# Cost-of-living crisis casts shadow over Europe’s Black Friday Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-11-25 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Retailers in Europe Hopeful for Black Friday Boost Amid Meta Description: Retailers across Europe brace for challenging Christmas season as shoppers cut back amidst soaring prices, but optimistic about Black Friday sales. URL: https://financedigest.com/cost-of-living-crisis-casts-shadow-over-europes-black-fridayhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-11-25t070111z1lynxmpeiao04xrtroptp4holidayshopping-blackfriday-britain-1737287312053-compressed.jpg) By James Davey LONDON (Reuters) -Europe’s retailers are hoping Black Friday discount day will get shoppers spending, though it takes place against a backdrop of a worsening cost-of-living crisis and the distraction of the soccer World Cup. Retailers across Europe fear the overall Christmas trading season could be the worst in at least a decade as shoppers cut back, while the costs of doing business show no sign of abating, squeezing profit margins. Double-digit inflation has dented consumers’ purchasing power and their confidence is also at or close to the gloomiest on record as soaring energy bills add to the spiralling [cost of living](https://www.financedigest.com/indefensible-uks-sunak-under-fire-over-response-to-cost-of-living-crisis.html "‘Indefensible’: UK’s Sunak under fire over response to cost of living crisis"). But to help budget their finances, consumers have begun their Christmas shopping early this [year and many still look set to shop on Black Friday](https://www.financedigest.com/extraordinary-rollercoaster-good-friday-talks-remembered-25-years-on.html "‘Extraordinary rollercoaster’, Good Friday talks remembered 25 years on"). Some consumers may, however, have other priorities, with Wales, England, the Netherlands and Poland all in action on Friday at the [World Cup](https://www.financedigest.com/soccer-englands-houghton-will-keep-knocking-the-door-for-the-world-cup.html "Soccer-England’s Houghton will keep ‘knocking the door’ for the World Cup"). Britons will [spend 8.7 billion](https://www.financedigest.com/europes-spend-on-energy-crisis-nears-800-billion-euros.html "Europe’s spend on energy crisis nears 800 billion euros") pounds ($10.5 billion) over the Black Friday weekend (Nov. 25 to Nov. 28), according to research by GlobalData for VoucherCodes – up 0.8% year-on-year but masking a [big drop in volumes once inflation](https://www.financedigest.com/big-fall-in-euro-zone-inflation-offers-little-help-for-ecb.html "Big fall in euro zone inflation offers little help for ECB") is accounted for. This year, consumers will use [Black Friday](https://www.financedigest.com/staying-ahead-of-risk-this-black-friday.html "Staying Ahead of Risk This Black Friday"), which has become more of an online event, much more for jumping on spontaneous deals and for Christmas gifts, rather than for bigger, delayed purchases, according to consultants McKinsey. Its research shows a quarter of UK consumers have already done their [Christmas shopping](https://www.financedigest.com/scam-special-how-to-avoid-christmas-shopping-fraud-this-year.html "Scam Special: How to Avoid Christmas Shopping Fraud this Year"), while about one in 10 is planning to do most of it on Black Friday. Idealo, the European price comparison portal, said 65% of online Italian shoppers are ready to [buy a product](https://www.financedigest.com/over-half-of-britons-say-loyalty-cards-encourage-them-to-buy-a-product-niq.html "Over half of Britons say loyalty cards encourage them to buy a product – NIQ") during the event. In France, 70% [plan to shop on Black](https://www.financedigest.com/back-to-black-germanys-coal-power-plan-hits-hurdles.html "Back to black? Germany’s coal power plan hits hurdles") Friday and Cyber Monday, according to research by PwC France. However, the Spanish are less keen, with just 24% of shoppers planning to take advantage of [Black Friday deals](https://www.financedigest.com/kremlin-remains-downbeat-on-state-of-black-sea-grain-deal.html "Kremlin remains downbeat on state of Black Sea grain deal") to get a head start on their Christmas shopping, according to the Spanish Association of Mass Consumer Goods Companies. In the United States, the National Retail Federation (NRF) has forecast [holiday sales would rise at a slower pace this year](https://www.financedigest.com/100-years-of-uk-holidaying-habits.html "100 YEARS OF UK HOLIDAYING HABITS"), while Amazon has forecast its slowest revenue growth for any holiday period in years. AIR FRYERS In Britain, the Black Friday trading period is particularly important for the likes of department store group John Lewis, [consumer electricals](https://www.financedigest.com/greece-to-set-cap-on-electricity-prices-to-relieve-consumers-pm.html "Greece to set cap on electricity prices to relieve consumers- PM") retailers Currys and AO World, and general merchandise retailer Argos, which is part of supermarket group Sainsbury’s. We’re [seeing a significant change](https://www.financedigest.com/the-sepsis-therapeutics-market-to-see-through-the-probable-sea-change-through-digitization.html "The Sepsis Therapeutics Market to see through the probable sea change through digitization") to behaviour, we’re seeing people prioritise things like essential domestic products … things like microwave ovens, air fryers,” Currys [chief commercial officer](https://www.financedigest.com/iris-software-group-names-matt-tuson-as-chief-revenue-officer.html "IRIS Software Group names Matt Tuson as Chief Revenue Officer") Ed Connolly told BBC radio, noting strong demand for other energy saving products such as heat pump tumble dryers. Some major retailers, including Marks & Spencer, largely shun the event. More than a decade since being brought to Europe by Amazon, [Black Friday’s](https://www.financedigest.com/lockdown-2020-black-friday-how-to-maximise-return.html "Lockdown 2020 Black Friday – How to maximise return") worth to retailers still divides opinion. Supporters say carefully planned promotions in close co-operation with global suppliers allow [retailers to boost sales](https://www.financedigest.com/uk-retailers-turn-positive-on-sales-hopes-after-bleak-winter.html "UK retailers turn positive on sales hopes after bleak winter") and maintain profit margins. Naysayers argue the discounts suck forward Christmas sales with reduced profits and undermine consumers’ willingness to [pay full](https://www.financedigest.com/sainsburys-pays-524-million-for-full-ownership-of-store-investment-vehicles.html "Sainsbury’s pays 4 million for full ownership of store investment vehicles") price again before the festivities. ($1 = 0.8273 pounds) [(Reporting by James Davey in London; Additional reporting by Giselda Vagnoni in Rome, Dominque Vidalon in Paris and Corina Rodriguez in Madrid; Editing by David Holmes and Kim Coghill)](https://www.financedigest.com/london-reclaims-place-as-preeminent-global-financial-centre-for-the-first-time-since-2013-according-to-global-regulatory-outlook-report-from-duff-phelps.html "London reclaims place as preeminent global financial centre for the first time since 2013, according to Global Regulatory Outlook report from Duff & Phelps") --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---