Promotion season 2023 – The declining demand enhance promotional activities

By: Trademagazin Date: 2023. 12. 08. 14:24

Global consumer durables market ends year struggling with slowdown The global technical electronics and consumer durables (T&D) market faces a challenging promotional season again this year. Despite this, the consumer electronics, IT and small home appliance categories are still very popular with consumers during Black Friday.

For the full year of 2023, GfK is forecasting a single-digit decline in the global T&D market, as up to September, the market closed with a 4.7 percent decrease compared to 2022. Among technical consumer goods, the precursor to the Black Friday period in November is Amazon Prime Day(s), the outcome of which predicts what the year-end promotional period might be like. This year, Amazon Prime Day took place between July 11 and 12, and is exclusively available to Prime customers.

Compared to the previous year, in the five major European countries (Germany, Great Britain, France, Italy and Spain), this year’s Prime Day volume decreased slightly, while revenue showed a minimal increase. An even more interesting indicator is that while in 2022 the volume sold during the week of Prime Day increased by 24 percent compared to an average weekly sale, in 2023 we experienced a 5 percent decrease. In terms of value, however, the increase was greater than in 2022, because income increased by 12 percent, which suggests that consumers are looking for more expensive products, but they want to get them at a better price. During the week of Prime Day, 37 percent of the products in the five countries mentioned above were sold at a price discount of approximately 20 percent. Black Friday traditionally started in the online space, but nowadays almost every commercial unit participates in the sale, so it cannot be said that it only takes place in the online space. Budapest, 08.12.2023 Andrea Sztupár managing director T +36 1 452 3060 2 The 2023 Hungarian Black Friday in the technical electronics market The 2023 Black Friday already started on November 3 this year, and 4 it lasted for a week. The sales data of the four weeks are combined for comparability. The slowdown of the technical electronics market continued in Hungary.

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