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CAPTIVATED: unlocking what makes us tick, click, and buy, with psychology-backed tips and behavioral science shortcuts.
Today’s Edition of Captivated: The Behavioral Science Behind How Black Friday Became Everybody’s Annual Shopping Spree
Black Friday has the best deals of the year!
Sound familiar? ...
Every year, millions of people wake up at dawn (or after dinner on Thanksgiving), line up for hours, and rush into stores like their lives depend on it. The deals must be that good… right?
Not exactly.
Less than 15% of Black Friday deals are at the lowest price of the year. Yet, people continue to run out on Black Friday or sign on for Cyber Monday each and every year.
The idea that Black Friday = The Biggest Savings is one of the most well-marketed events of the year with a ton of psychology behind it. It's also responsible for some of the highest trafficked shopping days of the year. Still.
Here's why, and how to tap into the same psychology.
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🧭 INSIDE THIS EDITION
📈 FUN FACT: DID YOU KNOW?
Only 14% of Black Friday deals are at their lowest price of the year.
On Black Friday 2024 in the U.S., about 81.7 million consumers shopped in-stores.
🧠
.. How Did We Get Here? ..
For years, we’ve been told Black Friday is the ultimate shopping event.
But this wasn’t always a thing. In fact, the term ‘Black Friday’ originally had nothing to do with shopping.
1950s: Philadelphia police coined Black Friday to describe the chaos of shoppers flooding downtown before the Army-Navy football game.
1970s-1980s: Retailers flipped the narrative: they rebranded ‘Black Friday’ to mean ‘going from red (losses) to black (profits).’
1990s-2000s: Big-box stores fueled the frenzy by launching limited-time, ultra-low ‘doorbuster’ deals.
And it worked.
By the 2000s, Black Friday had become a show-stopping event, with stampedes, overnight camping, and massive FOMO. And each year ‘Black Friday’ seems to start earlier and earlier, creeping into holiday time.
But most Black Friday deals aren’t actually the best sales of the year.
Retailers have mastered the art of pricing psychology, making us feel like we’re getting a deal, even when we’re not.
How? With brilliant psychological triggers that override logic.
🧠
.. Brain Science-Backed: The Psychology Behind It ..
🧠 The Scarcity Illusion: “Only 5 Left at This Price!'“:
When something feels limited, our brains panic.
Scarcity creates urgency, we don’t want to miss out.
Fear of missing a deal makes us act fast, even if we weren’t planning to buy.
Retail Trick: Stores intentionally limit stock to make deals feel exclusive. For example: “Only 20 available nationwide” (when they actually have 2,000).
🧠 The Power of Price Anchoring:
Our brains latch onto the first price it sees.
So retailers make the “original” price look huge to make the discount seem massive.
Retail Trick: “Was $299, now $99” makes us feel like we’re saving $200, even if the item was $99 last month. For example: Many Black Friday “deals” are just inflated MSRP prices that have been on sale before.
🧠 The Doorbuster Effect: Creating a Buying Frenzy:
Those biggest, best Black Friday deals? They’re bait.
Stores advertise ultra-low “doorbuster” deals to lure people in. Once inside…
Most people won’t get the doorbuster deal (usually due to limited stock - see the Scarcity Illusion above).
But they’ll buy something else anyway.
Retail Trick: Use one insanely low deal to pull people in, then sell them full-price items. For example: TVs advertised at $99? Only 5 per store. But now that you’re inside… might as well buy the $347 model, or something else you just can’t resist, right?
🧠 The Social Proof Trap: “If Everyone’s Buying, It Must Be a Steal”:
Black Friday feels like a ‘must’ because everyone else is doing it.
When we see crowds fighting over items or lines wrapping around stores, our brains assume those deals must be amazing.
Retail Trick: Stores encourage social proof by making Black Friday LOOK crazier than it is. For example: To get those crowds and lines wrapped around the block, they may only let a few people in at a time to build hype.
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.. Use this Psychology Strategy ..
We can ethically use these same psychological triggers:
1: Use Scarcity to Drive Urgency
Limit availability: “Only 50 spots left!”
Create FOMO: “People are grabbing this right now, don’t miss out.”
Time-sensitive offers: “This deal disappears in 24 hours.”
Example: Airlines show “only 2 seats left at this price” to push you to book NOW.
2: Leverage Price Anchoring for Perceived Value
Show original pricing: “Was $399, now $149.”
Use bundle deals: “$500 worth of value for only $99.”
Make discounts feel BIG: “Save 70% today.”
Example: Apple’s trade-in discounts anchor value by making the new iPhone feel cheaper.
3: Create Your Own “Doorbuster” Moment
Feature a limited-time “wow” deal to get people in.
Make it feel exclusive: “Only for our VIP members.”
Use urgency messaging: “Act fast before it’s gone.”
Example: Course creators offering a $500 bonus for the first 50 signups.
4: Build Social Proof to Increase Trust
Show real-time sales: “500+ sold today!”
Use testimonials: “See why customers love it.”
Showcase demand: “Selling out fast.”
Example: Amazon’s “Bestseller” badge instantly makes products feel more desirable.
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Shoppers are adding to cart for the holidays
Peak streaming time continues after Black Friday on Roku, with the weekend after Thanksgiving and the weeks leading up to Christmas seeing record hours of viewing. Roku Ads Manager makes it simple to launch last-minute campaigns targeting viewers who are ready to shop during the holidays. Use first-party audience insights, segment by demographics, and advertise next to the premium ad-supported content your customers are streaming this holiday season.
Read the guide to get your CTV campaign live in time for the holiday rush.
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.. tl;dr & captivated wrap-up ..
Black Friday isn’t really about the lowest prices, it makes us feel like we’re getting an unbeatable deal. Retailers have already mastered how to use psychology to drive action:
Scarcity Illusion: “Only X left!” makes people panic-buy.
Price Anchoring: Seeing a “slashed” price makes discounts seem bigger.
Doorbuster Bait: Big deals lure people in, but most people buy something else.
Social Proof: If everyone’s shopping, it must be worth it… right?
Tapping into these psychologies, ethically, can give people what they're brains are already looking so hard for, right in your store or site.
👋 Until next time,
Profit Nic
.