UK consumer spend for Black Friday could plunge by £1.5 billion from a year earlier with interest in the shopping extravaganza waning, a PwC survey has found.
The Big Four accounting company pointed to a host of reasons for the anticipated decline in total spend to £5.6 billion compared with £7.1 billion forecast for the event in 2022. Factors included the cost of living crisis impacting certain purchasing decisions and some older generations being less tempted by promotions.
The annual discounting event takes place on Friday 24 November this year, although a host of retailers will offer deals in the weeks ahead and days after.
PwC’s survey of 2,000 over-18s across the UK in late October revealed that only 16% said they will “definitely” buy goods, down from 24%.
Interest in Black Friday from respondents has fallen to 44% from 61%.
The figures came on the same day a poll of customers at Airtime Rewards, a customer loyalty rewards platform, showed 26% plan on buying something in the Black Friday sales this year, down from 39%.
Meanwhile retail analysts MRI Software estimates the uplift in footfall will be below increases seen on Black Friday in 2021 and 2022.
Lisa Hooker, leader of industry for consumer markets at PwC UK, said: “For many, purse strings are a little tighter this time around, with the improvement in consumer sentiment we saw earlier in the year having slowed over the summer.”
The timing is a little earlier this year and before payday for many people, she added.
But Hooker pointed to some positive data for retailers: of consumers that want to take part, £242 is the average estimated spend, up from £228.
She said: “Looking forward, consumers still prioritise special occasions and time with family, which means that we are still optimistic about the outlook for retailers this Christmas.”
