Black Friday Sales Up 6% as Holiday Shopping Season Begins
Monday, 27 November 2006
ShopperTrak RCT Corporation's National Retail Sales Estimate (NRSE) on Saturday reported that the 2006 holiday retail season got off to a relatively strong start as compared to 2005 with the season's first major shopping day, Black Friday, increasing 6.0 percent. Preliminary sales estimated at a daily rate for Black Friday totaled $8.96 billion.
While Black Friday weekend isn't traditionally an accurate indicator for the entire holiday season, Friday's impressive consumer outpouring should have retailers feeling cautiously optimistic as compared to 2005.
Extended Black Friday discounts and the recent decline in energy costs may have left consumers with more disposable income to spend this weekend. In 2005, Black Friday was the highest sales day and traffic day for the season and has been either the second or third busiest day in years past.
"Although we anticipated a solid consumer turnout for Black Friday, this data shows an even larger increase than expected as consumers proved they were willing to spend," said Bill Martin, co-founder of ShopperTrak.
"Because Black Friday isn't the greatest bellwether for the season's performance, retailers need to remain cautious, but undoubtedly this type of a season opening is a nice shot in the arm for the industry,” Martin said. “Positive year-over-year growth continued this past week, marking the 43rd out of 46 possible weeks in 2006 showing an increase, and it seems that strong pattern is continuing into Black Friday and should continue throughout the weekend."
Developed by ShopperTrak, the NRSE provides a nationwide benchmark of retail sales. It is derived from the US Commerce Department's GAFO (general merchandise, apparel, furniture, sporting goods, electronics, hobby, books and other related store sales) statistic, as well as ShopperTrak's proprietary industry intelligence on shopper movement and sales statistics. This gives retailers, investors and policy makers the most accurate and timely information on consumer trends available today.