Origin of Black Friday: History & Shopping Tips

The term "Black Friday" conjures images of massive crowds, incredible deals, and the official kickoff to the holiday shopping season. For many, it's a day of strategic planning and bargain hunting. But have you ever wondered where this famous phrase came from? The story is more complex and surprising than you might think. As shopping evolves, so do the tools we use to manage it, with modern solutions like Buy Now, Pay Later helping consumers navigate big sale days without financial stress. Understanding the history of this shopping holiday can provide valuable context for how we approach it today.

The Popular Myth: From Financial Loss to Profit

The most widely circulated story about Black Friday's origin is tied to retail accounting. The explanation goes that for most of the year, retailers operated at a financial loss—or "in the red." The day after Thanksgiving, a surge of shoppers would finally push their profits into the positive, or "in the black," for the year. This narrative presents a positive, business-centric origin for the term. While it's a neat and tidy explanation that retailers eventually embraced, it's not the true origin. The reality is much grittier and less glamorous. This myth gained traction in the 1980s as a way to rebrand the day with a more positive spin, long after the term was already in use. Knowing the difference between a cash advance and a loan can also help you make better financial decisions during this period.

The Real Origin: Philadelphia's Post-Thanksgiving Chaos

The true birthplace of the term "Black Friday" was Philadelphia in the 1950s. The Philadelphia Police Department coined the phrase to describe the chaotic and unpleasant conditions they faced on the day after Thanksgiving. The city was swamped with suburban shoppers and tourists who flooded in for the annual Army-Navy football game held on the following Saturday. This influx created massive traffic jams, overcrowded sidewalks, and a significant increase in shoplifting. For the police officers who had to work long hours and couldn't take the day off, it was a "Black Friday." The term was used locally for years, carrying a negative connotation that retailers understandably disliked. According to historians, this is the most accurate account of the term's beginnings.

How the Term Spread and Evolved

Despite its negative origins, the term "Black Friday" began to spread beyond Philadelphia. Retailers initially tried to rebrand the day as "Big Friday" to put a more positive spin on it, but the new name never caught on. By the late 1980s, "Black Friday" was in common use across the United States. It was at this point that retailers decided to embrace the term and promote the "red to black" profit narrative. This marketing effort was incredibly successful, transforming the phrase from a description of chaos into a symbol of great deals and the start of a prosperous holiday season for businesses. The evolution shows how powerful marketing can be in shaping public perception, much like how buy now and pay later apps have reshaped how people approach large purchases.

Black Friday in the Digital Age: From Doorbusters to Clicks

Black Friday is no longer a single-day, in-store event. The rise of e-commerce has transformed it into a week-long (or even month-long) shopping extravaganza, culminating in Cyber Monday. Many shoppers now prefer to shop for clothes and electronics online from the comfort of their homes, avoiding the long lines and crowded stores. This shift has been accelerated by the convenience of modern payment methods. Services like Shop Now, Pay Later allow consumers to secure deals immediately and pay for them over time, often without interest or fees. This flexibility has made it easier for people to participate in the sales without needing all the cash upfront. Data consistently shows a massive increase in online sales volume during this period, highlighting the digital transformation of this shopping holiday.

Smart Shopping Strategies for the Big Day

Navigating Black Friday successfully requires more than just knowing where the deals are; it requires a smart financial strategy. Start by creating a detailed budget to avoid overspending. Make a list of what you need and research prices ahead of time to ensure a deal is genuinely good. For added flexibility, consider using a financial tool like the Gerald app. If you find a must-have item but are a little short, an instant cash advance app can provide the funds you need without the high cash advance fees associated with credit cards. Gerald offers a unique model where you can get a cash advance with no fees after initially using its BNPL service. This is one of the best cash advance alternatives for managing your holiday budget wisely.

Frequently Asked Questions About Black Friday

Is the 'in the black' accounting story completely false?
While it's not the original source of the term, it has become a widely accepted part of the Black Friday lore. Retailers did adopt this explanation to rebrand the day positively, and it does reflect the financial importance of the holiday shopping season for many businesses.
When did Black Friday become the biggest shopping day of the year?
Although it has been a major shopping day for decades, Black Friday officially became the busiest shopping day of the year in the United States in the early 2000s and has consistently held that title since.
How can I shop on Black Friday without getting into debt?
The key is planning. Create a strict budget, use price comparison tools, and leverage fee-free financial products. Using a service like Gerald's Buy Now, Pay Later lets you spread out payments without interest, and a no-fee cash advance can help cover costs without the burden of expensive fees or loans. The Consumer Financial Protection Bureau also offers resources on managing debt.

Disclaimer: This article is for informational purposes only. Gerald is not affiliated with, endorsed by, or sponsored by Consumer Financial Protection Bureau. All trademarks mentioned are the property of their respective owners.