More Credit and Debit Cards Use By Consumers on Black Friday
Expert predictions were defied with the rate at which buyers went ahead on Black Friday to purchase goods through their debit and credit cards. There has been a significant increase in the numbers this year.
Black Friday promotions presented by land based retailers saw a significant dollar amount increase in the number of transactions made on credit and debit cards of the consumers. This was reported in the data presented from SpendTrend analysis of First Data on the sales figures of Black Friday. Some part of it may be due to the fact that large retail chains started their promotions of Black Friday on Thanksgiving Day. The other reason is that the consumers continue to feel more at ease with their money.
All in all, there was a 6.3 percent increase on a year-over-year basis on the value of purchases made all through Black Friday promotions. This increase was unexpected by the experts because of the significant increase seen the year before also. According to the report the total transaction growth was at 7.3 percent, the report said. Better bargains were indicated this year as the prices for retailers diminished. There was a drop of 0.9% in the prices of the retailers and the most noteworthy drop was offered by big box appliances and electronics stores plus general products stores such as discount retailers.
The report also mentions that the spending was not just limited to the brick and mortar world. The online retail industry’s response to Black Friday is Cyber Monday, which was also a great hit with shoppers this year and the dollar volume growth was almost 20 percent.
According to division manager and senior vice president of Analytics Solutions Silvio Tavares and First Data Global Information, the publisher of SpendTrend, this holiday season spending has had a solid start and buyers responded positively to the discount prices and early openings on Black Friday. This momentum continued strongly during Cyber Monday.
It is noticed that credit cards are used more often by the shoppers during the holiday season as compared to other times. This was particularly true for Cyber Monday and Black Friday.
According to experts, the reason is that consumers feel that the bargains were too good to be missed and were inclined to augment their purchases to an amount which may not be affordable by cash on hand.