Local shoppers pressed for time with fewer days between Black Friday and Christmas Eve might help bolster profits this year at Hawaii’s brick-and-mortar stores.
Retailers are looking forward to a boost in sales the day after Thanksgiving, one of the busiest shopping days of the year and the official kickoff of the holiday shopping season. Honolulu’s small-business retailers are expected to see an average $2,070 in revenue on Black Friday, more than double the average day, according to software company Womply.
Average sales at a typical small business in Honolulu is $973, the company estimates, adding that small retailers nationally record $1,715 in revenue on Black Friday. Womply analyzed transactions at 52,000 independently owned retail shops across the U.S., including more than 120 in Honolulu. The data includes small antique and jewelry shops and other specialty boutiques that see much lower volumes than the typical clothing store.
“Similar to their big-box counterparts, Black Friday is massive for local retailers in Honolulu,” said Womply spokeswoman Ellen Ford. “It’s the No. 1 revenue day of the year. While we can’t know for certain how this year will compare to last year, the trend we’re observing shows consumers tend to spend more at local brick-and-mortar retailers when they are pressed for time. With less time this year between Black Friday and Christmas Eve, local retailers should expect to see higher daily revenue averages during the holiday shopping period.”
Tanna Dang, owner of Honolulu boutique Eden in Love, which has thousands of followers on Instagram, is expecting about 1,000 shoppers to flock to the 16,000- square-foot pop-up shop in the former Famous Footwear space at Ward Centre, the biggest ever for the small business.
“I’m expecting higher revenue because of the space; it’s like a department store,” she said. “It took us seven full days from 8 a.m. to midnight with over 50 volunteers (to set up).”
The store significantly expanded the amount of nonclothing items and started this year designing in-house many of its own products, including baby blankets, wooden signs and puzzles, to cater to Hawaii shopping preferences for more unique, locally made items, she said, adding that there are three times more products compared with last year.
“People want exclusivity, they want things that are rare, custom to Eden that they can’t find anywhere else,” Dang said. She also collaborates with other independent retailers including Island Poppers to create custom popcorn and Jules + Gem Hawaii to custom-make candles. “People want to support local boutiques, local designers. We noticed that people are willing to spend as long as there’s a story behind it and there’s a thought behind it.”
While many retailers started holiday promotions days before Halloween, an estimated 165.3 million consumers are expected to shop in stores and online from Thanksgiving Day through Cyber Monday, the National Retail Federation said.
Nalani Holliday, owner of Red Pineapple, which sells 35% local merchandise at Ward, said she tries to stock specialty items that are different from “run-of-the-mill stuff,” which is what customers are seeking this holiday season.
“They’re buying generic online but coming here for … that special thing,” said Holliday, who makes tailored gift baskets and sells home goods and decor by local artists. “It’s customer service. Most of our local businesses can’t compete with Black Friday. We are not Target; we can’t give you a free TV for buying a lollipop. But a small business can cater to everything else. And it’s our responsibility as locals to try to help the economy in this way.”
She is expecting a wave of customers on Black Friday weekend and into December since there’s a significantly shorter shopping season before Christmas.
“That next week people are going to go bananas. I think people are going to panic that first week (of December),” she said. “Over the (Black Friday) weekend, it’ll be 500% over a regular day. They will be shoppers rather than browsers. They’re not walking around after the movie like a regular day. It’s festive, it’s fun, it’s exciting. It feels like the holidays have come.”