Small Businesses Report Harm from Expanding Black Friday Sales

Black Friday promotions, encompassing a wide array of products from kitchen appliances to personal care items, have seen a significant rise in prevalence over the last ten years. However, a number of small businesses contend that this trend is detrimental to local shopping areas and compels retailers to reduce prices to unsustainable levels. Mark Pullen operates Brick Shack, a business specializing in Lego retail and offering children’s activities. Pullen stated, “We see Black Friday as a heavily commercialised attempt by the larger firms to draw much-needed funds away from the smaller retailers, which can do nothing but harm our high street presence.” He added, “It highlights that these retailers are likely already making large profits in the first place.” Established in Brighouse in 2015, Mr. Pullen’s business does provide special offers, though he noted that “these tend to tie in with initiatives that promote buying local and supporting small businesses.” While Black Friday traditionally occurred the day following Thanksgiving in the US, its sales period has expanded in recent years to encompass the weeks preceding and succeeding it, with Cyber Monday contributing to millions in online transactions. Consumers are estimated to have spent £13.3 billion during the Black Friday sales in 2023, as reported by Which?. Conversely, Rich Meyers, proprietor of the Leeds-based bakery Get Baked, stated that his establishment would not participate in Black Friday promotions. Meyers commented, “It’s a conglomerate’s shady way of getting you to spend money you might not otherwise spend in advance of Christmas.” He further explained, “This has resulted in small/medium sized businesses thinking they need to do the same by decreasing their margins, so they’re really busy, but making no money.” Amy Downes, a social media expert based in Leeds, offers digital marketing guidance to small enterprises. She indicated that numerous clients chose not to engage in Black Friday offers. Downes elaborated, “The major problem for them, especially with everything going on in the world at the moment – the current cost of living crisis – is that they are already offering the cheapest they possibly can.” She continued, “So, to do an offer of dropping it even further means they’re losing money or they’re not making the right amounts for what their value is.” A survey conducted by OnePoll for Small Business Saturday, an initiative promoting patronage of small businesses, revealed that 88% of individuals surveyed in Yorkshire and Humberside considered supporting small businesses to be crucial. Ms. Downes noted that many customers of her clients endorsed their decision to forgo Black Friday. She stated, “We’ve taken the opposite approach of talking about that on social media.” Downes provided examples: “One client will be talking about having to compete against larger companies and encouraging people to go out and support small businesses this weekend.” She added, “Another client specialises in coaching people with ADHD, so she’s talking about the problems that Black Friday can give to people with ADHD, in terms of money issues and impulsiveness.” Downes observed, “When they talk about it with customers, people are agreeing with them. And actually they want to support them in that decision, overwhelmingly so.” Small Business Saturday was initiated as an alternative to the more heavily commercialized promotions. This yearly event, launched in the UK in 2013, is scheduled for 7 December, one week after the Black Friday weekend. Michelle Ovens CBE, the campaign director, stated that many small businesses are still “fighting to recover from the cost-of-living crisis and deal with continued challenges like high costs and flat growth.” The campaign also reported that 26% of individuals in Yorkshire and Humberside plan to allocate up to a quarter of their Christmas spending to small businesses this year. Ms. Ovens remarked, “It is really encouraging to see such positive public sentiment across Yorkshire and Humberside. We need this to continue as it really will make all the difference to helping small firms across the area stay in business and keep delivering their incredible value across our economy, society and local communities.”