Highlights
- Black Friday 2025 transforms into an extended shopping period fueled by early promotions and digital engagement.
- Over half of shoppers will utilize AI tools, showing a significant shift toward tech-enhanced shopping experiences.
- Despite economic challenges, Black Friday remains a major event with projected total sales of $253 billion.
Summary and Overview
Black Friday 2025, on November 28, continues its evolution from a single-day event to an extended shopping season driven by early promotions and digital engagement. Advancements in AI, augmented reality (AR), and personalization tools are enhancing customer experiences, with over half of shoppers using AI-assisted tools and 80% of retailers adopting AR. Younger consumers, especially Gen Z and Millennials, prioritize sustainability, convenience, and social commerce.
Economic pressures and supply chain challenges have prompted cautious spending, with many consumers, particularly younger shoppers, planning budget cuts. Retailers are responding by extending shopping periods and refining discount strategies. Despite challenges, Black Friday remains a major economic event marked by record online sales, influencer marketing, and technology integration shaping global retail trends.
Key Trends in Black Friday 2025
Black Friday has expanded into a lengthy shopping season, with many consumers starting purchases before November and continuing through December. Early promotions and extended hours help manage crowds and maintain sales momentum. Younger shoppers emphasize sustainability and social commerce, with Gen Z engaging heavily in AR/VR shopping experiences and valuing ethical brands. Price remains a primary factor, but overall seasonal spending is expected to decline by 5%, with Gen Z cutting their budgets by 23%.
Omnichannel retail strategies prevail, balancing online and in-store shopping. Social media and influencer marketing significantly drive sales, particularly among Gen Z on platforms like Instagram and TikTok. AI and automation personalize shopping, improving marketing effectiveness and conversion rates. AR and VR enhance product visualization, appealing to digitally native consumers. Despite high shopping intent, economic uncertainties cause cautious spending and encourage earlier purchases to avoid tariff-related price increases, potentially leading to less steep discounts.
Retailers, Product Categories, and Consumer Behavior
Major retailers like Amazon, Best Buy, and Walmart offer substantial discounts, especially on electronics and high-demand products. They increasingly use AR and AI tools to personalize shopping and engage customers, while omnichannel marketing and flexible payment options like Buy Now Pay Later gain traction. Sustainability and ethical practices are important to younger consumers, influencing platform strategies and social commerce.
Electronics, toys, and experience-based purchases lead sales growth, while apparel demand cools amid economic caution. Toys see a notable surge in Cyber Monday sales, with Baby Boomers focusing more on gifts and toys, contrasting younger generations’ preferences. Gift cards remain popular due to their convenience.
Gen Z and Millennials drive shifting consumer motivations. Gen Z prioritizes fashion, sustainability, and social commerce, with strong adoption of AI tools, while Millennials focus on deals and established retailers, often influenced by family needs. Baby Boomers prioritize toys and gifts. Across demographics, consumers seek authentic value, personalized experiences, and convenience, prompting retailers to tailor marketing with AI and AR technologies.
Economic Impact and Industry Challenges
Black Friday and holiday sales significantly impact the US economy, with 2025 sales projected at $253 billion, a 5.3% increase from the prior year. Mobile commerce dominates online spending, and Buy Now Pay Later options rise in popularity. Retailers face supply chain and tariff challenges, encouraging earlier shopping to mitigate price hikes and stock shortages, which may reduce discount depth and extend shipping times.
Sustainability increasingly influences purchasing decisions, especially among younger consumers, leading to operational changes like consolidated delivery to reduce environmental impact. However, retailers confront intense competition in a crowded market, requiring multi-channel campaigns to stand out. Communicating sustainability effectively remains difficult, and “deal fatigue” among consumers due to constant promotions poses engagement challenges.
Future Outlook
Looking ahead, mobile and social commerce will dominate, driven by Gen Z and Millennials who value sustainability, convenience, and ethical consumption. Retailers will continue extending sale periods to improve safety and customer experience, using predictive analytics to optimize inventory and reduce errors. AR and VR technologies will play a growing role in personalizing shopping and capturing consumer attention.
Despite expected spending growth, consumer caution persists, requiring retailers to balance aggressive promotions with value-driven messaging. Lessons from previous seasons will guide strategies to remain agile amid ongoing changes in consumer behavior and retail technology.
The content is provided by Harper Eastwood, Scopewires
