How Much Do You Really Save on Black Friday?

Black Friday, observed annually on the Friday following Thanksgiving, marks the unofficial start of the holiday shopping season. This global retail event is known for widespread promotions and significant price reductions, attracting millions of consumers seeking deals across diverse products.

General Savings on Black Friday

Consumers can anticipate meaningful discounts during Black Friday. Overall average discounts in the United States have recently hovered around 28% to 31% across various product categories. For instance, in 2023, shoppers saw an average discount of 31%. These figures represent a broad average, meaning individual deals may vary considerably.

Actual savings depend on factors like the specific retailer and the product’s original price point. The competitive nature of Black Friday prompts many businesses to offer attractive price cuts.

Specific Product Category Savings

Discounts on Black Friday vary significantly by product category. Electronics, including televisions, gaming consoles, laptops, and smart home devices, consistently feature substantial markdowns. Black Friday is often a prime time for purchasing major appliances, with deals often slightly better than at other times of the year. Smaller electronics like headphones also see significant price drops.

Apparel and beauty products may not always offer the deepest discounts compared to other sales events. Consumers often find better deals on clothing and cosmetics during post-holiday clearance sales or Cyber Monday. Toys sometimes have better sales later in December. Conversely, furniture and bedding typically experience notable Black Friday price reductions.

Factors Affecting Actual Savings

Actual savings can be influenced by factors beyond the advertised percentage. Discounts are frequently presented as a reduction from the Manufacturer’s Suggested Retail Price (MSRP), which may be higher than a retailer’s everyday selling price. This practice can make a deal appear more substantial than the true reduction from the typical market price. Consumers benefit from researching historical pricing to understand the genuine value of a discount.

Bundled deals, where multiple products are sold together at a single price, are a common Black Friday strategy. While these can offer cost savings compared to purchasing each item separately, they may include items a consumer does not need, potentially leading to unnecessary spending. Retailers also utilize “loss leaders,” offering highly popular items at or below cost to attract customers, hoping they will purchase other, more profitable items. Additionally, financing offers, such as 0% APR or deferred payments, and rebates can reduce the immediate cash outflow or final price. However, financing deals often require excellent credit.

Black Friday Savings in Context

Black Friday’s position as a premier savings event is evident when compared to other major retail periods. Cyber Monday, immediately following Black Friday, often provides comparable or even deeper discounts, particularly on smaller electronics, fashion, and online-exclusive deals. The distinction between the two events has blurred, with many retailers extending promotions across the entire Thanksgiving weekend.

Amazon Prime Day, typically held mid-year, can rival Black Friday for certain product categories, especially Amazon-branded devices and technology. Prime Day sometimes features deeper discounts on specific items, with savings potentially reaching up to 70% on select products, whereas Black Friday discounts might cap around 50% for some items. However, Black Friday often involves a broader array of retailers and product diversity.

Other holiday sales, such as Memorial Day and Labor Day, offer significant discounts, particularly on categories like mattresses, appliances, and seasonal goods. While these events provide opportune moments for purchases, Black Friday frequently retains an edge in overall discount depth and breadth of products. Post-Christmas and clearance sales, occurring in late December and January, can also yield substantial savings, especially for seasonal items, apparel, and jewelry, as retailers clear out year-end inventory.