As we look forward to Black Friday 2025, retailers are gearing up for another transformative moment. The event remains crucial for both online and in-store sales, with technology and consumer preferences driving new shopping behaviors.
Understanding these dynamics is essential for retailers aiming to maximize their impact during this busy shopping season.
Record-breaking online spending
In 2024, U.S. consumers spent $10.8 billion online on Black Friday, marking a 10.2% increase from the previous year and setting a new record for single-day ecommerce sales.
Globally, online sales reached $74.4 billion, reflecting a 5% year-over-year rise. The trend suggests continued growth, driven by mobile shopping and flexible payment options.
The rise of mobile and hybrid shopping
Mobile devices are central to the Black Friday shopping experience, with 69% of global purchases made on mobile in 2024, and increasing to 70% during Cyber Week. In the U.S., 54.5% of online sales occurred on mobile devices, and 79% of site traffic originated from smartphones and tablets.
This mobile-first trend necessitates that retailers deliver fast, user-friendly experiences on smaller screens.
Hybrid shopping, which combines online browsing with in-store pickup or returns, is becoming the norm. While digital channels lead, physical stores still hold value: 81.7 million Americans shopped in-store on Black Friday 2024, compared to 87.3 million online.
The blend of digital and physical shopping requires retailers to provide seamless transitions between channels.
Payment preferences: Cards flexible options, and beyond
Debit and credit cards remain the backbone of holiday spending, but flexible payment solutions, such as digital wallets, are on the rise. In 2024, U.S. shoppers spent $686 million using these options on Black Friday, an 8.8% increase from the previous year.
Globally, the usage of flexible payment methods reached $18.2 billion during the holiday period, with 75% of those transactions occurring on mobile devices. Retailers must ensure they support these emerging payment methods while maintaining transaction speed and security.
Erica Lin, Vice President of Product Management at North, notes, "Embracing flexible payment solutions not only caters to consumer preferences, but also opens up new avenues for increasing transaction values and customer loyalty."
Category trends and consumer behavior
Technology remains a leading category, with gaming consoles and iPhones topping 2024 holiday search trends and driving significant sales. Toys and appliances also saw substantial spikes compared to regular months, highlighting Black Friday as a prime time for gifting and home upgrades.
An interesting trend is the shift towards early shopping, with over 60% of consumers beginning their purchases before Thanksgiving. This extended shopping season means retailers need to be prepared for sustained high volumes, not just a single-day surge.
Delivery, returns, and sustainability
Flexible delivery options, such as parcel lockers and in-store pickup, are becoming Black Friday shopping essentials, as are premium shipping choices that can enhance customer satisfaction and increase average order values.
Efficient returns processing is equally critical, given the high volume of post-purchase activity. Sustainability is also gaining importance, with growing demand for eco-friendly packaging and carbon-neutral delivery.
Strategies for retailers
- Enhance mobile shopping experience: Ensure your website and checkout processes are optimized for mobile users.
- Offer diverse payment options: Include digital wallets, and traditional cards to accommodate all consumer preferences.
- Facilitate seamless omnichannel shopping: Integrate online and in-store systems for smooth browsing, buying, pickup, and returns.
- Prepare for peak demand: Test systems for high traffic and train staff to manage surges in both digital and physical environments.
- Highlight sustainability efforts: Promote your commitment to eco-friendly practices to attract environmentally-conscious shoppers.
In-person trends
While digital trends are dominant, categories like apparel still see substantial in-store traffic. Retailers, especially smaller ones, can compete by focusing on local loyalty and personalized service.
Additionally, luxury and boutique brands may find success with exclusive, appointment-based shopping experiences that create buzz and community.
Retailers that successfully integrate these insights and strategies stand to benefit significantly from the evolving dynamics of Black Friday 2025.
With the right approach, this annual shopping event can be a powerful opportunity for boosting sales and strengthening customer relationships.
North is a leading financial technology company that builds innovative, frictionless end-to-end payment solutions designed to simplify and grow businesses of all sizes. From the front door, to the back office, the developer world, and partnerships that expand the payments landscape, North offers proactive, comprehensive merchant services, in-house processing, and more.
