Even attractive price cuts didn’t drive demand
This dampened performance comes despite the highest number of price cuts seen over Black Friday week in the past five years. In 2023, over 42% of products sold had a price cut of 15% or more, and in some areas it was higher. However, despite promotional activity intensifying, for most traditional tech categories, it wasn’t enough to drive consumer demand.
Kelly Whitwick, Senior Manager in GfK’s Retail Market Intelligence division says: “It’s not surprising that consumer demand in technology has dampened in 2023, with interest rate rises and the cost of living crisis exacerbated by a technology market that hasn’t seen much change in the past few years. Frankly, there is little to inspire consumers to go out and invest in new products.”
|
Black Friday 2023: Top growing product groups by volume sales
(versus Black Friday 2022)
|
|
Hot Air Fryers
|
120%
|
|
Action Cameras
|
183%
|
|
Mice
|
34%
|
|
Headsets
|
31.5%
|
|
Keyboards
|
23.5%
|
|
Hair stylers
|
19%
|
|
Source: GfK
|
Savvy shoppers are spending money to save money
The same is the case for the Homewares market, which saw a 6% decline compared to Black Friday 2022. Most categories were unable to match the sales of last year. Despite this, decorating had a strong week with demand for paint up 2% and wallpaper growing by 4%. Other items that enjoyed upticks were knitting, crocheting and sewing as people look for sustainable methods to keep their clothes for longer. Even Thermos flasks were hot again, with sales rising as shoppers look to save money by cutting back on takeaway coffees and tea.
Kelly Whitwick, Senior Manager in GfK’s Retail Market Intelligence division concludes: “The areas that consumers invested in this Black Friday were health, wellbeing and saving money. With so much pressure on finances right now, and very few innovative and exciting products being launched, it's not surprising that we’ve seen most categories in the technology and home categories struggle during this key sales period. Even the large number of promotions and discounts available this Black Friday hasn’t persuaded shoppers to part with their cash.”
Ends
Notes to editor
Please source all information to GfK.
Press contact: for further details, please contact Greenfields Communications:
Lucy Green E: lucy@greenfieldscommunications.com T +44 (0) 7817 698366
About GfK
For over 89 years, we have earned the trust of our clients around the world by solving critical questions in their decision-making process. We fuel their growth by providing a complete understanding of their consumers’ buying behavior, and the dynamics impacting their markets, brands and media trends. In 2023, GfK combined with NIQ, bringing together two industry leaders with unparalleled global reach. With a holistic retail read and the most comprehensive consumer insights - delivered with advanced analytics through state-of-the-art platforms - GfK drives “Growth from Knowledge”. For more information, visit GfK.com.
