How to spend Black Friday successfully and without getting sued

"Black Friday" – The Day of Sales. Where Does the Name Come From?

In America, accountants used to record profits with black ink and losses with red ink. The name "Black Friday" comes from the American term "in the black," which was used when a business started to make a profit after a long period of stagnation or even losses. In the 1960s, during Christmas sales in Philadelphia, police and bus drivers used the term "Black Friday" to describe the chaos in the streets caused by the large number of shoppers on that day.
Even today, most retailers see "Black Friday" as a chance to "push" sales in case of stagnation, sell seasonal, Christmas, and New Year’s items, and earn maximum money before the annual winter lull. But sales are not the only benefit of "Black Friday" for retailers.

How Do Brands and Sellers Use "Black Friday"?

• All retailers want to get a large influx of money through a sharp increase in sales on the day of big discounts.
• New stores see "Black Friday" as an opportunity to loudly "break into" the market with mega-discounts, original promotions, or the introduction of new products, while more experienced market players use "Black Friday" to remind consumers of their presence.
• Some companies even use such holidays for social experiments. For example, in 2018, the cheap shoe company "Payless" created a fake luxury brand called "Palessi." Under this brand, they managed to sell their ordinary shoes at sky-high prices. This was part of a marketing campaign to show how much a brand influences the perceived value of a product. The campaign went viral, drew a lot of attention, and brought huge profits to the manufacturer.

Examples of Successful Campaigns

✅ In 1996, the "Tickle Me Elmo" toy by Tyco Toys became a true frenzy on Black Friday. People fought for the last remaining toys on store shelves, leading to chaos. How did the company achieve such success?

• They released a product that was an absolute novelty at the time – the toy responded to touch, made sounds, and was "interactive," which today might not surprise consumers, but in the '90s, this was something incredible.
• They promoted the product well ahead of the sale.
• They announced a limited batch and a limited quantity of the product.

As a result, the company made huge profits on Black Friday.
✅ In 2014, Apple held the "Apple Trade In" campaign during the launch of the iPhone 6, where customers could get a discount on a new iPhone by trading in their old phone. This campaign attracted customers who already had an Apple phone and weren’t planning to buy a new one, but didn’t want to miss the opportunity to upgrade their gadget. As a result, Apple saw record sales of the iPhone 6 and 6 Plus – over 10 million units sold in the first weekend.
✅ In "Black Friday" 2023, Walmart launched a nostalgia campaign for the movie "Mean Girls." They created a series of advertising videos featuring actors from the movie. This attracted shoppers' attention and brought great profits.
✅ Costco and Walmart continuously use the strategy of discounts for bulk purchases. Sometimes, they make a clever trick by pricing a larger item lower than a smaller one. For example, at Walmart, a 1.05 lb jar of Nutella cost $9.98, while the same Nutella in a larger 2 lb jar cost $7.99.
✅ Booking.com uses the fear of missing out (FOMO) tactic to boost sales. For example, on the hotel listing page, they show labels like "Only one more room at this price" or "Last room available," creating a sense of urgency to buy immediately. And Booking.com thrives.
But "Black Friday" can turn truly "black" for a company if the campaigns are poorly thought out. There have been cases in retail history where discounts and promotions led to a loss of reputation, profit, and even lawsuits.

Failed Campaigns in Stores and Their Reasons

❌ In 2006, the company Target in the USA promoted discounts on various products in their stores with references to the shelves where they could be found. But when customers came to the store, the discounted items were not on the indicated shelves – they were placed in completely different locations of the store, and customers had to search for the items. This upset customers so much that the company was sued for misleading buyers.
❌ In 2007, another American company faced issues due to poorly organized discounts. Best Buy created a fake website that mimicked their real online store but with lower prices. Customers saw the low prices online but couldn’t buy the discounted items, because in the actual company stores, the prices were still high. This led to lawsuits for misleading customers.
❌ In 2014, TJ Maxx faced similar lawsuits and paid hefty fines. They set discounts but slightly inflated the "original" prices to make the discounts look bigger. Customers noticed the trick and sued the company.
❌ Walmart also had failed campaigns. In 2016, the company held a discount campaign, but the discounted products in the store were more expensive than the advertised prices. This also led to legal disputes.
❌ In 2019, KFC launched a limited-time campaign with their new product – chicken waffles. The campaign was generally successful, and KFC made a good profit, but the company miscalculated the necessary product quantity. The demand exceeded expectations, and many outlets quickly ran out of stock. This led to customer dissatisfaction and accusations of fraud due to the lack of promotional products. So, it is essential not only to launch a campaign but also to plan everything so that customers receive the products in the required quantity and on time.

How to Run a Successful Promotion or Sale?

✅ Analyze the demand for products in your store over the past month and the results of last year's "Black Friday."
✅ Order the required quantity of products in advance and, if possible, arrange with suppliers for urgent delivery of additional stock if necessary.
✅ Update the product information on your website before the promotion and ensure timely order processing – you can set up an accounting program for automatic order acceptance 24/7 and real-time updates across all your store or chain's accounting centers.

✅ Set up logistics and fast product delivery. You can even synchronize your accounting program with transportation companies, such as Nova Poshta or Ukrposhta.
✅ Take care of working in extreme conditions – charge phones, tablets, laptops so that in case of a power outage, you can continue working on different offline devices, and also install Torgsoft Hybrid for selling with or without power and internet.

What Products to Sell on Black Friday 2024?

According to statistics from recent months, the highest demand in Ukraine is for electronics, followed by home and garden goods, clothing, cosmetics, hygiene products, tools, and automotive goods.
In the fall, the demand for food delivery, toys, hobby items, tools, automotive goods, home and garden products, and online services for music and video streaming increased. Long shelf-life products also became more popular. Ukrainians have also started purchasing products for the holiday table for Christmas and New Year's.

What Promotions Can Be Run Using the Torgsoft Accounting Program?

In Torgsoft, you can set up almost any promotion:

• Discount on a product group,
• On the 1st, 2nd, or 3rd item in the check,
• By barcodes – promo codes,
• 1+1=3 promotion,
• On the 2nd item in the check,
• On quantity or total purchase amount,
• Discounts for certain categories of buyers,
• Individual discounts for customers' birthdays,
• Set up "Happy Hours" – where discounts apply to products at specific times or on certain days, such as "Black Friday," and many other promotion options.

Materials to Help You Organize Successful Sales in Your Store:

Learn how to create and set up discounts and promotions in Torgsoft
Black Friday, How to Prepare an Online Store?
Black Friday, How to Prepare a Traditional Store?
Articles on Marketing, Promotions, Discounts, and Bonuses in the Store
30 Ways to Increase Sales in Your Store
Sample Promo Campaign: Bring a Friend
Bonus System with Expiration