Black Friday, the post-Thanksgiving shopping frenzy once defined by pre-dawn lines and ‘doorbuster’ deals on electronics and appliances, drew record crowds this year — but consumers were bringing slimmer wallets.

Black Friday has evolved into a cultural phenomenon since the late 1980s. Yet despite surging foot traffic, shoppers’ willingness to spend is declining, creating a challenge for retailers who rely on the holiday season for nearly a third of annual profits.

According to the National Retail Federation, nearly two-thirds of consumers plan to wait for Thanksgiving weekend deals, up from 59% last year, while average spending is projected to fall to $890 per person from $902.

Rising prices and weak job growth are tempering enthusiasm. “Consumers are more cautious,” said Massimo Basei, chief commercial officer at Pandora, predicting fierce competition among retailers.

Economic pressures are visible across the globe. In Europe, strikes hit Amazon warehouses in Germany on Black Friday, while protests are planned outside Zara stores in Spain, highlighting tensions between labour and industry during the crucial sales period.

US consumer confidence sank to a seven-month low in November, with fewer households planning big-ticket purchases or vacations in the coming months. And retailers are responding by promoting smaller, more affordable items.

Products like wallets, customisable handbags, and add-ons such as Crocs’ Jibbitz charms are being pushed to attract cautious shoppers, said Nikki Baird, vice president at software firm Aptos.

Spending is increasingly concentrated among affluent households: the top 10% of Americans accounted for 48% of all consumer expenditure in the second quarter of 2025, up from 35% in the mid-1990s, according to Moody’s Analytics. Yet even wealthier shoppers are showing restraint.

Online shopping and artificial intelligence are reshaping the holiday experience. Half of US consumers — and 71% of Gen Z shoppers — planned to use AI on Black Friday to compare prices, generate gift ideas, track budgets, or even create personalised cards, according to Bank of America.

The significance of the day is further diluted as promotions extend across weeks. “Black Friday is an obsolete concept and has now become just a point in time,” said Andy Tsay, professor at Santa Clara University.

As retailers navigate cautious spending, labour unrest, and changing shopping habits, this year’s Black Friday illustrates a paradox: bigger crowds, smaller wallets, and an industry forced to rethink the traditional frenzy. Reuters