How to make your 2022 Black Friday strategy stand out

Black Friday and Cyber Monday, known as the busiest selling time for eCommerce merchants, are just around the corner. With the advent of holiday shopping, these two retail events are no longer treated as distinct; they have extended to a week or more of consumer spending on discounted items. In 2022, Black Friday will be on 25th November, with offers typically carrying on to Cyber Monday falling on 28th November this year.

With the majority (58%) of consumers planning to kick off their purchases before November, based on research by the Institute of Business Value (IBV), it’s best to get the word out about your promotions early on. Yet as economic uncertainty with rising inflation and a looming recession remains prominent this year, plans for holiday purchases risk falling through. Tailoring your retail strategy to shifting conditions and consumer attitudes is key for lasting benefits to your sales and revenue.

Join us as we explore the key factors affecting purchasing decisions in 2022 and share insights on how your eCommerce business can stand out this holiday season for maximised conversions and profitability.

What’s changing in consumer shopping habits

Although Black Friday and Cyber Monday remain major shopping occasions, with sales in the US predicted to hit over $158 billion in 2022, profound shifts in consumer purchasing patterns and cuts in spending cannot be overlooked. 66% out of 12,000 IBV survey respondents worldwide voiced their concern about the economy and how it might negatively impact their buying habits during the holiday season. While distress around the COVID-19 pandemic eases for many buyers, this year worries are gearing toward the soaring cost of living for consumers and supply chain issues. Particularly, the majority (60%) of shoppers worldwide are likely to cut non-essential retail categories, including apparel, footwear, jewellery, and accessories, if inflation keeps on soaring prices. The same study shows that more than one in four (41%) consumers report they won’t splurge on Black Friday and Cyber Monday offers if there’s no product availability due to supply chain disruptions.

Data from Finder shows that a drop in spending is also prevalent among 2,000 UK consumers surveyed due to the ongoing cost of living crisis. Precisely, Brits are planning to spend on goods such as kitchen appliances, gaming consoles, etc. this Black Friday an average of £189.59 (approximately $219.16) in 2022. This marks a 31% reduction in spending compared to 2021. Despite this, the number of UK consumers who look to shop in the Black Friday and Cyber Monday sales has grown by 6% from last year, as highlighted by Finder. This surge could be due to more people aiming to save on budget ahead of the holidays.

Additionally, when asked which channel they prefer to make their purchases, the majority (46%) are online buyers in the UK, with spending at physical shops dropping by 36% this year compared to 2021. Interestingly, Gen X and Boomers are the age groups with the highest preference for online shopping at 53% in 2022 as opposed to in-store sales that range between 5% and 16% across generations.

It appears that this year many buyers will keep their eyes peeled on early bargains and discounts while relying on eCommerce to make their purchases. Understanding when and how your target audience chooses to shop this Black Friday can help you map out a retail strategy that boosts your conversions and profit margins. Let’s take a closer look at how you can achieve this.

Offer deals online that cater to early bargain hunters

We might be weeks away from the official sale dates in November, but some brands are already pushing their Black Friday promotions. With early deals, cash-strapped consumers can stock up on gifts beforehand and spread the cost of holiday purchases.

For example, French multinational retailer, Sephora, is rolling out online early deals as part of their Beauty Insider Holiday Savings Event. The event takes place from 28th October to 7th November and includes discounts for all three tiers of their loyalty programme. UK-based brand, John Lewis and Partners has also announced discounts selected lines for online purchases of fashion and accessories. These promotions can give consumers who are looking for deals this holiday period enough time to shop in the comfort of their homes and fill their baskets with products at reduced prices.

Early Black Friday sales are a great opportunity for eCommerce merchants to set their brand in front of new and existing customers locally and globally. By putting your deals out in full force weeks in advance, you'll be better placed to gain a competitive edge and convert more customers at online checkout.

Improve checkout experience with preferred payment methods

Tailoring payment options to the preferences of the customer segments you're trying to engage is imperative. Even more beneficial to your sales volumes can be offering a mixture of traditional payment methods such as credit and debit cards alongside local payment methods. Having payment methods your customers use and trust means that they're less likely to turn away at the final touchpoint of their experience with your eCommerce store – the checkout.

However, consumers’ preferred payment methods differ from market to market. Integrating your target audience’s preferred payment options for your key regions can facilitate business growth. emerchantpay's Global Payments Outlook 2022 report drills down into local payment solutions in key markets. For example, our findings unveil that credit cards dominate the payments landscape in the UK with 29%. At the same time, local payment methods like EPS (eps-Überweisung) is a widely used bank transfer payment option in Austria. (Stay in the loop of payment preferences of consumers across the board through the Country profiles in our Global Payments Outlook report).

Safeguard revenue with optimised payment strategies

With overheads rising and consumer spending dropping, businesses acknowledge the need to reduce expenses and optimise their operations. In fact, emerchantpay's The Great Payment Transformation report uncovers that nine in ten (91%) merchants across various industries lose significant revenue due to inefficiencies in their payment systems, such as shortcomings in their payment gateway.

While investing in enhancing payment processes can help recoup lost revenue, over one in three (36%) of payment leaders believe that a shortage of data impedes them from achieving this. Not having the resources needed to interpret data and track fraudulent transactions may lead to chargebacks, which can also prove detrimental to revenue generation and business reputation. This highlights the pivotal role of an experienced payments service provider who will offer high-level advisory, data insights and tools that can help businesses identify areas of improvement to protect their revenue and customers.

With the right guidance, a payment expert can support merchants with unlocking opportunities for business growth and realising the true commercial value of optimised payments this Black Friday and beyond.

How emerchantpay can help

Black Friday and Cyber Monday will take a different shape and form in 2022. Consumers worldwide are reining their spending in light of economic upheavals while pivoting toward early deals to save for the holidays. It’s worthwhile tapping into digital payment methods to meet your consumers' preferred ways to pay while setting payment optimisation and security as a priority for your customer experience.

A trusted payment service provider like emerchantpay can help you adapt your payment offering to your customers’ needs. This way, you’ll be better placed to maximise your profit margins and cultivate brand loyalty. Taking pride in our advanced technology and customer-centric approach, we empower brands to design seamless and engaging payment experiences for their target audience.