The biggest shopping event of the year, Black Friday, may be over, but brands have no opportunity to rest as the Christmas shopping period is in full swing. Analysing Amazon’s Black Friday data is integral to understanding what to expect for the rest of the year, as well as to help brands benchmark sales in 2021. Our Insights & Analytics team analysed Amazon sales, as well as our client’s sales to provide an in-depth analysis.
With Black Friday a little over a month after a delayed Prime Day, predicting Black Friday sales results was a little challenging as over a quarter of UK shoppers were said to being their Christmas shopping early this year, potentially monopolizing Black Friday sales.
In the US, consumers spent $9 billion online on Black Friday, up 21.6% year over year according to data from Adobe Analytics. Research by Salesforce found similar results with a 20% online gain to $6.8billion in the US and a global growth of 27% to $30.4 billion worldwide. While a 20% increase is still above last year, it’s below some of the economic forecasts predicted. For example, Digital Commerce 360 had estimated a 34.9$ jump in online sales based on the ecommerce gains during the pandemic.
This could be due not only to a delayed Prime Day, but because many retailers, including Amazon, offered early Black Friday deals this year in an effort to reduce pressure on fulfilment of online orders because of an already overstressed supply chain and shipping operations. Salesforce data supports this, as their research showed digital sales grew by 72% year over year on the Tuesday before Thanksgiving.
Black Friday 2020 results in the UK
Curious as to the overall success of Black Friday 2020 in the UK, we decided to review the top 100 search terms typed into Amazon UK over Black Friday 2020. By placing them into overall broader categories, we analysed average conversion and click share to discover some interesting results about the special day in the UK.
The Electronics category made up over 25% of the top 100 most popular search terms over Black Friday. However, this was a 5% decrease when compared to Prime Day’s search term trend. Our Black Friday & Q4 insights survey discovered that Technology would rank as the most popular category on Black Friday with 37% of respondents claiming they would be shopping for deals on technology products on Amazon this year.
Other categories which people were searching for this year were Toys & Gifts at 21% and Seasonal products at 19%. This comes as no surprise as Black Friday has always been viewed as the perfect time to start shopping for Christmas. Interestingly, the Gaming category received a large share of searches due to the recent release of the PS5 and Xbox Series X. The high average of the #1 click share evidence this since consumers knew exactly what they wanted to buy. They didn’t browse around for other ASINs with better deals.
Molzi’s Black Friday 2020 Results
We noticed that our clients who sat within the Beer, Wine & Spirits category did remarkably well during the event this year. Overall, our BWS clients saw an average increase of 176% in the UK over Black Friday week compared to the week before. Arguably, this could be due to entering a second lockdown; alcohol sales skyrocketed during the 1st lockdown as more people began to enjoy having a drink at home, rather than visiting a pub or restaurant. Additionally, due to Black Friday’s history as the beginning of the holiday season, it is also likely that shoppers are stocking up on alcoholic beverages for Christmas to avoid disappointment of a favourite spirit being out of stock.. The most popular alcohol during Black Friday was Gin which was the 10th most searched for term in the UK on the 27th.
Over the 4 days of Black Friday weekend, we achieved a 22% increase in ad-attributed sales for our brands compared to the prior weekend. However, it is important to recognise that Black Friday weekend is not separate from the rest of Q4. In October, we saw 34% increase in ad-attributed sales due to Prime Day investment and participation. However, November brought an incremental 9% increase on top of the growth achieved. Brands who utilised their success on Prime Day tended to do better over Black Friday 2020 as their ASIN’s still were riding the wave of momentum from what they achieved the month before.
A quick rundown of results for Molzi’s clients
On average we:
- Achieved a CPC of 52p
- Achieved 19% ACOS
- Got 88M overall impressions for our clients
- Increased clicks by 76% compared to the previous weekend
Molzi’s key takeaways from Black Friday Weekend 2020 and for Q4
Prime Day and Black Friday 2020 may be over, but there are still a few weeks left of Q4. Many brands who viewed lockdown sales as a sprint rather than a marathon have experienced challenges with keeping in stock and have struggled to recover search position and sales. Despite this, Amazon have announced that this year’s holiday shopping season has already been the biggest in its history. With UK shoppers predicted to spend approximately £88.54 billion ($113.01 billion) during November and December this year, brands should expect to see high sales until the New Year. Brands that have secured enough inventory to accommodate the demand are more likely to have a very Merry Christmas. However, Amazon sellers shipping into or from the UK should be aware of the looming Brexit deadline and make final checks that logistics are in place to ensure a smooth transition into 2021 and the January sales event that comes with it.