Shopping Surge Analysis
Black Friday 2023 witnessed an impressive 80% surge in shopping activity compared to regular days, solidifying its position as a paramount event in South African, Kenyan, and Nigerian retail landscapes. The robust increase in shopping engagement underscores the enduring popularity and significance of Black Friday in the hearts and minds of African consumers.
Despite experiencing a marginal decline compared to previous years, the resilience and popularity of Black Friday remain intact, establishing it as a cornerstone shopping phenomenon.
Basket Size Insights
In-depth analysis of spending dynamics reveals a nuanced narrative. Although an overall marginal decline was noted due to fewer transactions, the spotlight shines on a notable 11% increase in basket size compared to the previous year, reaching an average of R1584 ($85 USD). This indicates that while the number of transactions may have decreased, consumers are making higher-value purchases, contributing to a more substantial and impactful shopping experience.
Midnight Madness Breakdown
Unravelling the analytics behind the midnight hour reveals a strategic consumer approach. Savvy shoppers saved money and loyalty points, remaining awake to capitalise on high-cost luxury electronic purchases. The discernible enthusiasm for bargain hunting echoes in the spending patterns at 00:01 and the first hour after midnight. The strategic approach to high-value purchases during the midnight madness adds a layer of excitement and anticipation to the Black Friday shopping frenzy.
Payment Methods Distribution
Card transactions maintain their dominance, above 85% across African markets. In addition, 50 percent of consumers opted for frictionless card payments, including PayU’s exclusive tokenised card solution and the newly introduced Click2Pay. The landscape also reveals encouraging acceptance of API-based EFT payments, exemplified by the popularity of options like Capitec Pay. This trend stands as a promising precursor to the potential uptake of PayShap once “Request to Pay” makes its entrance into the market.