Economic News
2024 Black Friday-Cyber Monday Spending Expected to Increase
According to figures from Deloitte, consumers are expected to spend a record amount during the Black Friday-Cyber Monday period this year.
By the numbers:
Between November 28th and December 2nd, Americans on averagewill spend an estimated $650. Not only is this a new record but marks a 15% increase over last year’s $567 average spending figure. Over the past four years, spending has now increased 62%, with 2020’s average coming in at $401.
Overall, 80% of those surveyed by Deloitte said they intend to shop during the kick-off to the holiday retail season (which is in line with last year’s response). After reaching a low of 56% in 2021, participation in Black Friday sales will reach prepandemic levels this year, with two-thirds of consumers planning to shop. While 2024 spending is anticipated to rise across all demographics, the largest increases are expected among those making less than $50,000 per year, those making more than $200,000 per year, and Gen Zers.
As for what consumers plan to buy between Black Friday and Cyber Monday, the top response was “clothing and accessories” at 77%. This was followed by electronics (57%), toys/hobby items (54%), health & wellness (34%), and pet products (29%). Nearly half of respondents also admitted that they intend to take advantage of BFCM sales to purchase gifts for themselves.
This year, more than half (53%) of respondents plan to utilize credit cards for their purchases. That’s up from 35% in 2023. Meanwhile, “buy now, pay later” platforms are also in the mix, with 29% of those surveyed reporting plans to use these services this weekend. In terms of generations, credit card usage is expected to be highest among Millennials at 72%.
What they’re saying:
Commenting on the survey results, Deloitte Insights Consumer Industry Center managing director Stephen Rogers noted, “Consumers are relying on this week to stretch their dollars. Black Friday-Cyber Monday is all about value; this year, all income levels and age groups are looking for deals.” Rogers added, “Holiday shoppers expect to spend more than half their holiday budget (56%) this week, and we expect to see an even greater share of spending among Gen Z and millennials seeking deals on gifts for loved ones and for themselves.”
My thoughts:
I am definitely among the 48% of consumers who use BFCM sales to buy items they’ve had their eyes on. In my experience, while there are plenty of pricing tricks present on Black Friday, there are also some real deals to be found that are worth waiting for. However, I don’t intend to spend anywhere near the reported $650 average this year.
For what it’s worth, you can check out Black Friday deals being offered for some of the products I’ve reviewed over on Money@30.
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