For many, Black Friday is the impulse event of the year, with the chance to find deals unseen at any other point. Its success hinges on consumers preferencing their 'wants' over their 'needs', and a retailer's success during this period is dependent in its ability to tap into this. The incentives making this the impulse event of the year are endless, from ever seamless checkout technology, eye bulging discounts, to freebies and free delivery, the pull of Black Friday is evident.
The juxtaposition of the economic climate and ever cautious consumer, to the splurge of consumerism we see during Black Friday is obvious. According to Finder, the UK is set to spend £3 billion this Black Friday, although this is a 23% drop compared to 2022. Nevertheless a government survey found that 67% of UK shoppers are "desperate to find a deal", underlining the importance of these events for retailers to drive footfall and sales.
With consumers determined to cut costs this Christmas, how can retailers best utilise the power of Black Friday against this backdrop?
John Lewis believes it has the answer, expanding its Black Friday sale to the whole month of November, claiming it's “rewriting the Black Friday rule book”. The motivation behind this is clear, to entice shoppers to take advantage of discounts, as they spread their spending over a wider window.
However, at its core does this negate the primary incentive of Black Friday. Traditionally the one thing consumers are in short supply of during these events is time. They're incentivised to purchase out of pressure they'll miss out on a one-off deal, as prices can fluctuate throughout the day, as well as items selling out as others snap up deals. With a month-long sale, this is negated as customers can ask themselves 'do I really need this', 'is it value for money' and 'can I buy it cheaper elsewhere'.
The extension of John Lewis' Black Friday sale is a decision of inclusivity, with the potential to reach more customers originally forced out by budget pressures, and in doing so drive sales in a tough economic market. However with an extended sales period comes the risk of competitor price matching as well as consumers being able to truly shop around for the best deals.
Below we at Acuity Pricing review the current Black Friday sale by John Lewis, looking at the areas they're targeting, the types of promotions on offer, and the quality of these.
What's on offer?
The sale at John Lewis is extensive, with 1,095 items currently on sale in the electrical category alone, and further deals to be found in clothing and homewares. These items cover 79 separate categories, including smart watches which have 132 items currently on offer. Interestingly over 78% of all smart watches currently on sale are Apple products. In addition, there are 113 different brands on sale, the most notable of which is Apple, seeing discounts on smart watches, tablets, laptops and mobiles.
The current sale is extremely varied, with 114 different discount types including percentage discounts, cash savings and price bundling. The most common discount formats currently on offer can broadly be divided into the following types:
- Save xx% (price includes savings).
- Save £xx (price includes savings).
- Was £xxx Now £xxx Save £xxx
Unsurprisingly for a Black Sale offering, 'Save 20%' is the most prominent single discount applied to John Lewis' electrical range, with 194 products featuring this. Interestingly, by comparing the current price to the 14th October, the real term discount is marginally lower, average at 18%, suggesting some last minute price rises just ahead of the sale.
Discounts in the style of type 2, featuring a cash discount, were applied to 558 electrical appliances. The value of these discounts is extremely varied, with prices seeing anywhere between a 4% - 55% reduction compared to their October price. With such variation its fair to suggest that the quality of these promotions can be misleading to the customer, as the extent to which they're saving is unclear.
Type 3 discounts, which feature the existing price, the current price and the discount are currently offering the most value for money, although just 22 items are currently in this format. With an average discount of 25%, and some products seeing reductions of 50%, the clarity of what customers are saving is undoubtedly a reason for the increased effectiveness here.
Gold
BaByliss Platinum Diamond 2300 Hair Dryer, Grey- £25
Listed for £25, with a prescribed discount of 'Save £35' the BaByliss 2300 Hair Dryer is the current stand out for pure percentage decrease in price compared to October, with a 58% reduction. It also represents a saving of £13.99 compared to Currys, showing John Lewis' ability to out-price other retailers. The success of this sale has been demonstrated with the product selling out online.
JOBY Gorillapod 5K Tripod – £80
Reduced to clear at £80, with previous prices clearly listed on the site, this product has seen a reduction of 54% compared with to October, and a real term discount of £95.
The success here is savings are clearly visible to the consumer, and for those resisting impulse, they'll notice that this is £19.99 cheaper than Amazon.
Samsung 645L American Fridge Freezer - £1,469
This is one of the most discounted products in John Lewis’ Black Friday offer with a saving of £730. Whilst its price has fluctuated throughout the year, seeing lows of £1,299, the current offer is below other retailers, most notably £910 cheaper than B&Q.
Silver
Apple MacBooks - (Various Prices)
Apple products are being pushed heavily in the John Lewis sale, and included within this are 31 Apple MacBooks with various discount types, although the majority of which reference a cash saving. Whilst appealing, a cautious consumer would notice that these amount to anywhere between a 2-7% discount, so it's questionable if this would tap into the impulsiveness we associate with Black Friday.
Nevertheless, for those who shop around for the best offers, the prices at John Lewis are currently lower when compared with competitors such as Argos or Currys. For example The 2023 MacBook Air 15.3" 256GB is £120 cheaper than Argos, while the 2022 MacBook Air 13.6" 256GB is £69 cheaper than Currys.
Samsung Galaxy Tab A7 Lite Tablet - £119
Samsung is another brand being pushed in John Lewis' Black Friday sale. A key part of this push is its tablet range including the A7 Lite which is offering a real saving of 20%. The current range of Samsung tablets include discounts with cash savings, as well as price bundles. However, the majority of these are being price matched so this isn't a particularly exciting offer to drive customers to purchases.
Bronze
Tefal FW201 Easy Fry 3in1 Digital Air Fryer - £99.99
Presented as the most discounted product within John Lewis' small kitchen appliances range, this Air Fryer is priced at £99.99. On the surface, this is a great saving, down from £199.99, which has been made clear for customer, however those shopping around will notice Currys and Argos have the same prices so some may wait it out to see if the price drops further.
On the face of it, the Shark Stratos IZ420UKT appears a great deal, listed at £329.99 with an advertised saving of £170. Like other products this is being price matched by Currys and Very so people may wait to see if the price drops further. Again, this falls short of the jaw dropping discounts associated with Black Friday, and there's nothing enticing enough to get the consumer to pick John Lewis over another retailer offering the same product at the same price.
Conclusion
So, amidst a challenging market, has John Lewis reshaped the Black Friday narrative with these offers, and in doing so made them the go to site for Black Friday deals this autumn. On face of it that appears unlikely, the examples above demonstrate that whilst great deals can be found, the bulk of it falters if you're expecting eye opening deals that can't be found anywhere else. This is perhaps most starkly demonstrated by the fact that just 38% of deals fall within a threshold offering discounts of +20%, whilst 48% of discounts only offer a reduction between 0-10%, when compared to their price on October 14th.
What's clear is John Lewis has tailored its approach, targeting those interested in premium brands such as Apple, Samsung, Bosh or LG. In doing so it has created some room to maneuverer with its prices, setting it apart from other retailers in regard to these brands. Whilst this is good for the consumer, and those on the lookout for products from these brands may well make their purchases at John Lewis, the pure discount of these is often limited and the impulse pull of Black Friday is often missing from these deals. For instance, if we look at the current Apple iPhone 12, 13 and 14s currently on sale, they average a discount of just 7.6%, so are hardly going to make shoppers rush to purchase them.
Nevertheless, it’s certainly a proactive move by John Lewis to appeal to shoppers who are comparing prices across other retailers. Particularly as the pull of Black Friday is waning, attempts to add something new and make promotions more accessible can be commended.
