{"id":5253,"date":"2020-09-28T18:27:05","date_gmt":"2020-09-28T16:27:05","guid":{"rendered":"http:\/\/www.fact-finder.com\/blog\/?p=5253"},"modified":"2025-01-14T14:39:52","modified_gmt":"2025-01-14T13:39:52","slug":"black-friday-covid","status":"publish","type":"post","link":"\/blog\/black-friday-covid\/","title":{"rendered":"Black Friday and COVID-19: A Retailer’s Guide to the 2020 Holiday Shopping Season"},"content":{"rendered":"\n

This year\u2019s biggest trends, valuable insights and actionable tips \u2013<\/em> everything you need to help your online shop have a profitable fourth quarter.<\/em><\/p>\n\n\n\n\n\n\n\n

We are only a few days away from kicking off the 2020 holiday shopping season and the COVID-19 pandemic continues to cause uncertainty in the retail industry for both retailers and shoppers. A growing number of Google searches for ‘is black friday 2020 canceled<\/em>‘ highlights the confusion surrounding the discount-driven event.<\/p>\n\n\n\n

While there is still a lot unknown, our FACT-Finder team has researched the latest developments and biggest shopping changes of this year to help predict what Black Friday 2020 will look like. We have also created a detailed plan of action to help retailers prepare their online shops to be among the winners of this holiday shopping season. <\/p>\n\n\n\n

Let’s dive in with Black Friday 2020’s four most exciting trends: <\/p>\n\n\n

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Trend #1: Navigating business in the pandemic<\/h2>\n\n\n\n

To help stop the spread of coronavirus, retailers are required to comply with several safety rules. Some of these include frequently disinfecting surfaces, removing product testers, closing the fitting rooms, requiring face masks, maintaining social distancing, adhering to occupancy levels, testing body temperature, providing disposable gloves, offering contactless payments and so on. These regulations paint a different picture to the crowded madness we have come to know in-store on Black Friday. <\/p>\n\n\n\n

As shopping becomes just as much about public health as it does about discounts, stores will have to conduct business with meticulous care. Retailers have merchandise to sell but they must do so with delicate consideration. For example, promoting in-store only specials could be seen as insensitive by shoppers \u2013 especially those with preexisting medical conditions. <\/p>\n\n\n\n

Black Friday 2020 is going to be a balancing act for retailers to encourage sales, foster trust and promote spending it in a way that also demonstrates they care for the public\u2019s well-being. In response to health concerns and employee safety, many big-name retailers including Walmart, Target, Best Buy, and Kohl’s have announced their decision to close on Thanksgiving Day. 2020 will mark the first time in more than 30 years <\/a>that Walmart, the world’s largest retailer<\/a>, closes its doors on Thanksgiving Day. The number of retailers following suit continues to grow, currently reaching nearly 100<\/a>. <\/p>\n\n\n\n

None of the businesses above have released store hours for Black Friday 2020, leaving shoppers left to wonder if there will be an in-store Black Friday and what it will look like. <\/p>\n\n\n\n

Data<\/strong>: A survey by Google found that more than a third of U.S. shoppers<\/a> who normally shop in store for Black Friday say they won’t this year.<\/p>\n\n\n

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Trend #2: Stores become fulfillment centers<\/h2>\n\n\n\n

COVID-19 exposed the vulnerability of the traditional supply chain in many companies and entire industries both in B2B and B2C. Businesses who had a high dependence on China to fulfill their need for raw material or finished products couldn’t procure goods and online shoppers couldn’t receive goods as the shipping industry struggled to maintain a steady flow during a demand surge.<\/p>\n\n\n\n

Consumers aware of the issues in the supply chain will likely opt for pickup options rather than shipping to their home as a way to guarantee that the items they are buying online are in stock and shippable. Salesforce predicts that parcels shipped by traditional delivery providers will exceed capacity by 5%<\/a> across the globe between the week before Cyber Week and Boxing Day. That\u2019s potentially 700 million gifts that are at risk of not arriving in time for the holidays. <\/p>\n\n\n\n

Retailers will have to take a new approach this year and focus on omnichannel strategies that eliminate shoppers’ shipping concerns while also enhancing hygiene protocols. These services make use of the store, better yet, transform it into a fulfillment center \u2013 offering both parties a higher control of the product while establishing local customer relationships. <\/p>\n\n\n\n

  1. QR Codes<\/strong> \u2013 These tiny black and white squares can turn your store into a digital showroom. Technology has made these insanely easy to use since all phones are now equipped with cameras, requiring only one action from the user: point. QR codes work as a bridge between brick-and-mortar and online, allowing customers to see the product and easily buy it online along with their specifications (size, color, etc.). In addition to effortless usability, QR codes also offer the added benefit of being completely contactless.

    Check out our article on     The Revival of QR Codes in Retail<\/a> to learn more about the advantages of using QR codes and and a how-to guide on how to implement them.
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  2. Buy Online Pick Up In Store<\/strong> \u2013 Also known as BOPUS, BOPIS and Click & Collect, is alternative strategy that offers shoppers the convenience of picking up their purchase from a store rather than waiting for delivery, saving them both time and costs on delivery charges. Other reasons customers use BOPUS are the ability to see the product before taking it home, return the product instantly and, most importantly, avoid crowds. An added benefit of this cross-channel strategy is that it brings the customer into the store, giving the business a unique opportunity to entice them with additional purchases. Adobe Analytics reports that 82% of shoppers say they purchase additional items when they come into the store to pick up an online purchase.

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  3. Curbside Pickup<\/strong>  \u2013 A type of Click & Collect that has been particularly popular during the pandemic and will remain sought-after during the holiday shopping season. Curbside pickup allows customers to stay safely in their cars while a store employee picks up and delivers their purchase to the curb. An additional benefit of this methods is that it allows businesses to keep employees safe and employed while meeting customers\u2019 demands. <\/li><\/ol>\n\n\n\n

    Data<\/strong>: Salesforce forecasts that sites offering store pickup \u2014 curbside, inside, drive-through \u2014  will see a 90% increase in digital sales<\/a> over the previous holiday season. <\/p>\n\n\n

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    Trend #3: Amazon Prime Day 2020 enters Black Friday, Cyber Monday and Singles Day territory<\/h2>\n\n\n\n

    The development of Q4 will be particularly uncertain given that this year brings Prime Day into the holiday shopping season arena for the first time.<\/p>\n\n\n\n

    Normally held in July, the 2-day sale hosted by Amazon has been rescheduled to October 13-14. The company delayed the event amid the coronavirus pandemic stating that Prime Day would be held in the fourth quarter<\/a>. This three-month window between October 1st<\/sup> and December 31st<\/sup> is traditionally the busiest period of the retail year, exclusive to Black Friday, Cyber Monday and Singles Day. <\/p>\n\n\n\n

    With Prime Day entering the picture, it’s difficult to determine how the sale event will impact holiday revenue. Mind you that last year, Amazon Prime Day reached impressive sales<\/a> of 100,000 laptops, 200,000 televisions, 300,000 headphones, 350,000 luxury beauty products and more than 1 million toys \u2013 a total of more than 175 million items. It marked the largest shopping event in Amazon history, outperforming its sales for Black Friday and Cyber Monday combined.<\/p>\n\n\n\n

    Data<\/strong>: Salesforce predicts that a Prime Day event in October could potentially steal up to 10% of Cyber Week’s digital revenue<\/a>.<\/p>\n\n\n

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    Trend #4: Further shift to online sales<\/h2>\n\n\n\n

    Social distancing and stay-at-home orders have forced whole consumer groups worldwide to shift to online shopping, making it the primary means of commerce in some areas. According to new data from IBM\u2019s U.S. Retail Index<\/a>, the pandemic has accelerated the shift away from physical stores to digital shopping by roughly five years.<\/p>\n\n\n\n

    This shift has been so dramatic that shopping levels during COVID-19 (April\u2013May) were higher than what retailers saw during the 2019 holiday season (November\u2013December) according to Adobe’s Digital Economy Index. The report also indicates the gap between expected versus actual online spending in the U.S. for the year so far is a $107 billion difference.<\/p>\n\n\n\n

    Consumer intent to shop online continues to increase and this new shopping behavior is expected to remain, even after the crisis. The holiday shopping season has already been shifting to online shopping in the past, with last year’s Cyber Monday outperforming Black Friday by $2 billion<\/a>. With physical measures likely staying in place, it’s safe to predict that e-commerce will continue to set new records.<\/p>\n\n\n\n

    Data<\/strong>: Salesforce predicts that up to 30% of global retail sales will be made through digital channels this upcoming holiday season.<\/p>\n\n\n\n

    We’re here to help!<\/h2>\n\n\n\n

    Our FACT-Finder team wishes you a great start to the holiday shopping season! If you have any questions or need assistance in implementing any of the tips mentioned, send us a message:<\/p>\n\n\n

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    Black Friday 2020 action plan<\/h2>\n\n\n\n

    Though this year has been anything but predictable, there are strategic methods retailers can implement to guarantee a successful holiday shopping season. We will go through the customer journey \u2013 from awareness to conversion \u2013 providing actionable tips to optimize your customer experience.<\/p>\n\n\n

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    Awareness: Attract your audience<\/strong><\/h2>\n\n\n\n

    Generating a lot of traffic is not everything, but without traffic everything is nothing. During the holiday shopping season it’s especially important to be proactive in promoting your product offers. We will discuss three basic but powerful ways to reach and gain the interest of possible shoppers, with a special focus on being present in the channels consumers are using.<\/p>\n\n\n\n

    Email Marketing<\/h3>\n\n\n\n

    Despite the growth and prominence of mobile messengers and chat apps, email is an integral part of daily online life and one of the most effective ways to bring sales. The Direct Marketing Association reports that for every $1 spent on email marketing, the ROI is $42. With global e-mail users set to grow to 4.48 billion users in 2024<\/a>, there are more than enough reasons to put your email list to work.<\/p>\n\n\n\n

    Contact previous customers and offer them a special VIP discount code that gives them additional savings when they buy. Since they\u2019ve already bought from you before they\u2019ll be more likely to buy again. If they\u2019ve bought within the past 30 days, your brand will be fresh in their mind so be sure to include those people as well.<\/p>\n\n\n\n

    When it comes to sending emails to potential customers, email them the deals you\u2019ll have that day so that they keep checking back online. If you promote specific products make sure the products are clickable so people can go directly to the product pages to make their purchases.<\/p>\n\n\n\n

    Here are a few pointers:<\/p>\n\n\n\n