Dale Achabal, Xiaojing Dong & Kirthi Kalyanam : Black Friday Deals : WalletHub
Kirthi Kalyanam, JCPenney Research Professor, Dale Achabal, L.J. Skaggs Distinguished Professor, and Xiaojing Dong, associate professor of marketing, were featured in a WalletHub article about Black Friday deals. They all weighed in on the following questions:
- Why do retailers repeat the same Black Friday deals year after year?
- Do you think the retailers who choose to remain closed — or have limited business hours — on Black Friday will be hurt or helped by this strategy?
- Do you think mail-in rebates are as effective as direct discounts in attracting customers?
- All things considered, are Black Friday discounts worth the hassle?
An excerpt from Dale Achabal's responses:
All things considered, are Black Friday discounts worth the hassle?
"Again, the answer is 'it depends' on the customer. If a consumer has more time than money, the answer is yes. If a consumer enjoys the festive atmosphere of the holiday season kickoff, yes. If a consumer would rather shop in a quiet, sane environment, then on-line from home is a good alternative. Or, wait a few days until the shopping frenzy calms down and go to the mall for a 'safe & sane' shopping experience."
Learn more about Professor Dale Achabal»
An excerpt from Xiaojing Dong's responses:
Why do retailers repeat the same Black Friday deals year after year?
“Black Friday becomes more of a tradition than a real deal for both consumers and for retailers. If you look at the industry level data, Black Friday is losing its attraction, while Cyber Monday is gaining more and more interests. Retailer need to update their knowledge using data analytics, rather than just based on what their experiences told them. Then they will get a better idea about what item/products would help to drive traffic to the store, which is the main objective of those deep discounts on a selection of items.”
Learn more about Professor Xiaojing Dong»
An excerpt from Kirthi Kalyanam's responses:
Do you think the retailers who choose to remain closed (or have limited business hours) on Black Friday will be hurt or helped by this strategy?
“The retailers who will remain closed will not be hurt by this strategy. Holiday momentum has already shifted due to the Internet to a long period that begins Nov 1. So Black Friday is not as important as it was in the past. Given the decrease in volume and the deep discounting and the costs of keeping the stores open, Black Friday might in the near future become a ‘Black Hole’ for some retailers. Of course for mass market retailers like Wal*Mart, Target, etc., Black Friday will continue to be a day of action.”
Learn more about Professor Kirthi Kalyanam»