Sudir Sahadeo | Manager | Regional Investment | Business Partners Limited | mail me |
As the world prepares for another Black Friday on 28 November, South African small and medium enterprises (SMEs) have a golden opportunity. They can stand out from big brands by offering value-driven, authentic alternatives. SMEs should prioritise visibility over discounts during this period to connect with their communities and build brand awareness.
While large retailers may win on price, SMEs can win on connection. Black Friday has long favoured large retailers with big advertising budgets and the ability to absorb heavy discounts. Entrepreneurs can run their own race by building relationships, boosting visibility and reminding communities why supporting local matters.
Competing on value, not price
An increasingly constrained economy has created more cautious consumers. This trend reinforces expectations for aggressive Black Friday discounting.
SMEs trying to compete purely on price risk eroding already-tight margins and harming long-term sustainability. Instead of slashing prices, focus on value-added offers such as bundles, loyalty benefits, free delivery or extended services.
These enhance customer experience and provide tangible benefits without compromising profitability. They also demonstrate the agility of small businesses to exceed expectations. SMEs should prioritise visibility through these value-added offerings rather than chasing discounts alone.
Sharing the local story
Research shows that South Africans want to support local businesses, especially those that create jobs and foster community development. SMEs can benefit by aligning with efforts to grow the local economy inclusively.
The competitive advantage of a small business often lies in its story. People want to know who they are supporting, the role the business plays in the community, and how their purchase has a positive impact. That authenticity cannot be bought with big-budget advertising.
Local cross-promotions can further amplify reach. I suggest collaborating with other SMEs through bundled gift boxes, shared delivery options or co-branded community events. SMEs should prioritise visibility in these initiatives to maximise reach and brand recognition.
Data over noise
Black Friday is oversaturated, and consumers cannot escape the noise. Targeted communication campaigns generally outperform broad ones.
SMEs can use email lists or WhatsApp groups combined with historical customer data to deliver personalised campaigns. A direct message to a loyal customer who already trusts your business is far more effective than trying to compete in crowded digital spaces.
Think beyond November
Black Friday should form part of a broader customer retention strategy rather than serve as a standalone event. Turning one-off customers into repeat clients creates more long-term value than chasing a short-lived sales spike.
Visibility is the real win. Even if margins are tight, participating in this national shopping moment keeps your brand present and relevant. It builds familiarity and reinforces your presence in the community.
The strongest businesses use Black Friday as a springboard into December and the new year. For small businesses, it is becoming less about driving quick sales and more about building a name, strengthening loyalty and thinking long-term. Those that adapt their approach now will be better positioned for a stronger year ahead.
