Every year, shopping frenzy that is Black Friday and Cyber Monday cause widespread amounts of mayhem and havoc. Millions of Americans across the country line up in stores like Walmart and Target in order to take advantage of the discounts on items they’re hoping to purchase. People start lining up outside their nearest store at midnight, but many end up waiting hours before finally getting their hands on much-needed bargains.
In this article, we will discuss how much people like to shop for during Black Friday and Cyber Monday. We will see that many people are willing to spend a lot of money on a variety of items they would not normally spend much on. We will also discuss why Cyber Monday is a much bigger deal than Black Friday, and whether there is a better alternative for Black Friday.
The statistics show that many Americans shop for an average of $400 on Black Friday, so the costs of the items people purchase would be $400 x 1,000 = $4 billion. That amount of money is equivalent to all spending by all Americans at Wal-Mart during the month of November. Moreover, it represents more than 10 percent of all purchases made by Americans during their entire year.
On Cyber Monday, people spend even more than that, as they spend an average of $300 on Cyber Monday. That is equivalent to 1.8 percent of all the money spent by all Americans in the year 2017 . It means that Americans spend more on Cyber Monday than they spend at their favorite stores during the entire year!
However, it is not only the money spent by consumers over Black Friday and Cyber Monday. There are also jobs created by businesses who would not be up and running if it were not for these events . We will see that, overall what people do motivated by this spending spree that influences jobs , economic activity, and other factors.
The United States Department of Labor reports that there are about 12 million jobs that are supported by the retail industry. The number of jobs in the retail industry is only expected to increase further in the future . It is in part due to consumer spending during Black Friday and Cyber Monday.
Both events have the largest effect on retailers, who not only benefit from more traffic, but also from higher profits per customer. While consumers shop for Black Friday and Cyber Monday, they are spending more money than usual. That is why many companies are willing to offer sales on their products , knowing that they will be able to sell their products with greater efficiency . On average, retailers increase their sales by 30 percent to 40 percent during Black Friday and Cyber Monday.
Therefore, there is no doubt that the whole economy gains from the increased spending during these events. Even digital media companies like Amazon gain from it because of higher sales of items like Kindle , Kindle Fire, and online storage . However , it should be noted that even though many people benefit from these shopping days , some retailers still suffer losses due to high cost of maintaining staff and inventory for these days.
It is not just businesses who benefit from Black Friday and Cyber Monday. There are also jobless Americans who are able to find employment at these stores . After all, not every store can afford to hire more employees for these days , so some companies hire workers through agencies. These agencies provide temporary workers who are paid $7 per hour. However, this is still more than the $15 minimum wage that was planned during Black Friday.
The numbers show that $7 x 12 million = $84 million . Our calculations show that the federal government saves around $84 million annually just because of temporary employment agencies. So it seems like hiring a temporary worker is a good choice for a company because companies also save money in employee benefits and in employee training expenses.
There is however a downside to hiring a temporary worker for events like Black Friday and Cyber Monday. The most serious problem with hiring temporary workers is raising the minimum wage for these workers.
Many retailers provide benefits to their temporary workers, but they only pay employees a paltry amount of money. This is because the cost of hiring a temporary worker is very high , and it would be very hard to raise the minimum wage for temporary workers . However , it could be possible to raise the federal minimum wage since there are many proposals for it.
It should also be noted that there are other ways in which businesses could benefit from these events even if they create financial losses because Black Friday and Cyber Monday can create other opportunities for companies. For example, Apple generates revenue from selling iPads. With great deals on Black Friday, other companies are able to sell iPads at a cheaper price. Even though Apple does not directly benefit from other companies’ sale of iPad, it still provides an additional opportunity for Apple to sell more iPads by making it more affordable for the average consumer.
Black Friday and Cyber Monday have changed into a shopping bonanza that has changed demands in the market . It has created new demands for many products while allowing businesses to take advantage of these two days to attract more customers. However , there is also an unfathomable amount of stress and anxiety associated with all the work required to make sure that companies are well-prepared for these days.
Due to all these factors , it is obvious that Black Friday and Cyber Monday are not worth the price , especially for consumers. We will see how much money consumers actually gain from these two days, and also see how much money goes to the government. If the Black Friday and Cyber Monday were a chance for retailers to sell their products outside of a regular shopping season, they might have a greater incentive, but as it is now, retailers never seem to benefit from this day.
Black Friday is an event that lasts many weeks before Christmas , however compared with what people spend on Black Friday, most people do not think that there is a better alternative to these events. With great deals on electronics, clothing , and other products, most people are drawn to shops when Black Friday arrives.
As it is now, with the shopping frenzy of people around the country, there is no doubt that there are many who are looking for ways to bring in more cash during this time. People are busy buying gifts for family members , friends, and themselves. TV shows with Black Friday ads have become a part of what people expect when Christmas approaches.
However , some consumers end up with regret after these events because they find that there were better deals in previous years . It might be because consumers rush into stores in order to get good deals that they end up spending more money than they really need to.
It is estimated that Americans spend around $60 billion every year on Black Friday and Cyber Monday. With this much cash being spent, it is not surprising that many retailers are opening their doors as early as midnight just to get a head start on selling their products . However , those consumers who have been thinking about spending money should know that they should not just buy products because of offers. They have to consider the full price together with the discounts.
The first thing consumers need to keep in mind is that a discount or a deal does not necessarily mean a good deal for them. With so many promotions going at the same time , it could be very hard for someone to figure out which deal really saves them more money.