Economics of Black Friday: Demand & Price Discrimination

Black Friday

& Consumer Behavior

Demand Spikes

Price Discrimination

Marketing Psychology

Presented by: Student A • Student B • Student C

Economics | Senior Year | March 2026

SECTION INTRO

What Is Black Friday?

Day after Thanksgiving

Biggest retail sales event in the U.S.

Kickstarts the holiday shopping season

Both online and in-store

Student B

Stores lower prices to increase demand and attract large crowds.

SECTION 1: DEMAND SPIKES

What Is Demand?

Demand =

Willingness & Ability to Buy

Law of Demand: Price ↓ → Quantity Demanded ↑

Consumers react to price incentives (and marketing!).

Student A

When prices fall, people buy more.

SECTION 1: DEMAND SPIKES

Demand Spike on Black Friday

TVs selling out in minutes

Websites crashing from traffic

For Seniors: More retail hours = more stress & more money!

Student C

SECTION 2: PRICE DISCRIMINATION

What Is Price Discrimination?

Charging different prices to different consumers based on their willingness to pay

Early access members get better deals

Student discounts vs. adult prices

Doorbuster deals — limited quantities only

Same product. Different price. Businesses know what you'll pay.

Section 2: Price Discrimination

Black Friday

Examples

First 50 Customers

Deep discounts reserved only for those willing to camp out.

Online-Only Deals

Exclusive pricing tracked by your cookies and device type.

Countdown Timers

Artificial time pressure forces you to buy before checking competitors.

This also happens to YOU as a senior:

College tuition based on family income

Airline tickets fluctuating by date

Concert ticket dynamic pricing

Student A

Businesses know some people will wake up at 5 AM. Others won't. They use that gap to charge different prices.