Thousands stood outside for hours, some even for days, just to get first crack at some amazing deals.. but just how good were the deals? Was it worth camping outside of stores like Best Buy, Target and Walmart for days?
A Black Friday Record Breaker
U.S. retailers reported a record breaking Black Friday with $52.4 billion in sales, which is a 16.4% jump over Thanksgiving sales from last year. Among the major winners was Best Buy Co Inc., which is a major improvement from last years disappointing sales.
Last year Best Buy focused primarily on consumers wanting 3D television technology, only to find out that consumers were only mildly interested. This year, Best Buy focuses on lower prices for big TVs and other popular technology, and with great success!
“Last year, they weren’t as responsive with their pricing as they needed to be. We are seeing a different set of behaviors from them this time around,” said Lawrence Creatura, a portfolio manager at Federated Clover Investment Advisors.
How Successful Was Black Friday 2011?
In 2010 analysts estimated 212 million shoppers hit the stores and online shopping sites. This year a record 226 million surprised the same analysts who had predicted lower numbers due to a 9% unemployment rate, the high cost of gasoline, and fiscal uncertainty in Europe.
“One swallow does not a holiday season make. After the deepest recession in decades, the solid Black Friday weekend is welcome news, but we’re only in the second quarter of a long playoff game,” said Craig Johnson, president of consulting firm Customer Growth Partners.
Can these numbers stay up?
The National Retail Federation forecast a 2.8 percent increase in sales for the November-to-December holiday season, down from the 5.2 percent increase in the same period last year.
Many investors and interested consumers will be watching numbers closely as stores battle to keep sales numbers up.
