The American shopping day has made its way to the Netherlands, but more and more businesses are choosing not to participate.
Although consumers are expecting Black Friday deals from businesses more often in the Netherlands, plenty of businesses are opting out. There are two main reasons for this: the business might be concerned about the environment, which the overconsumption perpetuated by Black Friday does little to improve; or the business might not be making enough, or any, money from the day. This is especially the case for smaller businesses.
Small businesses often can’t afford to give discounts
Smaller companies typically have smaller profit margins than larger companies, who may well be able to afford to give consumers a discount one day a year. But for small businesses, giving a Black Friday discount can easily fully wipe out their profit on an item.
For some entrepreneurs, the discount can even come out of their own pocket, NOS reports. But because more retailers in the Netherlands are participating, there’s lots of pressure for all companies to do so from consumers.
Consumerism and the environment
Black Friday is also a concern for businesses that are trying to make the world a better place. Consumerism is a huge problem for the environment: the more we buy, the more products are produced, and inevitably, the more things are thrown away.
And consumers are increasingly aware of this too, says Henk Hofstede, an expert on retail banking at ABN AMRO. “[Consumers] increasingly want transparency and a good origin of products. Marketing expressions such as Black Friday must fit in with that. And consumers love bargains, but there are plenty of people who think it’s a marketing party.”
Will you be participating in Black Friday? What do you think about it? Let us know in the comments below.
Feature image: John Henderson/Flickr.