Black Friday Best Pricing, Same-Day Delivery, Virtual Apps And Financial Tips

Let the holiday shopping resume! Black Friday started back in October and will continue through this weekend with a strong holiday forecast, best pricing all season long, same-day delivery, virtual sizing apps and financial tips to kick off the official start of the holiday season. Seasonal sales are expected to beat last year as shoppers prepare for the biggest shopping weekend. 

The 2021 holiday season is expected to be very strong

The National Retail Federation (NRF) has forecasted holiday sales to grow between 8.5% and 10.5% over last year for a total projection in the U.S. market of $843 to $859 billion (excludes autos, gas and restaurants). Online and non-store sales will increase between 11% and 15% to a total of between $218 and $226 billion. “There is considerable momentum heading into the holiday shopping season,” NRF president and CEO Matthew Shay said in the press release. “Consumers are in a very favorable position going into the last few months of the year as income is rising and household balance sheets have never been stronger.”

Adobe released its forecast for global e-commerce sales projecting a record year at $910 billion with the U.S. accounting for 23% of the total. The Adobe Digital Economy Index analyzes direct consumer transactions for over one trillion visits to U.S. retail sites. Key findings from the report include an increase of 172% in out-of-stock product messages, buy-now-pay later becoming a major trend, discounts starting earlier (but smaller on average), and a projection that Cyber Monday will remain the biggest day of the year at $11.3 billion in sales. 

Black Friday Sales to Run Well Into Cyber Monday

Sales promotions for Black Friday started back in October and will run well into Cyber Monday as retailers offer everything from product price reductions to bundling offers and cash back rewards. One change that has taken place this year is the promise by some retailers to give customers the best price, regardless of when a purchase was made. Target announced its price-match guarantee in October allowing customers to get price adjustments on products if the price drops up through December 24, which relieves the pressure of timing a purchase to get the lowest price. 

Delivery options beyond traditional shipping

A rise in third-party delivery intermediaries has been seen across all sectors of retailing. Using a third party to pick-up and deliver gifts can make holiday shopping more manageable for consumers. Shipt, which is widely used by and owned by Target, offers same day delivery of products in a localized area. Products can be purchased through retailers that use Shipt, or consumers can select products through the Shipt app from a variety of local retailers. Molly Snyder, chief communications officer of Shipt, said in a recent interview, “Shipt is a technology company that facilitates same-day delivery shopping. We are part of a three-part relationship between the retailer, consumer and our own brand.” Other companies like Instacart and DoorDash are offering similar services across many product categories. 

A major benefit of using companies like Shipt is that users are not encumbered by shipping cut-off dates. Snyder said,“Unlike third party logistics companies, Shipt does not have shipping cut-off dates, allowing users to continue shopping well into the season and receive deliveries until the stores close on Christmas Eve.” Shipt reaches over 80% of U.S. households nationwide. While a majority of the start-up same-day delivery companies have focused mainly on groceries, many are expanding into other categories. Shipt recently added Abercrombie & Fitch to its partner ecosystem.

Shipt’s key competitive advantage is twofold — the direct connections to retailer and their inventory (a top concern for holiday shoppers) and the personal service of Shipt shoppers. The company has regular visibility to retailer inventory, when consumers place an order they can do so with a good degree of confidence in that item’s

availability. Snyder adds, “However, in those times when an item becomes unavailable, the second half of the equation is knowing there is a Shipt Shopper with eyes on the shelf , in the store, who also has the technology and tools available to them to help make a smart recommendation for a potential substitution.”

Shipt makes shopping easy for consumers that may be apprehensive about going into stores or want the convenience of products being picked up and delivered to them. Snyder explains, “It is a great way to gift this holiday, too.”

Virtual apps drive online purchasing

Virtual apps will be more widely used this holiday season from beauty to bras as technological advancements have allowed retailers to better integrate these features into the shopper journey. Ulta Beauty GlamLab allows shoppers to try on makeup virtually and uses facial recognition to recommend new skin care products. 

Apparel makers that also offer virtual sizing apps will help reduce product returns. Sizer Technologies, a patented AI-powered body measurement app, applies self-scanning technology to generate exact body measurements for consumers to easily shop online. “We are all aware that shopping online holds a lot of uncertainty with inconsistent sizing across brands; a size 8 in one store could be a size 12 in another,” says Adam Kaplan, CEO of Sizer. “We know that this discourages consumers and is extremely costly to retailers.” Sizer’s AI technology uses deep-learning algorithms where a customer’s precise body measurements are captured easily through a one-time smartphone scan app. With 97% sizing accuracy, Sizer’s technology reduces returns while generating customer loyalty.  

Sizer partnered with Wacoal to develop Wacoal’s mybraFit™ app that measures more points with precise accuracy. Miryha Fantegrossi, vice president of merchandising and design of Wacoal America stated, “Since implementing Sizer’s solution, we have seen a 12% increase in sales generated with a 300% increase in sizing accuracy rate. This is a transformative solution, and by using our vast knowledge of fit and style expertise, together with Sizer’s know-how, we’ve created a personalized, time-efficient, and foolproof sizing tool for everyone.” While geared more towards self-gifting, these types of apps can build quicker loyalty for a brand by selling the right-sized product to new consumers.  Apparel is expected to be a top category for holiday purchasing.

Financial tips to manage holiday gifting

Personal finance expert, Nicole Lapin, provides some quick tips on managing holiday budgets starting with using a buy-now-pay later plan. Lapin said, “Use buy now, pay later tools that can add flexibility and control over purchases. For example, I recommend Plan it from American Express.” Lapin’s other tips include: 

• Make a list of everyone you want to gift and how much you want to spend. Lapin said, “The first thing I ask people who tell me they blew their budget is if they even had one in the first place! I mean, if it’s good enough for Santa, it’s good enough for me!” 
• Safeguard yourself from sale temptation. Set the inbox up to work for you. Go through and unsubscribe from retailers’ emails. Lapin says, “If you want to get real fancy, set up a whole separate email account just for shopping so when you do decide you are buying something, you can locate the sale email easily but won’t be bombarded on the regular.”
• Go on a social cleanse. A new study found that 40% of social media users are likely to buy what they see in their feeds! “No one is going on a food detox now, but it might be good to go on a little social detox. Staying present will give your wallet a present,” said Lapin.
• Clear your cookies and outsmart the retailers. 

Lapin tells consumers to approach your holiday shopping just like you would approach a trip to the grocery store. Plan ahead, write a list, and know what you are searching for so you are less prone to the pitfalls of online shopping rabbit holes. 

Let the shopping begin!