Black Friday a ‘kick in the teeth’ event
AS many Black Friday offers continue into this week, it has been revealed that three quarters of small independent retailers believe the retail event is bad for business and loses them sales.
Small retailers say shoppers are drawn to global or UK retail giants promising significant discounts, according to a joint survey by shop local platform, Shopappy, and small business free publicity platform, Newspage.
This draw towards big brands offering significant savings is said to lose sales for small retailers.
The survey, of 1,000 small retailers based around the UK, also revealed that eight in 10 (81%) respondents say Black Friday is putting pressure on them to lower their prices to remain com- petitive, at a time when margins and profits are already down due to the cost of living crisis and soaring inflation and energy bills.
Unsurprisingly, nine in 10 (89%) survey respondents said they would like to see the annual shopping event removed from the UK calendar altogether, with one describing it as an “annual kick in the teeth for small independent retail businesses”.
However, some retailers see Black Friday as a “necessary evil” and something they “begrudgingly” embrace in an effort to drive some quick sales.
Dr Jackie Mulligan, expert on the Government’s High Streets Task Force and founder of local shopping platform, Shoplocalonline.org and Shopappy, said: “Having weathered the pandemic and now facing an unprecedented economic and cost of living crisis, the small independent shops that line our high streets need our support more than ever. “Many are saying this Christmas could be their last if sales aren’t strong and Black Friday could be the final nail in the coffin as it bedazzles consumers and encourages them to spend with big business.
“This year, like last, we’re encouraging people to spend what money they do have with the businesses in their local communities rather than line the pockets of billionaires.”
Jukka Väänänen, CEO, Newspage, added: “Black Friday, in the eyes of the vast majority of small retailers, is a trashy American import that should be binned once and for all. In the current economic climate, independent retailers are already under the cosh and then along comes an event that costs them sales and puts pressure on them to cut their prices.
“While the vast majority of survey respondents were against Black Friday, some were ambivalent and feel they have no choice but to roll with it. They see it as “a necessary evil” and one that it would be unwise, commercially, to ignore.”
Michael Oszmann, founder of online marketplace, Buy Britain, said: “It has been shown that the vast majority of Black Friday deals are not really deals at all — 98% according to Which?.
“It is also a time when the largest businesses greatly ramp up their marketing activity to lure in consumers to these so-called deals. For small businesses making products in the UK, that type of marketing, on that scale, is very difficult to compete with.
“So from our perspective the main beneficiaries of Black Friday are companies like Amazon. Not UK consumers, not small independent businesses and not the local economies they operate in.”
Black Friday could be the final nail in the coffin as it bedazzles consumers and encourages them to spend with big business.