation for bargains is high
Almost half (49%) of those surveyed expect to see more products discounted this year and 42 per cent expect businesses to offer higher discounts, with the sales period presenting an opportunity for online retailers of all sizes.
With the pandemic delivering an uncertain economic future for many Australians, MYOB Economist Jon Manning said consumers desire for discounted goods is of no surprise.
“It’s natural for consumers to be cautious of their spending, particularly if they’ve had a year of financial turmoil,” he said.
“Despite consumers’ desire for discounts, preliminary retail trade data from the ABS for October shows an increase in spending compared to 2019, suggesting a strong Christmas period ahead.”
More small businesses to take part in Black Friday 2020
Traditionally the purview of major retailers, Black Friday sales have become increasingly embraced by small business owners.
Sarah Rudd, who owns small e-commerce company Caye Life, says sales at the sustainable drink container business are traditionally reduced in early November as consumers wait for Black Friday sales to be announced.
“At this time of year people are looking for value and they’ve come to expect these sales at the end of the month. Black Friday has become an online event for retailers of all sizes.
“It’s a great time to get sales, particularly if you offer a product that people see value in ordering ahead of the Christmas rush.
For businesses like mine that generally rely on events, which were cancelled throughout the year, having an influx of online activity is a great lead in to the Christmas trading period.”
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