Kim Kapitan
Mrs. Straub
Economics
2 December 2014
Black Friday? Or Cyber Monday?
The hype has always been about Black Friday. When is Best Buy opening? Who has the best price on the brand new 70 inch TV? Or where to go to get cheap clothing. Black Friday has also been slowly but surely creeping onto Thanksgiving, which have some people upset. But is standing in lines that wrap around the store or even outside worth it anymore with the internet right at our fingertips?
Cyber Monday is something that was started fairly recently, 2005 to be exact, but it is slowly growing and becoming something that many millions of people are getting into. Not only that but it brings a lot of revenue to the economy, ”Cyber Monday sales in 2005 totaled $484 million. In 2009, that jumped to $887 million, nearly doubling 2005's total sales. By 2013, Cyber Monday sales had climbed to $1.74 billion.” In 2011, consumers spent 11.4 billion dollars on Black Friday alone. 1.74 billion dollars isn’t close to the 11.4 billion dollars that Black Friday brings however we both know that any money in the economy is a really good sign. And not only that, Cyber Monday still has time to grow because it is so new.
Now some may be wondering what’s the difference between Black Friday and Cyber Monday. Besides the obvious reasons Matt Granite has the answer to that, “In terms of stock on Cyber Monday, what a lot of retailers do is they rely upon their warehouse stock. It's usually not anything that's in local stores," Granite said. "If something goes out of stock at Walmart or Target or Macy's (brick and mortar store), they can always order another one for you - you can always check a different store; Cyber Monday, when it's gone, it's gone." Okay, now this might make some people want to turn away from Cyber Monday all at once, but think about what you get to ditch: the long checkout lines, people fighting over a TV, staying up all night long, parking the car, gas, crazy drivers, and finally you have the comfort of your own home. Second this make competition for people and the companies because once the item is bought it is gone, not something that someone can find from a different store. But that doesn’t draw people away, “According to the National Retail Federation, more than 126 million shoppers are expected to make online purchases for Cyber Monday this year.” With all these people being on the Cyber Monday bandwagon it is only time until other jump on and then that leads to doubling the number of people utilizing Cyber Monday which consequential means more money in our economy.
Its hard to decide which is the best to shop at, they both have positive and negative externalities. However it does have a very good impact to our economy by bringing in over one billion dollars. The real question remains sole on the a preference of battling the lines or staying home and ordering online.
Works Cited:
Habegger, Becca. "Cyber Monday Deals to Be Bigger than Black Friday for 1st Time." WBIR.com. 4 WBIR, a Division of Gannett Satellite Information Network, Inc., 1 Dec. 2014. Web. 01 Dec. 2014.
Townsend, Matt, and Ashley Lutz. "Black Friday Sales Increase 6.6% to Record $11.4 Billion, ShopperTrak Says." Bloomberg. Bloomberg L.P, 27 Nov. 2011. Web. 1 Dec. 2014.
Wearing, Emily. "Cyber Monday Impacting Local Ecomony." STJOEChannel. Stjoechannel.com Nexstar Broadcasting, Inc, 1 Dec. 2014. Web. 1 Dec. 2014.
I agree that Cyber Monday still has ample room to blossom into the largest spending day in the country due to the fact that it is so simple. There is no need to leave the house let alone camp out for days on end just to get the best deals. That being said, the delivery time may still have some rushing out to stores on Black Friday to enjoy new items immediately.
ReplyDeleteI agree as well. Cyber Monday in my household is particularly HUGE! While Black Friday does have some convenience of receiving the item immediately, the hassle of getting up early, standing in line, attempting to beat the rush and the complete madness of the day are simply too much. With Cyber Monday yeah you have to wait for the item to get shipped to you, there is the option to have the item(s) ship next day though it might take some added costs. Cyber Monday also typically has a lot more deals than Black Friday does.
ReplyDeleteI think it's crazy that Cyber Monday could have grown so quickly in a matter of only four years! But, I guess it makes sense given our fast and furious incline in technology. I love that you chose this topic, especially at a time when people are so preoccupied with buying things for the holidays. You don't really realize how serious our spending is until you see the numbers! Overall, I think you did a very nice job of writing about this topic, nice work!
ReplyDeleteBoth black friday and cyber monday are great options to catch the best deal, and both bring in great numbers of money into the economy. Either way its ‘a win, win. In the future i believe that cyber money will pass up black friday in total revenue of the reason you have listed. Black friday is busy and not a lot of people want to go out and deal with trying to get the next big thing when they can do it from their home.
ReplyDeleteKim, this is a really great post as I was never aware of the revenue that comes with Black Friday and Cyber Monday. We never really know which deals or sales are going to be the better ones. Although I would love to finish all my shopping on Cyber Monday, I always love getting the thrill of Black Friday, and some of the deals are always great. Physically seeing the various items we desire is much more helpful when shopping for presents, especially for other people, because you really have a clear visual of what you are looking to purchase, rather than taking a chance online. However, Cyber Monday, like you said, does save you the various struggles that Black Friday can present with, and it is also still new, so it definitely has time to bring in more revenue to the economy, especially with these sales lasting throughout the week. Really great, relevant post!
ReplyDeleteI think they are both very beneficial to our economy, especially because of the revenue they bring in for the US economy. Its the biggest time of the year for many stores, besides Christmas. I think we should not worry about which one is better and keep them both in function so we can keep having these booms in our economy.
ReplyDeleteCyber Monday and Black Friday has always brought in a lot of revenue to stores, but I can also agree that there are differences between the two days. Black Friday, you can always call a different store, or order online for a customer, but cyber Monday, when it's gone it's gone. However both these days bring in externalizes such as bringing money into the economy, and bring a profit into stores. It seems that Black Friday and Cyber Monday has always been a big profit for many stores, and it's a day that many companies have to prepare for, whether it's bringing in more employees and making sure they are fully stocked with as many products as they can. With the technology today, Cyber Monday is also a big day, but a lot of people still enjoy the tradition of going out shopping at midnight, standing in long lines, and sometimes spending a lot more money than originally planned.
ReplyDeleteI agree with Chase on this one. Both Black Friday and Cyber Monday, both have a big impact on our economy. Any amount of money brought in by these two special events is good because normally, it's a huge amount. Like Chase said, I think we should not worry about which one is better..." because either or, they both bring in over a billion dollars! What's there to complain about? These events help our economy because even though everyone is buying their product on a sale price, the companies are still bringing in way more than they would have if it was at normal price.
ReplyDeleteI have to agree with you and say cyber Monday is a big deal. It improves our economy by circulating money. Even though I would much rather order something online rather than running down to our super busy Walmart, others are willing to tolerate the conditions. Furthermore, because cyber Monday is growing in popularity, I predict that Black Friday sales will begin to decrease in the near future. Overall, I have to say, nice quality writing, and good use of vocab words.
ReplyDeleteTo me Cyber Monday seems like the better way to go. I think it can be quite a hassle to fight through lines to get something you want in store. Yes you do get to have what ever you bought right away when you go to the store but if you bought it online I think I could be patient enough to wait for it to come in the mail. If I know exactly what I want I would rather buy it online and search in the comfort of my home for the best price. There is the worry of security with online purchases. It is possible that your information could get stolen.
ReplyDeleteI agree Black Friday and cyber Monday are 2 very big things. Without people going out on these days the stores wouldn't get revenue. Which would make things harder for them. These 2 day brings out lots of money and brings smiles to peoples faces. with money being brought in the government, gets enough money because of everything being sold is being taxed. this piece was very good.
ReplyDeleteIn my opinion, Cyber Monday is the way to shop for good deals, you don't have to deal with all the craziness that Black Friday brings. However, they both share an equally significant impact on our economy. Overall I believe that in the future Cyber Monday will become more popular than Black Friday shopping due to the crazy, busy shoppers that come with it.
ReplyDeleteI think that both days have a very positive impact on the economy. Both days bring in huge amounts of money that people are spending which means businesses can take that profit and spend it on their company meaning that the economy grows because of the money we spend. I think that cyber Monday was a really smart idea because now businesses are making even more because the people who don't want to shop on Black Friday have another option open to them. All in all, the money the shopping days brings in is really helpful but it does cut into the holiday so it really depends on whether or not you think it's worth it to spend the money.
ReplyDeleteCyber Monday and Black Friday seem like they have turned into the holidays instead of Thanksgiving. Thanksgiving is a good time to gather with family but sometimes I feel it is over looked for the great deals. Cyber Monday and Black Friday are helpful for the economy as they provide a necessary boost, clearing and making room for new products and allowing people to buy things they might normally not buy. Though Black Friday might seem like a harassment, Cyber Monday provides an opportunity for those to support the economy without having to face the horrors of people.
ReplyDeleteGreat post Kim. Cyber Monday seems like it is getting more and more popular every year. People are finding out that is not worth getting trampled at three in the morning. I think both are very helpful for the economy, and gives it a boost. Both of these are attracting different types of people so both are helping out the economy in their own ways.
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