Black Friday and Cyber Monday 2021
Last month, we shared insights showing that Aussies would start their holiday shopping earlier than ever, with Black Friday sales volumes up 298% compared to the same day last year. Following Black Friday week and Cyber Monday (November 22-29) Klarna Australia exceeded this prediction. Compared to last year, shoppers appear to be not only making the most of Black Friday, but the entire Black Friday week with shopping peaking on Wednesday the 24th of November. Shoppers seem to start earlier this year with consumers planning, saving items and preparing for price drops before the shopping events hit.
Klarna’s Black Friday and Cyber Monday 2021 deep dive surveyed over 11,000 consumers in 11 countries. The survey found that November sales are embraced more by the younger generations who are more likely to set holiday budgets, and expect big price drops during Black Friday. This was the case for Australian shoppers, where Millennials (25-40) made up 54% of all purchases made through the sales period. Combined, Millennials, Gen X and Gen Z made up 96% of shoppers making the most of the Black Friday sales period. However, let’s not forget about the Baby Boomers (Age 57-75) as this group had the highest increase compared to last year, showing us that the pandemic has instilled familiarity with online shopping in a new generation of shoppers.
Amongst this increase, the most popular categories this year were Leisure, Sport & Hobby, Jewellery & Accessories, and Clothing & Shoes. In addition, we found that shoppers aren’t waiting until the evenings to buy with the peak shopping hour for Black Friday week being 2:00PM (AEST).
What this means for Christmas shopping and Boxing Day sales
30% of gift-givers plan to do the bulk of their shopping during sales periods throughout December including Super Saturday (the Saturday before Christmas)*. Deal-loving Klarna shoppers anticipate making the most of Boxing Day at 46%, with Black Friday making up 50% of their shopping and Cyber Monday 30%*. Knowing this we’ve gathered the best tips to make the most of the remaining holiday shopping period and Boxing Day sales.
Social media is a key discovery tool. The vast majority of younger shoppers —86% of Gen Z and 89% of Millennials— say they have purchased a product after seeing it on social media*. Ensure you promote your biggest deals on social media well in advance so gift-givers, and younger generations, have your promotions on their radar. Furthermore, the peak shopping hour during Black Friday week was 2:00PM. A hot tip for retailers is to keep the shopping clock in mind when sharing deals, eDMs and push notifications with their customers.
During 2021, shoppers all over the world have grown increasingly fond of the online experience—which, unsurprisingly, has led many retailers to step up their digital offering during the pandemic**. However, given the easing of restrictions throughout Australia, in-store shopping should not be forgotten. 43% of shoppers said that they would do the bulk of their buying in-store this year and 23% say they’ll shop just as much in-store as online*. Take this opportunity to create engaging, eye-catching displays near the entrance to draw in curious shoppers. Additionally, consider launching week-long deals to give shoppers more time to get what they want for the best price while eliminating worries about availability, packed stores, and overflowing parking lots.
While shoppers are buying for others during the holiday period, they’re also looking for the best bargains and prices on products for themselves. 48% of Millennials and 37% of Gen Z’s plan to buy gifts from their wish lists for themselves if they don’t receive them from others this holiday season*. Consider BOGO deals (“Buy one as a gift and get one for yourself!”); implement marketing campaigns that speak to self-love, self-care, and indulgences, we believe that this boxing day will be a time to treat yourself!
One of the most impactful ways a retailer can stand out is by highlighting its values, especially among Gen Z and Millennials. 53% of Gen Z and 58% of Millennials seek out and are more likely to purchase from brands with a charitable or give-back mission, compared to 40% of Gen X and 23% of Baby Boomers*. For Boxing Day, don’t forget to highlight your social good initiatives – if you offer sustainable wrapping options, make sure to mention it as well as other sustainability efforts across your site, through pop-ups, at check-out, or via on-site messaging, and in-store wherever possible.
And don’t forget your Fur Babies! 57% of pet parents intend to buy presents for their companions. Make sure to tap into this massive- and growing— audience by offering personalised products that create opportunities to show off their furry family members or announce to the world that they’re loud and proud animal lovers. Think novelty items like “Dog mom” or “Cat dad” hats. Feel free to check out some of our best pet merchants including ST ARGO, Adore Paws and Mega Saver Shop.
* Klarna, The State of Smoooth 2021: Holiday Spending Season
** Klarna’s Black Friday and Cyber Monday 2021 deep dive