US shoppers browse stores, buy online on Black Friday

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US stores offered deep discounts, entertainment and free gifts to lure bargain hunters on Black Friday, the traditional start of the holiday retail season, but some shoppers said they were just browsing the merchandise, reserving their cash for Internet purchases.

Still, a sharp rise in online sales brightened the overall outlook for those traditional retailers that have expanded beyond brick-and-mortar outlets, sending their shares higher in day-after-Thanksgiving trading. Stores also had carefully managed inventory, seeking to ward off any post-holiday liquidation that would weigh on profits.

Despite anecdotal signs of muted in-store sales – fewer cars in mall parking lots, shoppers leaving stores without purchases in hand – consumers are still expected to spend more overall this holiday season than last, analysts and industry executives said.

Shoppers wait in line outside a Best Buy electronics store in Westbury, New York, US, November 24, 2017. /Reuters Photo

Black Friday online sales posted a strong start, at 640 million US dollars as of 10 a.m. ET (1500 GMT), according to Adobe Analytics, up 18.4 percent from a year ago. On Thanksgiving Day, US shoppers spent more than 2.87 billion US dollars online.

Indeed, some chains struggled to keep up, with brief online outages experienced by Lowe's, H&M and the Gap, among others, according to website performance monitors.

Adobe forecast that online Black Friday sales would reach a record of five billion US dollars, with Internet retailers projected to rake in an additional 6.6 billion US dollars on Cyber Monday. Adobe measures 80 percent of online transactions at the largest 100 US web retailers.

Macy’s and J.C. Penney Co Inc did a better job of ordering and controlling inventory this time, according to Burt Flickinger, managing director of Strategic Resources Group, a consultancy with seven researchers out in the field.

Fair weather across much of the nation was also a factor, said National Retail Federation President Matthew Shay.

In-store vs. online

Some shoppers were enticed by in-store-only deals. /AP Photo

Some shoppers were enticed by the promise of spectacle, while others felt the pull of nostalgia.

“It’s like a hangout, it’s an experience,” said Jonathan Lin, 17. “All my friends are back from college and we got together.”

”There’s something nostalgic about being at the stores this early,” Jennifer Stasiak said at Chicago’s popular Oakbrook Center.

Victor Moore told Associated Press he arrived about two hours ahead of Best Buy’s 8 a.m. opening in Nashville and scored one of the about 14 “doorbuster” deals on a 55-inch Toshiba smart TV for 280 US dollars, a 220 US dollars savings.

Moore said he’s done some online shopping, but the allure of in-store-only deals drew him out from behind the computer.

Not everyone found the Black Friday magic irresistible.

“I avoid the store, too many crowds,” said Elana Silverstein, 32, a school counselor enjoying a warm, sunny day at Lake Balboa in Los Angeles. Instead, Silverstein said, she bought several personal items on sale Thursday night through the online marketplace Groupon.

She and her boyfriend, Mike Goldstein, 36, said they generally just buy gift cards from grocery stores, typically en route to holiday functions, rather than spend hours shopping in malls or online.

A Macy’s employee said it was less busy on Friday because the store had been open, and packed, on Thursday. /AP Photo

The growing online shopping trend, led by Amazon, has forced the toy chain Toys R Us and apparel retailers True Religion, the Limited, Rue 21 and Payless Shoe Source to file for bankruptcy this year.

Still, traditional retailers earn the bulk of their revenue from in-store buys. Shoppers in brick-and-mortar stores can also be easier to tempt with impulse or add-on purchases than online browsers.

Garden State Plaza in Paramus, New Jersey, was crowded but not chaotic. Shoppers came for deals with nothing specific in mind. Many enjoyed the experience of trying on clothes rather than shopping online.

A Macy’s employee there said it was less busy on Friday because the store had been open, and packed, on Thursday.

“They’re all online,” said Sarah Jones, 42, an employee at Roosevelt Field Mall on Long Island. “I’ve worked in retail my whole life, trust me.”

Source(s): AP ,Reuters