Black Friday has become synonymous with massive discounts, crowded stores, and the unofficial kickoff to the holiday shopping season. But have you ever wondered when Black Friday started and why it's called that? Far from its current celebratory vibe, the term "Black Friday" originally carried negative connotations tied to financial crises and urban chaos. In this article, we'll trace the history of Black Friday, from its earliest roots in the 19th century to its transformation into a retail powerhouse. Drawing on historical accounts from reputable sources, including scholarly analyses and economic studies, we'll uncover the key events, cultural shifts, and economic factors that shaped this phenomenon.
The Earliest Roots: The Financial Black Friday of 1869
The phrase "Black Friday" didn't always refer to shopping deals. Its first recorded use dates back to September 24, 1869, during a major financial scandal in the United States. Two notorious financiers, Jay Gould and Jim Fisk, attempted to corner the gold market by buying up as much gold as possible, driving prices sky-high. When President Ulysses S. Grant intervened by releasing government gold reserves, the market crashed, leading to widespread panic on Wall Street. Investors lost fortunes, and the day was dubbed "Black Friday" to signify the darkness of economic ruin, as detailed in this PBS American Experience article.
This event had lasting repercussions, exposing corruption in the financial system and contributing to the economic instability of the post-Civil War era. While unrelated to modern holiday shopping, it set a precedent for using "black" to describe disastrous days in American history. Interestingly, this wasn't the only "black" day—similar terms like "Black Monday" have been used for stock market crashes, highlighting how color metaphors convey financial turmoil.
Early Retail Associations: Worker Absenteeism in the 1950s
Before its association with shopping crowds, the term appeared in a retail context in November 1951, when the journal Factory Management and Maintenance used "Black Friday" to describe the widespread practice of workers calling in sick the day after Thanksgiving to extend their holiday weekend, according to research highlighted in The Atlantic. This early usage highlighted labor issues rather than consumer behavior, but it foreshadowed the day's growing significance in the retail calendar.
The Philadelphia Connection: Chaos in the 1950s and 1960s
The modern shopping-related Black Friday emerged in Philadelphia during the mid-20th century. In the 1950s and 1960s, the day after Thanksgiving was marked by extreme congestion due to shoppers flooding the city for holiday deals, combined with crowds attending the annual Army-Navy football game. Local police officers coined the term "Black Friday" to describe the headaches of managing traffic jams, shoplifting, and general disorder. It was a "black" day for law enforcement, symbolizing long shifts and overwhelming crowds, as explained by History.com.
Efforts to rebrand it as "Big Friday" in the 1960s failed, as the negative label stuck. However, this urban chaos inadvertently highlighted the growing importance of post-Thanksgiving sales. Retailers noticed the surge in foot traffic and began promoting the day more aggressively, turning a logistical nightmare into a commercial opportunity.
The Shift to Retail Profitability: From Red to Black Ink
By the 1980s, the narrative around Black Friday flipped. Retailers popularized the idea that the day marked the point when their accounts shifted from red ink (losses) to black ink (profits) for the year. This accounting folklore, though not entirely accurate for all businesses, helped reframe Black Friday as a positive event. It symbolized the start of the profitable holiday season, where deep discounts lured consumers and boosted annual revenues, a concept debunked as a later myth in Snopes.
This reinterpretation was strategic. As consumerism grew in post-World War II America, Black Friday became a cultural ritual. Economists note that it accounts for a significant portion of annual retail sales—up to 30% in some sectors—driving economic growth and influencing stock markets. The term spread nationwide through media coverage and chain stores, solidifying its place in American culture, with the first national mention in The New York Times in 1975.
Evolution into a National and Global Phenomenon
Black Friday's expansion accelerated in the late 20th century. By the 1990s, it was a staple across the U.S., with doorbuster deals and midnight openings drawing millions. The rise of the internet in the 2000s introduced Cyber Monday, coined in 2005 by the National Retail Federation, extending the sales online and blending physical and digital shopping, as noted in Britannica. Today, Black Friday kicks off weeks-long promotions, often starting as early as October, and has gone global, with countries adapting it culturally—such as Egypt's "White Friday," Mexico's "El Buen Fin," or Pakistan's "Blessed Friday," according to Wikipedia.
Cultural impacts are profound: They reflect consumerism's highs and lows, from economic boosts to criticisms of overconsumption and worker exploitation. In recent years, the COVID-19 pandemic accelerated online shifts, with e-commerce giants like Amazon dominating. For instance, U.S. online sales reached $9 billion in 2020, a 22% increase from the previous year, while in-store traffic dropped by nearly 50%. By 2024, U.S. online Black Friday sales hit a record $10.8 billion, marking a 10.2% increase from 2023, according to Adobe Analytics, underscoring the ongoing digital transformation. The full 2024 holiday season (November 1 to December 31) drove a record $241.4 billion in online spending, up 8.4% year-over-year, as reported by Adobe.
As of 2025 and beyond, experts predict AI-driven personalization, sustainability concerns, and extended sales periods will further evolve the event, potentially reducing emphasis on single-day chaos while boosting global e-commerce. For 2025, AI is projected to give Black Friday a $60 billion boost in the U.S. alone, with nearly half of consumers planning to use generative AI for shopping—up 9 points from 2024—according to a Boston Consulting Group report. Retailers leveraging AI for dynamic pricing and personalized recommendations are expected to see higher profits, as forecasted by Forrester, transforming Black Friday into a more efficient, tech-savvy experience.
Black Friday Sales Trends Over Time
To illustrate the growth, here's a summary of U.S. online Black Friday sales in recent years:
| Year | Online Sales (Billions USD) | Year-over-Year Growth |
|---|---|---|
| 2020 | 9.0 | +22% |
| 2023 | 9.8 | +7.5% |
| 2024 | 10.8 | +10.2% |
(Data sourced from Adobe Analytics). This table highlights how Black Friday has become an economic barometer, with sales reflecting consumer confidence and retail innovation, particularly post-pandemic.
Misconceptions and Controversies
A common misconception is that Black Friday's name strictly derives from profit margins; in reality, the "red to black" explanation is a later retail spin on earlier negative usages, as clarified by Britannica. Another debunked myth links the term to slavery-era auctions, which historical research confirms is false, as explored in The Immigrants Journal.
The event has also faced controversies, including violent incidents like the 2008 Walmart trampling death and various shootings or fights in subsequent years, highlighting the downsides of consumer frenzy, as detailed in The Guardian. Scholarly analyses, such as those in JSTOR, argue that Black Friday symbolizes broader systemic issues related to race, economy, and consumerism, urging a critical view of its cultural role. For instance, it embodies the "cult of consumer capitalism," where shoppers pursue deals as a form of ritualistic behavior, as discussed in this academic paper. Additionally, environmental critiques point to overconsumption's impact, with calls for "Green Friday" alternatives to promote sustainable shopping, as outlined in research on Black Friday consumerism.
Black Friday Today: Shopping Strategies and Deals
In the contemporary landscape, Black Friday is about savvy shopping. Consumers hunt for electronics, apparel, and toys at unbeatable prices. For families gearing up for the holidays, it's an ideal time to stock up on kids' essentials. Retailers like PatPat offer Black Friday sales with up to 70% off on children's clothing and accessories.
To navigate Black Friday successfully, research deals in advance, compare prices across retailers, and consider online options to avoid crowds. Remember, the best bargains often go beyond impulse buys, focusing on value and quality. Academic studies on consumer behavior during Black Friday emphasize the psychological drivers, such as perceived scarcity, which can lead to better-informed shopping strategies, as analyzed in EBSCO Research Starters.
Conclusion
From a 19th-century financial fiasco to a mid-20th-century urban ordeal, and finally to a retail extravaganza, Black Friday's history is a testament to America's evolving consumer culture. Understanding its origins—rooted in chaos but reborn through economic optimism—adds depth to the frenzy we experience today. As evidenced by recent sales data, scholarly insights, and emerging AI trends, Black Friday continues to adapt, reflecting broader societal shifts in technology, sustainability, and consumerism. As you prepare for the next Black Friday, reflect on its journey and shop smartly. Whether you're chasing history or deals, this day remains a pivotal part of the holiday season.
