Black Friday Sales Surprise, Fueled by AI
Contrary to expectations, Black Friday sales in the United States exceeded forecasts. Despite concerns about inflation impacting household budgets and consumer confidence, the allure of holiday promotions proved stronger than anticipated. According to Mastercard’s economic institute, which tracks both in-store and online payments, purchases excluding automobiles rose by 4.1% compared to 2024.
The Shift to Online and the Rise of AI
The real story, however, unfolded online, not in brick-and-mortar stores. While in-store sales remained stable, online sales surged by approximately 10%, driven by a new player: artificial intelligence (AI). An increasing number of consumers are delegating the tedious task of finding the best deals to AI.
Adobe Analytics reports that traffic to retail websites originating from services like ChatGPT, Gemini, and Perplexity increased by a staggering 805% compared to 2024. This indicates a significant shift in how consumers are approaching holiday shopping.
A Schumpeterian Revolution?
A report published on October 17th by Katharina Schumacher and Roger Roberts, two partners at the consulting firm McKinsey, suggests that this is just the beginning of a “Schumpeterian revolution.” The report raises a crucial question: if AI can directly guide us to the best price for a phone, a pair of shoes, or a hotel room, will we still visit websites like Amazon, Fnac, Zalando, or Booking?
The answer may be no. Consumers who currently use AI as a supercharged search engine could soon ask it to complete the purchase directly. This would eliminate the hassle of registering on multiple sites, specifying preferred delivery locations, and entering payment information.
Implications for Retailers
This trend has significant implications for retailers. They need to adapt to the changing landscape and find ways to integrate AI into their own strategies. Retailers that fail to do so risk being left behind as consumers increasingly rely on AI to find the best deals and streamline the shopping process.
Key Takeaways:
- Black Friday sales in the US were better than expected, despite inflation concerns.
- Online sales surged, driven by the increasing use of AI.
- AI is transforming the way consumers shop, potentially disrupting traditional retail models.
- Retailers need to adapt to the rise of AI to remain competitive.
“The rise of AI in retail is not just a trend, it’s a fundamental shift in how consumers shop. Retailers need to embrace this change or risk being left behind.”
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