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- Brands dialing back Black Friday and Cyber Week discounts
- How tariffs and costs are reshaping holiday pricing
- Promo math: the decision behind every discount
- Customer expectations and trust during Cyber Week
- Case studies: why some brands kept discounts and others reduced them
- Data and forecasts shaping retailer choices
- Practical strategies brands are using this Cyber Week
- What this means for shoppers and retailers this season
Retailers are entering this Cyber Week with a new playbook. After a year of higher tariffs, freight costs and squeezed margins, many brands are trimming their holiday discounts. Shoppers will still see deals, but not every retailer is racing to match last year’s markdowns.
Brands dialing back Black Friday and Cyber Week discounts
Some companies that advertised deeper promotions last year are scaling offers back. The move reflects a wider industry trend of protecting profit margins ahead of 2026.
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- Caraa: down to 25% off most items, from 30% last year.
- Mercado Famous: cutting its peak discount to 25%, after offering 30% previously.
- Petite Plume: reverting to a 20% sitewide discount, below the 25% they tried last season.
- Other retailers, like Bombas and Madewell, have maintained or launched notable early deals.
These adjustments are not uniform. Several major names kept their offers steady. Still, the rhythm of promotions is changing for many mid-sized brands.
How tariffs and costs are reshaping holiday pricing
Tariffs, shipping costs and higher input prices are squeezing margins. Brands that import materials face unexpected duty bills.
- Imported leather, specialty fabrics, and overseas foods are being hit by new levies.
- Borrowing costs and freight inflation add to operating pressure.
- Lean inventories from earlier order cuts limit retailers’ capacity to discount deeply.
Industry analysts say the result is a cautious approach. Companies want sales momentum without sacrificing profitability.
Voices from the industry
Leaders at several brands describe a defensive stance. One founder explained that cash conservation has become a priority amid uncertainty. Another marketing chief said their holiday price strategy reflects customer behavior more than a race to the bottom.
Promo math: the decision behind every discount
Setting a holiday price requires juggling many variables. Retailers must weigh short-term revenue gains against longer-term margin health.
Key factors in the holiday pricing equation include:
- Current inventory levels and replenishment risk.
- Customer sensitivity to discounts and brand positioning.
- Competitor pricing and retail media ad spend.
- The potential for promotions to harm long-term loyalty.
Platforms that analyze online merchandising report that brands are trending toward milder markdowns. Data shows prices ticked up year over year, while average discount depth eased.
Customer expectations and trust during Cyber Week
Shoppers still expect promotions, but they are also wary of misleading offers. Research shows a notable share of consumers abandon brands after feeling misled by holiday marketing.
- Free shipping, loyalty points and gifts with purchase rank high among shopper priorities.
- Many buyers anticipate fewer or smaller discounts than in prior years.
- Trust matters: a perception of deceptive deals can cost a brand repeat business.
Case studies: why some brands kept discounts and others reduced them
Different business models and sourcing strategies drive diverging tactics.
Brands leaning in on margins
- Caraa and Mercado Famous rarely discount year-round. Their holiday event draws loyal customers who stock up.
- Because both brands imported materials from Europe and Spain, tariffs changed the margin calculus.
- They returned to a 25% standard discount after testing 30% last year.
Brands focused on tradition and product value
- Petite Plume sells holiday staples and family staples, like pajamas for photo shoots.
- After trying a larger discount, the brand saw limited incremental demand.
- It chose a smaller markdown to preserve the ability to invest in fabric and manufacture responsibly.
Brands keeping offers steady
- Some larger retailers and names in beauty plan to repeat prior season discounts.
- For these companies, holiday promotional spend ties directly to broad acquisition tactics.
Data and forecasts shaping retailer choices
Trade groups and analytics firms are giving mixed signals.
- The National Retail Federation projects record holiday spending, but higher totals could reflect pricier goods.
- Surveys show many consumers expect fewer discounts this season.
- Retail analytics platforms report rising ad spend even as discount depth softens.
Retailers are using these data points to test offers and to guard liquidity for the new year.
Practical strategies brands are using this Cyber Week
To hit sales targets without eroding margins, brands are experimenting with varied tactics.
- Staggering promotions across the holiday period to spread demand.
- Combining modest discounts with loyalty incentives and gifts with purchase.
- Prioritizing products with healthier margins for deeper markdowns.
- Investing more in livestreaming and retail media to boost conversion.
Examples of tactical choices
- Some retailers offset smaller discounts with free shipping or bonus loyalty points.
- Beauty brands are leveraging social commerce and live events to sustain engagement.
- Smaller labels focus discounting on key bundles or curated holiday sets.
What this means for shoppers and retailers this season
Shoppers should still expect promotions, but offers may be narrower and more targeted. Retailers will balance promotional pull with the need to protect margins.
Important: some brands clarified their pricing choices publicly. One company noted that its recent cut in discount depth was not directly caused by tariffs. Another disclosed that its business doubled year over year, influencing how it plans holiday promotions.
