To stimulate consumer spending, several retail giants in the usa have extended the traditional one-day shopping extravaganza "Black Friday" (November 29) to several weeks. Consumer spending is a major driver of the us economy, however, due to the persistent impact of stubborn inflation, consumer spending growth is showing signs of slowing down.

Recently, walmart, amazon, target, macy's, and other retail giants have started the "Black Friday" promotion early and have extended the promotional period.

• Target started its three-day early "Black Friday" promotion in early November and launched the "Black Five" discount event lasting until the end of November.
• Walmart started its two-week "Black Friday discount" from November 11 and plans to launch a second round of promotions in late November, covering discounts on televisions, iPhones, toys, and jeans.
• Amazon's "Black Friday week" and home depot's "Black Five Deals" from November 7 to December 4 are also taking place during the same period.

According to market research firm Circana's data, despite retailers offering discounts, sales of general commodities in the usa decreased by 3% year-on-year in the week ending November 16. The National Retail Federation (NRF) expects that holiday sales in November and December 2023 will reach nearly 1 trillion us dollars, but the growth rate is projected to slow to between 2.5% and 3.5%, the slowest growth since 2018.

With the worsening trend of weak consumer spending in the usa, the pressure on retailers is also increasing. To attract continuous consumer spending, extending the promotional period for "Black Friday" has become one of the strategies for retailers.

The continuous impact of inflation has led to a low consumer confidence.

Analysis indicates that although the overall inflation level in the USA has fallen from historical highs in previous years, consumers are still highly sensitive to high prices. According to the latest survey data from the University of Michigan, consumers are extremely frustrated with the continuous rise in prices, and consumer confidence remains well below the long-term average.

Over the past two years, rising prices — such as food, groceries, and housing — have made American consumers less likely to purchase clothing, furniture, and electronics. Economists suggest that under Trump's leadership, the potential for a tariff system may keep prices high. They are concerned that the subsequent inflation situation in the USA may worsen further. Rabobank's food and agriculture analyst, Roland Fumasi, warns that if Trump returns to power and raises tariffs, it could lead to slower economic growth and exacerbate inflationary pressures.

Faced with high prices, American consumers choose to be thrifty.

Against the backdrop of high prices, the shopping behavior of American consumers has changed, with being thrifty becoming mainstream. Target's CEO, Brian Cornell, states that consumers are becoming increasingly savvy, focusing more on finding discounted goods and stockpiling in bulk when they get the right deal.

Retailers are attracting consumers from low-income groups through various forms of discounts, while also working to attract high-income groups to shop within longer promotional windows. This 'two-pronged' strategy aims to address the challenge of slowing consumer spending, extend the shopping peak period as much as possible, and capitalize on more sales opportunities.

Department store giants like Macy's and Nordstrom are about to announce their performance. This week's earnings conference calls may provide more details on how these retailers will respond to these policy changes.