Dubai: Shoppers in the United Arab Emirates have another chance to enjoy 50-80% discounts as Black Friday sales open and kick off the biggest year-end sales. This time however, online marketplaces and their offerings will have to compete for the attention of consumers who are likely to be forced to watch FIFA World Cup matches in the evening (and discuss results and make predictions in the games of the day before the match) .
Even the Black Friday deals are geared towards the World Cup, with noon adding a free football prediction feature – Golazo – to its app. And consumers will also receive their rewards, in the form of cashbacks.
Retailer sources say that with World Cup viewing providing intense competition in the evening, discounts and offers must grab shoppers’ attention instantly. Because once viewers get hooked on the games, diverting their attention won’t be easy.
Additionally, categories such as TVs, smartphones and tablets will have already seen shoppers make new purchases or major upgrades, starting in the summer itself and getting another spike in demand during promotions. sales 11.11 of this month.
“Popular Black Friday categories such as fashion, accessories and appliances can see a disconnect between people wanting to buy and actually buying,” one retailer said. Fashion items are 20-30% off, while fragrances – the season’s other popular buys – are also 30% off on average.
As is now common, e-commerce channels and brick-and-mortar operators are hoping to convince buyers to jump in with BNPL-backed (buy now, pay later) offers at 0% interest.
“We are working with local partners to add more BNPL options to our platform to increase conversion rates and purchase value for midday sellers and businesses in all markets we serve – Emirates United Arab Emirates, Saudi Arabia and Egypt,” said Neha Choudhary, Digital Strategy and Growth at noon, which runs its Yellow Friday until November 27.
Consumer spending was unaffected in the region as the economy as a whole remains resilient. We saw purchase volumes increase by 34% from July to October with existing retailers. This is likely more pronounced as customers continue to shift more of their purchases from interest-bearing credit transactions to payment-friendly options.
– BNPL Tabby platform spokesperson
No signs of “extreme caution”
So far, there are not many signs of buyers in the UAE postponing non-essential spending, prompted by all the interest rate hikes seen throughout the year and continuing into the next, based on what the US Federal Reserve has been. saying.
Throughout the next month, residents of the UAE have not slowed down to plan their vacations before the New Year. Car dealers are talking about another strong month in preparation, while other options for the year 2023 model are coming. And if catering companies are asked what their forecasts are, the collective answer is that of a “record December”.
Will buyers need “free shipping”?
Online shoppers, however, will be looking to improve their chances with zero delivery charges, a snap at the time. When it comes to online retailers, a mixed opinion is heard.
Noon’s Neha says free shipping will be “determined by each retailer’s shopping season strategy.” “It’s our craziest November yet, and we’re working hard to give our clients the best possible trading and buying experience through our platform,” she added.
Besides the zero shipping aspect, we are focused on introducing new features to our platform that will make shopping even easier and entice customers to midi.com.
– Neha Choudhary, Digital Strategy and Growth at noon
Sandeep Ganediwalla, regional partner at Reducer Consulting, takes a different view. “We don’t see delivery costs reduced during this period, as it is generally an acquisition tool. Players use loyalty programs to give out such discounts rather than offering free shipping to everyone.
“Discounts are brand/product specific. Generally speaking, we expect similar discount levels to last year on smartphones. Depending on the strategy – customer acquisition/inventory elimination – brands will set their discount (range).
Loyalty and rewards
Amazon, for its part, is rewarding its Prime members with “up to 70% more savings.” They’ll also get a one-day head start on White Friday deals, which will run until November 28.
Listening to customers and what matters to them, we’ve also worked with a wide range of banking partners to offer more flexible payment options through 0% installment plans and instant bank remittances for greater savings. important.
– Stefano Martinelli, GCC Retail Director, Amazon
If shoppers could be distracted enough from the World Cup to place orders online or shop in-store, retailers would have achieved their goals with this year’s Black Friday.
Give the omni feeling
UAE retailers are refining their omnichannel strategy for this Black Friday season as more shoppers become familiar with ordering and delivering using a mix of online and offline modes.
“At Eros, we have a strategy of extending Black Friday deals both online and in our physical stores, giving our customers the flexibility, comfort and assurance of going to one of our many stores or shop online for the best deals,” said Mohammed Badri, Director at Eros Group.
“Since we sell electronics and appliances, most of our customers want to see, touch and feel the products and get first-hand information from our experts in our stores. We use Black Friday as a huge opportunity to drive more traffic to our stores and ensure good conversion into sales.
Fragrances will be one of the hottest categories this Black Friday as retailers and brands see more of this category being purchased through online channels.
“We estimate that at least 10% of fragrance sales are currently done online in Saudi Arabia,” said Malik Shehab, co-founder and CEO of Golden Scent. “We believe that by 2030, we will be heading towards nearly 20% e-commerce penetration in fragrance sales.
“Given well-known global supply chain challenges and rising raw material costs and inflation, many international brands have increased their prices on certain items by 5-15%. Local brands, however, always aim to stay competitive.