Black Friday is coming up and South African retailers are ramping up their marketing campaigns, promising discounts and “deals too good to miss”.
While this annual shopping extravaganza has become a fixture in the South African retail calendar, Salem Nyati, consumer financial specialist at Momentum Group, found that it brings with it a darker side that threatens household financial stability; impulse buying and reckless overspending.
“Black Friday is not merely a shopping event. It is a masterclass in consumer psychology designed to trigger immediate gratification and override rational decision-making,” Nyati said. “The most successful approach treats Black Friday as just another day in a well-planned financial year, not a reason to abandon prudent money management.”
According to PayInc, Africa’s leading automated clearing house, Black Friday 2024 delivered a day of exciting deals and shopping activity, performing well above a typical shopping day and marginally higher than the levels in 2023.
Psychological tactics
PayInc recorded that South Africans kicked off their deal hunting at midnight with volumes up by 75% compared to the same time on Thursday, but 11% down from Black Friday 2023.
With South Africa’s household food basket climbing to around R5 380 in August 2025, and 63.5% of households struggling with essentials, the pressure to spend wisely has never been more critical.
As such, Nyati warns that retailers deliberately employ three psychological tactics.
The discount effect: This cognitive bias, combined with loss aversion, where people feel the pain of missing out more strongly than the pleasure of gaining something, creates a perfect storm for overspending.
Fear of Missing Out (FOMO): Limited time offers and “while stocks last” messaging create artificial urgency, pushing consumers to make hasty decisions without proper consideration of their financial circumstances.
Scarcity marketing: When retailers advertise “only 50 items left” or “24-hour flash sale,” they exploit our primitive instincts to secure resources, often overriding logical spending decisions.
According to Lee Naik, CEO of TransUnion Africa a 45% surge in personal loan inquiries between October and November 2024 highlights a sobering truth: many South Africans are borrowing to participate in these so-called “deals.”
“The cautious use of credit may suggest a shift towards more responsible financial behaviour, but restraint isn’t always confidence, it can also reflect constraint. The ordinary South African consumer cannot sustain an unexpected shock to their personal finances, and many should use this shift in the interest rate cycle to build up buffers.”
Echoing Naik’s sentiment, Nyati said that for South African consumers facing economic pressures, the real victory is not in securing the best deals. It is in maintaining financial stability while still enjoying the benefits of strategic shopping; suggesting that the best deal is the one that aligns with your budget, meets a genuine need and supports your long-term financial goals.
The timing of Black Friday is particularly challenging for South African consumers. Coming at the end of November, it precedes the expensive December holiday season and the notorious ‘Janu-worry’ period when school fees, uniforms and textbooks drain household budgets.
Economic pressures
Nyati believes that the current economic pressures make thoughtful spending even more crucial, highlighting:
Rising cost of living: Despite inflation easing to 2.8% year-on-year, overall price levels remain elevated.
High unemployment: Stagnant job markets mean fewer financial buffers for unexpected expenses.
Debt trap risks: Easy access to credit during sales events can lead to long-term financial distress.
“The ultimate goal is not to avoid Black Friday entirely, but to approach it as an informed, disciplined consumer who makes decisions based on financial reality rather than marketing manipulation,” she said. “In a country where financial resilience is increasingly important, a disciplined approach to seasonal spending can make the difference between ending the year financially strong or starting the new year in debt.”
Nyati recommends shifting focus from short-term gratification to long-term financial health, suggesting that compound interest and consistent saving habits will ultimately provide more financial benefit than any Black Friday discount.
Implement the ‘pay yourself first’ principle
Before considering any Black Friday purchases, allocate funds for savings and monthly necessities. Only spend what remains after covering essential expenses and savings goals. This fundamental shift in priority protects your financial foundation.
Create and stick to a realistic budget
Set a specific spending limit for Black Friday, based on your disposable income after essential expenses, using the “today, tomorrow, next week” spending framework:
Use loyalty programmes strategically
Maximise existing loyalty rewards and points programmes like eBucks, Discovery Miles, or store loyalty schemes. These allow you to “spend” without depleting cash reserves and often offer additional discounts during Black Friday.
Plan beyond Black Friday
Remember that December brings additional expenses: holiday celebrations, travel costs, gifts, and January’s back-to-school expenses. Overspending in November can create a financial crisis that extends well into the new year.
“While Black Friday can offer genuine savings opportunities, it should never come at the expense of financial stability,” she concluded. “As we head into the 2025 Black Friday season, let wisdom, not impulse, guide your shopping decisions. Your future financial self will thank you for it.”
