Admin November 27, 2024
Are prices actually lower on Black Friday? Report indicates not everything is on sale
Is it all hype or can you actually get good deals on Black Friday A report shows how much items are discounted for the biggest shopping day of the year. (Scripps News)
Scripps News
Black Friday lures shoppers out at the crack of dawn with its flash, deep discounts on all the latest technology but a new study shows that nearly a third of those deals aren’t really deals at all.
After analyzing 65 products that were expected to be among the best Black Friday tech deals last year, Web hosting provider KnownHost found 78% ended up participating in Black Friday sales and overall, about 30% saw price hikes before the event to make the Black Friday price look like a deep discount. Forty-two percent had stable prices leading up to Black Friday before dropping considerably, “meaning the Black Friday price drop was authentic,” it said.
When looking solely at the hottest tech products that participated in Black Friday last year, 37% saw significant price hikes just before the event, and only 7.8% experienced a price drop before and during the event, making them the best bargains.
After two years of elevated inflation, Americans on a tight budget and looking to stretch their dollars will have to do their homework to make sure they’re getting the bargain they’re expecting on the day after Thanksgiving.
This “is a stark reminder for consumers to research and compare prices before purchasing,” said Daniel Pearson, KnownHost chief executive. “Shoppers need to know which products have seen recent price hikes and consider whether discounts offer real value over initial November pricing.”
How much did retailers increase prices before Black Friday?
Of the roughly 30% of products that saw price hikes the week before Black Friday, the average price increase was 20.5%, or $51, KnownHost said.
Amazon products led the largest percentage price jumps ahead of Black Friday, the study showed. An Amazon Fire TV Stick’s price doubled to $40 from $20, while Amazon Echo Buds increased by 46%, or $55. Amazon Fire Max 11 Tablets rounded out the top three with a 35%, or $80, price hike.
By dollar amount, a Samsung Galaxy Z Fold 5 topped the list with a $300, or 16%, price increase, to $1,919.99 from $1,620, the study said.
What’s most likely to see price hikes before Black Friday?
Tech accessories saw the most price hikes at 26%, KnownHost said.
That was followed by:
“From this, we can see that buying TVs during Black Friday is likely to be the best time to get the better discounts,” KnownHost said in its report, while warning to stay “clear of any appealing add-ons.”
“Price hikes are only one of a plethora of scams that can occur,” it said. That’s why it’s “important to check the validity of where you are buying from and not get caught by the marketing of certain products.”’
Is there anything else to watch out for?
Be careful of fake reviews and fake products.
- During Black Friday, 28% of 75,000 product reviews from major e-commerce platforms including Amazon, Best Buy, and Walmart are likely AI-generated, according to a study by AI fact-checker tool originality.ai. Over the entire Christmas shopping season, it estimates 33% are likely AI-generated.
“If reviews are AI-generated, it means that customers may be receiving incorrect information that is informing their purchases…especially at a time when they are increasingly mindful of budgets,” originality.ai said in its report.
Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at mjlee@usatoday.com andsubscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning.
