Top Five Lessons for SMBs from Black Friday 2024

By Kelly Mello Woodsum
Partner, SVP, Marketing Consulting

This year’s Black Friday shopping frenzy provided plenty of lessons for small and medium-sized businesses (SMBs), especially regarding supply chain and inventory management. With consumer spending trends, online innovation, and logistical challenges evolving since 2023, SMBs faced unique opportunities and hurdles. Here’s what we learned:

1. E-commerce continues to dominate, but in-store shopping isn’t dead.

Online shopping hit $10.8 billion on Black Friday 2024, up from $9.8 billion in 2023—a testament to consumers' increasing reliance on digital platforms for deals. Mobile transactions accounted for over 50% of online purchases, reinforcing the need for SMBs to optimize mobile experiences and invest in robust e-commerce infrastructures. However, in-store shopping still attracted millions, with 76.2 million people visiting brick-and-mortar stores in 2023. SMBs that offered seamless omnichannel experiences saw greater success than those relying on one format exclusively.

Lesson: SMBs must integrate digital and physical shopping experiences, focusing on convenience and speed to meet customer expectations.

(Sources: DemandSage, Invezz)

2. Inventory planning remains a critical differentiator.

Poor inventory management made or broke SMBs this year. Retailers that embraced predictive analytics and AI to forecast demand (e.g., stocking trendy products like tech gadgets and seasonal goods) avoided stockouts or overstocks, while those relying on outdated methods struggled. Notably, electronics and clothing topped consumer wish lists, emphasizing the importance of prioritizing popular categories.

Lesson: SMBs must leverage data-driven inventory planning tools to align stock levels with real-time demand trends, avoiding financial strain from surplus or missed sales opportunities.

(Sources: BlackFridayStatistics, PYMNTS Intelligence)

3. Early deals and flexible fulfillment win customers.

SMBs that extended sales across the entire Thanksgiving week gained a competitive edge. With 200.4 million shoppers active throughout the holiday week, businesses that offered early deals, rapid delivery, and curbside pickup maximized sales potential. Conversely, retailers that delayed promotions missed out on the wave of early-bird shoppers.

Lesson: Spread out sales campaigns, and ensure your supply chain supports faster, more flexible delivery options to capture shopper interest before the competition.

(Sources: NRF, DemandSage)

4. Supply chain resilience is non-negotiable.

Supply chain bottlenecks, such as delayed shipments and insufficient stock of high-demand items, frustrated customers and tarnished reputations for some SMBs. Those investing in local suppliers, multi-sourcing strategies, or nearshoring adapted better to unexpected challenges compared to businesses with single-source dependencies.

Lesson: A diversified, agile supply chain is essential to withstand global disruptions and maintain customer satisfaction.

(Sources: PYMNTS Intelligence, Invezz)

5. Sustainability and transparency are rising priorities.

This year saw heightened consumer interest in brands demonstrating ethical sourcing and eco-friendly practices. SMBs that showcased sustainable supply chain initiatives (e.g., locally sourced products or reduced packaging) resonated with socially conscious shoppers. Transparency about product origins and delivery timelines also built trust.

Lesson: Incorporate sustainability and clear communication into your supply chain strategy to appeal to eco-aware consumers and strengthen brand loyalty.

(Sources: DemandSage, NRF)

The path forward for SMBs

Black Friday 2024 reinforced the need for SMBs to modernize supply chain and inventory strategies to stay competitive. From digital transformation and demand forecasting to resilience and sustainability, agility is the key to thriving in today’s retail landscape. SMBs that apply these lessons year-round—not just during peak seasons—will position themselves for long-term growth.

For help navigating these challenges, contact us to help unlock actionable solutions tailored to your business needs. Don’t wait for peak season 2025 to be upon us. Make changes now.