I am a merchant… or rather, I was for more than thirty years. My focus and efforts were on matching people’s wants and desires to what we showcased and sold. I believe and continue to believe in providing excellent customer service experiences to every customer every time through value, salesmanship, and the best service possible.
However, there were two days, those two days, when my values were challenged by the marketing machines and hype of Black Friday and Boxing Day.
I will explain why …
There are many myths about being a retailer or merchant. One of the most common is the Myth that Black Friday and Boxing Day (BFBD) are about profitability and that retailers make all their money during December. These days are all about drastically reduced prices, loss leaders (items sold at or below cost to drive traffic), heavy payroll hours, and the fervent hope the increase in volume will offset the dramatically reduced margins.
That statement also leads to another myth, perpetuated by many “retail experts,” that market share is more vital than profitability. This widely held belief doesn’t hold water, especially with durable goods or big-ticket items. When a customer purchases something, that customer is now off the market, so “Yes,” the merchant got the sale; however, if they lost money on the sale, what was the point.
Is it Black Friday and Boxing Day, or is it Black Friday Month and Boxing Month? As a merchant who operated in a very snowy part of the world, having sales that pivoted on a single day always concerned me, so I understand why merchants spread a sale out over several days: but really, this year BFBD will last for several weeks. Pre-Black Friday advertising begins in October. Many organizations pile onto precursor events like “Better than Black Friday” and then hold over the sales afterward. Even merchants get tired of the same messages after a while.
BFBD is all about price. I enjoyed leading a sales organization. I like providing value and meeting the needs of my customers; however, Black Friday and Boxing Day are primarily about price and having the largest percentage off. When a frenzy is created, it is very difficult to build rapport, qualify, educate, answer objections, and quite frankly make sure each customer is getting the right product for their needs.
I hate door crashers – part 1. The concept of providing loss-leaders to attract customers is not new; the problem is that there is seldom enough quantity to satisfy most of the people who line up, much less regular customers. I believe any event that disappoints the majority of your customers, does not help build your brand or reputation.
I hate door crashers – part 2. The argument door crashers help drive sales volume and provide a necessary critical mass of customers playing on the fear if someone doesn’t purchase something right now, they will lose out is another that I don’t believe to be true. Typically people who get the prime door crashers line up before the store opens, blow in, buy the loss leader, and blow back out again. These people are gone before the people who may purchase the products the merchant really wants to sell even show up.
Opening at 6 am or 7 am or earlier is hard on your people. I grew up thinking Christmas was about family, not lining up at 3 am for an off-brand television. Being ready to open at 6 am meant being at work at 5:30 while their families and mine were still asleep. I worked 26/27 boxing days, including 24 in a row. I missed out on family Christmases, my people missed out on them, and nobody ever gets that time back. I am ashamed to think that I also enforced those standards in the mistaken belief those hours were necessary.
The pressure to work long hours is ingrained in retail culture. I remember one box store’s President sending a letter to all their managers that if they grant anyone time off during Boxing Week, they would consider that to be a firing offense for the manager and the person requesting the time off. I knew of people who regularly worked 7 days a week, 8-12 hours, I was one of them. My longest week ever was 77 hours in one week, and I know other people who topped that, most of whom were salaried and did not receive any extra compensation.
Hockey or lacrosse are not Canada’s national sports; shopping is, and BFBD is their “Super Bowl or Stanley Cup.” How else do you explain people lining up in the dark and cold for hours before the store opens on BFBD? How about the pushing and shoving that inevitably occurs. As a merchant, I appreciated everyone who came into the store where I worked; for 363 days a year, I welcomed them and I believed they enjoyed being there; but most of the people on BFBD definitely had their game faces on.
On BFBD, people forget you get what you pay for. I always promoted good value for the money but complaining that a $499 70-inch door crasher TV doesn’t have all the features you want is silly, of course, it doesn’t. That TV represents great value for what it is, but it is not worth what a $1600 TV is.
BFBD lacks originality. I helped participate in some of the very first Black Friday events in Canada, what had been a uniquely American sales event came to our part of Canada, and at first, it was bold, exciting, and grabbed people’s attention. The sales themes for far too many merchants are predictable. As a successful merchant, I liked to stay ahead of the curve, to make things interesting for my staff, and my customers, and to do things few had done.
What is a good deal? In reviewing this year’s Black Friday advertising, promises of 50%, 60%, and 70% off reverberate throughout the marketplace; our question should be “off of what?” I used to liken the size of the discounts to an addiction. There was a time when “Save the Tax,” would be enough, soon though it wasn’t, and then discounts on top began at 10% off as well, then 20%, and so on. Typically, the deepest discounts are off on clearance items; however, as a consumer asks “Can you trust the claims that are being made?” I believe a sale is only a sale if the savings are off what is a legitimate regular price. In BFBD advertising I urge everyone to compare pricing before participating in the sales offered during BFBD.
Am a cynic, jaded by too many years working on the frontlines of retail, taking abuse from disappointed customers who lined up in the cold only to leave because the door crasher they wanted was sold out by the time they got to the front door; no, I am a merchant, I believe in value and customer service; two things you often don’t or can’t get on either Black Friday or Boxing Day.
Merchants are under a great deal of pressure to compete, and the growth of online competition has only increased that pressure.
As a merchant and as a consumer, I like Christmas. I enjoy the spirit of the season; I respect that not everyone celebrates this holiday. I would like to see merchants backing away from price as their only incentive for shoppers, perhaps if they still insist on door crashers, have enough to satisfy more people, serve hot chocolate to those people who stand in line, and try new ideas and emphasize value in their offers. Most importantly, merchants should be aware of the importance of a balanced life for their people; I know that it is difficult, but it is important.
Happy Shopping, and when you see a retail worker, please say hello and say, “Thank you.”
Paul.
ps. One year, after a busy holiday shopping season, we needed an idea for a January sale. Since all the Christmas Decorations were still up, I suggested what I thought was a fun idea. “Let’s run a pre-Christmas sale, using the tagline, “Only 11 more months to Christmas.” It was a tongue-in-cheek idea then; however, given all of the hype surrounding BFBD it could happen.