Consumers valued various special deals this Black Friday, as digital commerce revenue grew +14.6% compared to 2023, according to an update from Mastercard (NYSE: MA).
As noted in the preliminary insights from Mastercard SpendingPulse, U.S. retail sales excluding automotive were “up +3.4% on Black Friday, November 29 compared to Black Friday 2023.”
Mastercard SpendingPulse reportedly measures in-store and online retail sales, representing all payment types, and is “not adjusted for inflation.”
During the past few years, Black Friday has become more than just one day, but instead a “window of time for shoppers to find value.”
Although consumers were enticed by early deals in the days leading up to the Thanksgiving holiday, Black Friday continued to reign as “one of the biggest days of the season.”
Focusing on Black Friday, it was observed:
- Online Retail sales increased +14.6%, while In-store sales were up a more modest +0.7%, compared to Black Friday last year.
- Jewelry, Electronics and Apparel remain the top gift sectors for the holidays, with particular strength in e-commerce for Apparel on Black Friday.
Michelle Meyer, chief economist, Mastercard Economics Institute said that Black Friday was a good indicator of “how the holiday season is positively shaping up.” Meyer added that their real-time insights show that consumers are comfortably in the “gift-giving spirit as price reductions and deals occur across sectors, supporting budgets for holiday shopping.”
Steve Sadove, senior advisor for Mastercard and former CEO and Chairman of Saks Incorporated said that consumers are making the most of seasonal deals and enjoying a “balance of experiences spending and gifts for all loved ones.” Sadove added that they’re more strategic in their shopping though, prioritizing promotions that they “believe hold the greatest value — opening their wallets, but with more intentional distribution.”
Zooming out to the 2-week period ending in Black Friday, a few notable themes stood out, according to the update from Mastercard:
- Value is in vogue: While retailers and consumers sought an early start to the season, deals and promotions rolled out on Black Friday appealed to shoppers looking to save on items they value most.
- Regions: They saw spending outperform in pockets of the country including Massachusetts, Washington D.C, and Colorado.
