Recently in South Africa, November has become one of the most highly anticipated months. Not only because it’s the month before the festive season kicks off but also because of Black Friday.
The Black Friday Landscape In South Africa
“Black Friday is an informal name for the Friday following Thanksgiving Day in the United States, which is celebrated on the fourth Thursday of November.” Wikipedia
South African retailers have jumped on to the Black Friday phenomena by promising massive sales.
South African consumers have welcomed this with open arms and wait out to make their big purchases in November, specifically on Black Friday.
The mayhem that takes place at stores hasn’t discouraged South Africans; it seems like Black Friday is here to stay and has been adopted by our retail scene.
The past couple of years have been tough for most South Africans, but even that won’t lessen the excitement of Black Friday. Wherever you turn, the internet, print and radio are all advertising the most significant sale to hit every department.
We’re already a country that’s heavily reliant on credit, and days like these make it easy for the solution to be getting a loan to afford all the “specials”.
Which is a reckless approach, yes as the year dies down many tend to be less rigid with their spending and go on a splurge but is it truly worth it?
“We found that people were more likely to take out loans and increase their spending limits during Black Friday period, to the tune of a 37% increase in new accounts and a 21% increase in total credit limits for new credit cards, clothing and retail revolving accounts.” TransUnion Africa chief executive Lee Naik said.
Black Friday or Pain In The…
The euphoria of this day takes over and leaves little room for one to think logically and ask themselves valuable questions such as :
- Are items significantly discounted
- Do I need or want this item
- How will I pay for everything
- Will the item be relevant or bring joy in my life
- What is refund or warranty policy
The euphoria of this day can quickly die down post-purchase. After starring at your purchase proudly, now you have to worry about how you’re going to repay the loan you took out.
In the case, you increased your credit card limit the interest rate will probably be higher, and you’ve ended up paying much more than what was on the price tag. So was it worth it?
The chance of what we’re all rushing to buy being old stock that won’t sell is a possibility.
Proving that retailers aren’t doing us a favour by decreasing the amount but we’re also doing them a favour by buying the stock that’s been sitting with them for ages.
Is Cyber Monday A better Option?
“Cyber Monday is a marketing term for the Monday after the Thanksgiving holiday in the United States. It was created by retailers to encourage people to shop online.” Wikipedia
Cyber Monday gives you opportunity outside Black Friday to get the deals online. The eCommerce landscape in SA is growing, and it’s no wonder Cyber Monday would find a home here.
“There are currently 18.43 million eCommerce users in South Africa, with an additional 6.36 million users expected to be shopping online by 2021 and spending a predicted average of 189.47 USD online” Eshopworld, 2017.
The stats show that online shopping will be more of an option for consumers. Online shopping might be a recent concept in SA, but things such as Cyber Monday with all its excellent deals will make it more appealing.
Considering Cyber Monday where items may have gone down further than Black Friday may be a better option for you to opt for. This is more likely to lessen your chances of going to borrow significant amounts at the banks or with credit providers.
Online Shopping Safety Tips
Unfortunately, you are vulnerable to fraud when shopping online, most sites have taken online security and privacy very seriously to minimise or eradicate the possibilities of fraud taking place on their websites.
Here are some tips to help you keep safe online.
- Shop at well-known stores online (takealot, game, Superbalist etc
- Use secure payment options
- Be wary of too good to be true deals
- Never save your credit card details
- Educate yourself on the delivery terms
Here are some more tips on shopping safely online
Ultimately there’s absolutely nothing wrong with trying to get the things you want for the best deal, all we’re saying is don’t get yourself broke for months after.
Like many of you, we also had a Black Friday/Cyber Monday wishlist; for our clients to perform 10 000 checks, it may seem impossible we reckon anything is possible on Black Friday.
What is on your Black Friday/Cyber Monday hit list?