From a retailing perspective, Black Friday makes no sense whatsoever. Sure, let's have a GIANT SALE right at the beginning of the holiday shopping season. And let's make it so good that we lose money, lots and lots of money, on over ninety percent of the items we sell on that one day. For the next six weeks, nobody needs to shop because they've done it all already.
Whereas in Canada, the holiday sale is AFTER Christmas, to clear out inventory that didn't sell. Makes a hell of a lot more sense to me.
Actually retailers go into the black, hence the term Black Friday, so they don't lose money on most items. Remember, it's the USA, and they are the leaders in mass production of cheap quality garbage that turns a profit.
Black Friday is a lot of hype, as there are many deals available weeks before Back Friday or after, that are in fact better than the actual Black Friday shopping weekend.
Black Friday is also about impulse purchases, so retailers rely on people to purchase crap they don't need, and they make money that way too.
Remember, the US is all about retail competition...330 million potential customers, whereas we have 33 million, so they believe they have to lure in shoppers before the holiday season begins, whereas here in Canada, we buy regardless, and so our retailers really don't offer deep discounts until after holidays, as they are clearing out for next season to begin.
Even though an iPad may be discounted on Black Friday, Apple is still making money, so there are many items, although offered at a discount, retailers are still making profits due to volume, as well as item cost. Sure there is a tighter margin on electronics, but again, some of those are used as a loss leaders as retailers are relying on customers purchasing lots of other stuff while in their stores.
The whole hype behind Black Friday and Boxing Day is really silly to me in terms of the frenzied and sometimes violent crowds, people shopping in the middle of the night and people fighting over products. But if one can secure a good deal without having to set foot into that environment (like I did on my new stove yesterday), then it's good for both customers and retailers. If it weren't, then Black Friday would cease to exist.
Tiger