Peter Ludi | Director | Business Development | redPanda Software | mail me |
Black Friday is almost here, raising stress levels for everyone involved. Shoppers rush to find valuable deals. Retailers need to achieve sales targets to satisfy shareholders.
To succeed this year, organisations must maximise their retail technology investments and offer real value and superior customer experiences.
Origins of Black Friday
Black Friday began in the 1960s, when police described the traffic and chaos in Philadelphia during Thanksgiving shopping. Today, Black Friday is a global phenomenon. Police are replaced by IT teams, and traffic is now digital. Discounts now span a period, reducing resource load on one day, as it’s a critical sales time.
Sales numbers help retailers move into profit. This varies by sector and strategy. The growth of online sales plays a key role. Retailers focus on e-commerce with personalised marketing and Artificial Intelligence (AI) recommendations to drive purchases. A well-executed Black Friday means new customers, reduced stock, and higher sales volumes.
For consumers, Black Friday means buying at reduced prices and saving during tough times. But it depends on careful decisions.
Sales preparation for Black Friday
This year’s Black Friday will be interesting. Last year’s sales were lower, showing consumers were financially stressed. Unless retailers offer real value, this year may repeat the same trends. However, providing value can help grow customer bases.
Retailers must prepare for Black Friday. Planning needs to be foolproof. High-pressure situations can lead to website crashes, pricing errors, stockouts, and brand promises unfulfilled. Retailers must track product locations, order fulfillment, and stress test third-party systems for readiness.
Retailers should test demand forecasting, ensure supply chain reliability, and have contingency plans for surprises. Cybersecurity and risk mitigation are essential. Fraud detection should be integrated to protect both retailer and customer.
Losing customer data risks liability, lost customers, and reputational damage. Retailers must be agile and adjust in real-time. Technology partners should be on standby for support. Staff should be trained, ready, and incentivised to handle any scenario. Black Friday is a team effort, and partnerships are key.
Retailers must balance online and in-store preferences, especially with South African shoppers. Cyber Monday helps plan online sales.
Black Friday driven by putting the customer first
It is crucial to lighten the load on consumers. The customer must come first. Improving the customer experience should be the focus of all preparations. Retailers should encourage loyalty throughout the year and recognise loyal customers during Black Friday. Promotional strategies should be well-targeted, prioritising customer needs.
Retailers should focus on using AI tools to drive purchases. They should also offer flexibility in how customers receive products and incentivise choices that align with existing infrastructure.
Black Friday is an excellent opportunity to leverage retail technology and prioritise digital platforms. This includes mobile POS, self-checkout, and Just Walk Out experiences. Automated online assistants can reduce friction for shoppers.
Retailers must focus on customer experience, as poor technology initiatives harm the brand. A superior online experience needs an optimised website, performance, functionality, and ease of use. I look forward to seeing innovative approaches beyond the usual online experience this Black Friday.
