While Q4 has traditionally served as a busy time across the advertising industry, the advent of Black Friday and Cyber Monday, and their growing adoption outside of the U.S. market, signal a more significant focus on the upcoming holiday season. Ad spend during Black Friday and Cyber Monday has increased in monetary value, especially as more international regions now participate in this busy shopping tradition. In fact, global ad spend is forecast to increase by eight percent on Black Friday and five percent on Cyber Monday of this year. Because these two days fall on 29 November and 2 December, and may also coincide with pay day in some regions, we are expecting to see a significant increase in spending behaviour across exchanges.
In the northern European market, for example — including the United Kingdom, Ireland, the Netherlands, Sweden, Denmark, Norway, and Finland — our exchange has experienced a 10 percent year-over-year increase on Black Friday and nine percent increase during Cyber Monday. Historically speaking, Black Friday has been around since the 1940s but didn’t pick up momentum until the 2010s in the northern European region. Although the numbers speak for themselves, Black Friday and Cyber Monday are becoming increasingly important to retailers and are actually shifting holiday spending habits (e.g. Boxing Day sales are declining). We are also seeing the adoption in the Nordics. In 2017, 30 percent of the Swedish population purchased an item on Black Friday and retailers experienced 584 percent more clicks on their sites.
How Index Exchange is setting you up for success
With such a huge increase in traffic, it is essential that the right infrastructure is in place. During what may be an overwhelmingly busy time, one of our top priorities is ensuring system stability in preparation for the higher traffic and increased volume of registered campaigns.
Our engineering team works across multiple offices, time zones, and regions to collaborate and ensure our system is able to scale effectively to deliver best in-class service to our partners.