20 November 2017
- Live spending data and spokesperson available on Black Friday and Cyber Monday
- Nationwide predicts 13 per cent card spend increase versus 2016
- Black Friday 2016 saw biggest spend to date (£167 million) – up 11 per cent on the previous year
- Nationwide customers spent £31,250 more a minute compared to a regular Friday
As the UK once again prepares to hunt for a Black Friday bargain, figures from Nationwide show how retail spending soars as impulse buying rises on the day. Britain’s biggest building society has collated its own customer spending data and has forecast that 2017 will mark the biggest spend yet, estimated to be up 13 per cent on last year.
Customer data from 2016 highlights the extent of Black Friday spending compared to a regular Friday, with people spending more than ever before. Nationwide credit card and debit card customers spent a staggering £167 million on Black Friday last year (25th November) compared to £122 million the previous Friday (18th November) – an increase of 37 per cent, or equivalent to an extra £31,250 per minute. The spend was also £17 million higher than Black Friday 2015, representing an increase of around 11 per cent. The peak time for spending is 1.30pm, with many people venturing out to the shops or online in their lunch hour, the data shows.
However, this year Nationwide forecasts that customers will spend a staggering £188 million-plus on the day, representing a 13 per cent hike and the highest spend ever recorded.
Nationwide will be releasing live spending data on Black Friday to show how customer behaviour is affected (See Notes to Editors).
The figures show that department stores saw the biggest leap in spend, spiking by 215 per cent, while clothing purchases increased by 113 per cent. And while spending at supermarkets saw a more modest increase on Black Friday of 10 per cent, it remains the top place for customers to spend their money.
The five most popular ways to spend money on Black Friday 2016 were:
||Spend on Black Friday 2016
||Increase vs Black Friday 2015
||Spend difference between black Friday and previous Friday
Nationwide Predictions for 2017:
In the last four years, Nationwide has seen the number of transactions made on Black Friday increase by 55 per cent and the Society is predicting a 13 per cent increase in spending on Black Friday 2017 when compared to Black Friday 2016.
While there is a rise in customers spending online, the Society is predicting just a third (35 per cent) of transactions will be made online with two thirds (65 per cent) venturing out to the shops. However, just over a quarter (28 per cent) of the spending in shops is likely to be made by customers using contactless cards, reflecting that a large proportion of the spending is customers just doing their day-to-day shopping.
While Black Friday remains one of the busiest shopping days of the year, the peak shopping day for 2016 was Friday, 23 December as customers stocked up on last-minute gift-buying and food preparations before Christmas. Therefore, Nationwide is predicting that Saturday, 23 December 2017 will be the busiest shopping day this year.
And with many sales now starting online on Christmas Day rather than on Boxing Day, the number of transactions being made on 25th December has nearly doubled in the last four years to around 785,000. Compared to last year, the Society is predicting a further 20 per cent rise in customers spending on Christmas Day.
Scott Manson, Nationwide Building Society’s Head of Payment Strategy, said: “With many sales now starting before Black Friday, shoppers are already seeing good deals being offered, but the Society still expects many retailers to save their best deals for the Black Friday weekend meaning the number of transactions made that weekend is predicted to be higher than previous years.
“The figures are clearly impacted by the fact that more people than ever are paying by card versus cash, although further compounded due to Black Friday sales being truly baked into the nation’s psyche.
“We would always recommend customers plan their shopping sprees and seek out those offers that provide real value for money.. Customers can also keep track of their spending with our Mobile Banking App and Internet Bank to make sure they are spending within their means”
Notes to Editor:
Live data on how much Nationwide customers are spending and how it compares to Black Friday/Cyber Monday 2016 and a standard Friday available on request.