If you’ve noticed an unusually large number of early Black Friday discounts landing in your inbox, you’re not alone.
“Anybody and everybody that could possibly be putting out a deal right now is,” said RedFlagDeal’s content coordinator Kari Erickson.
“We are noticing that retailers are certainly having bigger deals, a greater percentage off. A lot of places are 60 to 70 percent off already,” she told Consumer Matters.
Canadian-based RedFlagDeals.com, which monitors sales and promotions, says early Black Friday deals are hitting several categories currently, including electronics, apparel, toys, and other home essentials.
“People are purchasing more of a need than a want. There’s not as many wants being purchased and I think that’s just where we are at. People don’t have the disposable income to buy all the things they wanted before, even if it’s a hot deal,” said Erickson.
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With rising inflation, higher food prices, and uncertainty around the ongoing trade war, retail analysts say consumers are feeling mindful about where they’re spending their money this holiday season.
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“All the retailers, they realize the consumer is cautious and they have to entice the consumer with early sales and aggressive sales,” said retail strategist Bruce Winder.
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While those early hot deals may be welcome news for shoppers, it may indicate a company’s financial state.
Capilano University’s retail instructor, David Ian Gray, speculates that the discounts being offered by some retailers may be attributed to having over-ordered to get ahead of tariffs, or a retailer could be facing a cash crunch and needs to move product to generate cash flow.
“In cases where retailers across the board are going into deep discounting really early across all their products, what that signals to me is they are in a serious financial crisis. They’ve over-inventoried for the season,” Gray said.
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The “official” Black Friday kicks off on Nov. 28, but bargain hunters say consumers may not want to wait to see if prices drop further.
“I think if there is something that you are eyeing right now that you’ve been watching and you see it, especially if you are noticing a 70 per cent discount, chances of something going lower than that on Black Friday, it’s not that it’s not going to happen, it’s not as likely, “ said Erickson.
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