Digital Media

I have avoided Black Friday every year. Somehow, the idea of baying, greedy crowds fighting for $100 off some piece of electronica seems like the equivalent of searching for stray wax in a stranger's ears.

But there's a Best Buy opposite the greatest Starbucks in the world--at Marin City, Calif. (one-time home of Tupac Shakur). And, struggling after an interesting Thanksgiving meal of, well, too much good food, wine, and secrets told after the good food and wine, I parked outside my Starbucks and was drawn by the fascination of the blue and yellow.

A large sign outside Best Buy read: "Line starts here," but there was no one standing there. Had people simply ignored the sign, smashed down the doors, and stormed the building, in search of the weekend's dream of a larger, flatter screen?

I walked gingerly toward the front door, fearing I would immediately see tense bodies and twisted faces fighting over the last box with Samsung written on it. Instead, a chap in the blue polo shirt bid me good morning. Inside, it seemed like any other day at Best Buy.

My receipt, complete with markings from the Best Buy magic marker.

(Credit: Chris Matyszczyk)

People milled around with seemingly little purpose. Best Buy employees stood around, one or two stifling a little yawn, a couple of others not bothering with the stifling.

A few people hovered over the MacBook display. Should they buy the MacBook Pro, or the little white MacBook, on offer for less than $1,000?

Most of the aisles had no more than one person in them. Wandering around was as simple and comfortable as a Wednesday stroll on the beach. But finally I saw a line. What was it that was drawing so many people (at least 15) to one place?

Ah, yes, these were the excited folks trying to line up an appointment with the Geek Squad. Names were being called out. Satisfaction was being doled out.

Then I remembered I needed some ink for my printer. I wafted over to the aisle and noticed that the price of an Hewlett-Packard double pack of black ink and color had actually gone up since I'd last bought some. There didn't seem to be any special offer on this one.

Should I buy it anyway? Wouldn't it be a pain to stand in line?

Then I looked up and saw that the line at the cash registers consisted of precisely three people. Two of them were together. As I paid my $34.87, the clerk had particularly bleary eyes.

"Crazy day, huh?" I said to him.

"No," he said, in an entirely friendly way.

"Is this usual?" I asked, somewhat confused.

"Oh, yeah. I'm happy," he replied.

After he'd taken the time to tell me that the man in front of me in line had enjoyed precisely the same security code on his Amex card as mine, and after another Best Buy employee had marked my receipt with a special marker, I disappeared to Starbucks.

One of the great baristas of our time, Kershina, told me that she'd opened the store at 5 a.m. and there had been around 200 people outside Best Buy at that time.

Now, just after 9, there was no one. It was just another day in the Marin City firmament. How typical this was of the rest of America, I have no idea. However, as I took my lattes back to my car, a couple were piling their own two-pack of boxes, both with an LG logo, into theirs. They seemed strangely relaxed.

Desperate for a deal after sleeping right through Wal-Mart's early-morning Black Friday frenzy? You're in luck. The best deal this holiday season may be just a download away.

(Credit: Handbrake)

And boy, is it beautiful.

Handbrake has long been my go-to choice for ripping DVDs to my hard drive (saves battery life when watching videos while traveling and ensures my kids won't ruin the DVDs), but this particular version exceeds my expectations. Why? Because it delivers over 1,000 new enhancements while delivering better picture quality at a smaller file size and faster.

Or as the Handbrake developers say:

There's an old proverb in the video encoding world: "Speed, size, quality: pick two." It means that you always have to make a trade-off between the time it takes to encode a video, the amount of compression used, and the picture quality. Well, this release of HandBrake refuses to compromise. It picks all three.

This isn't hype. In my own use of the software during the past week, performance is noticeably faster, and picture quality is awesome.

Importantly, while the Handbrake developers have been hard at work over the past year to update the venerable video transcoder, the team owes a lot to developers from the x264 project:

A large portion of these speed, size, and quality improvements come to us for free, from the x264 project. The past year, like every year, has seen some massive improvements for that video encoding engine. As always, it has been further hand-optimized for better performance. But it has also gained new features like macroblock tree rate control and weighted P-Frame prediction.

This is how open-source development works: Handbrake focuses on what it does best (User interface, features like live preview, etc.) while leveraging the best of other project's strengths.

It's a recipe for a supereasy and very powerful transcoding experience. And at a 100 percent discount now through forever (Handbrake is open source and costs nothing to download), now is a good time to download it and let 'er rip, whether you run Mac (Intel 32-bit and 64-bit, plus PowerPC), Linux, or Windows.

If it's five o'clock in the morning and you have to spend your time with far more people than you're used to, pushing, pulling and writhing your way to satisfaction, then perhaps a shopping mall is not the ideal location.

The tradition of Black Friday as the day when one attains negotiation nirvana seems a peculiar one. And one has to wonder whether people have learned that some of the deals really aren't deals at all.

As CNET's Rick Broida has already pointed out, many of the alleged deals aren't terribly enticing, as stores have been forced to reduce their prices all year in a desperate attempt to attract the cash-strapped.

However, CNNMoney.com has also written of some slightly tired tactics being promulgated by Black Friday peddlers.

It seems that some are using the rather more saliva-inducing tech items to snap people's sleeping patterns. However, the tinier print of the inducement reveals that there may not be many of these items in stock.

If this reminds you of car dealers, well, then it's perhaps not a good thing.

CNNMoney.com tells the story of Sears' trumpeting of a Samsung 40-inch 1080p LCD HDTV for $599.99. Would this make you slip you fur coat over your PJs, leap into your sedan, and rush to your local mall while it's still dark outside?

Black Friday is so much fun, isnt it?

(Credit: CC HermanTurnip/Flickr)

The tinier print might give you pause for thought. It reads "Only while quantities last, minimum three per store, no rainchecks."

This is not to suggest that Sears is the only retailer succumbing to these slightly tired mechanisms. But why does this remind one of Vegas casinos, who, when realizing that the gambler with a fine memory was in a relatively favorable position in two-deck blackjack, introduced multiple decks, just to increase the fun?

CNNMoney.com also revealed that some products on sale might be so-called "derivatives." For the less initiated, this might be translated as "inferior models." It might be an HDTV that enjoys a lower image contrast ratio. Or an iPhone that can't download apps. (Yes, the latter is an exaggeration.)

Edgar Dworsky, editor of Consumer World, was even quoted by CNNMoney.com as dampening the hopes that might dwell in a raincheck: "A raincheck doesn't guarantee that you will eventually get that elusive Black Friday deal. Consumers can go weeks waiting and hoping, and the retailer may never get more of the product shipped to its stores."

Might I make a suggestion as I watch the fast-moving train that is the desperate need for deals rushing headlong at the train that is the equally desperate need for profits?

Why don't stores offer a couple of truthful ads? Something like this: "Look, we've got three Samsung 40-inchers for $599.99. We won't make any money on them. But we're advertising them so that you can get excited. We promise there will be three of them and we'll sell them to the first person who comes in and guesses the middle name of our handsome salesman, Brad. We think that's fairer than having y'all fight, bite and claw outside our front door. Life is random. So are our deals."

This is a new era in the relationship between retailers and their customers. Social networking is forcing companies to be far more authentic with their customers than they have ever felt comfortable being before.

Why can't some of them use Black Friday as the first day of their new authenticity? It just might engender a little loyalty and a little trust. You know, for those other 364 days of the year.

Holiday spending on electronics for family members remains high on the to-do list, according to a survey by IDC and the National Research Network (NRN).

According to results from a survey of more than 3,000 consumers, 62 percent indicated they planned to spend the same amount or more on electronics for family members this holiday.

Those surprising results come as big-box electronics retailers face a challenging time. Best Buy announced a 77 percent drop in earnings and call for employee buyouts earlier this month and Circuit City filed for Chapter 11 bankruptcy last month.

Nonetheless, consumers are maintaining their holiday spending level for family members. Portable media players and digital cameras performed well over the holiday weekend that wraps in Thanksgiving, and high-definition TVs were expected to be the top electronic sale items between now and the end of the year, according to the survey.

"Consumers are shifting to staying, or nesting, at home more," Randy Giusto, IDC general manager of client and consumer markets.

The survey also found that while 25 percent of those surveyed shopped for electronics over the Thanksgiving holiday, 50 percent plan to buy electronics before the year's end.

Consumers plan to account for these recessionary times by reducing the frequency of eating out, and 38 percent of survey respondents noted they expect to spend less on gifts for co-workers.

It wasn't a blockbuster, but Black Friday wasn't a bust, either.

ComScore on Sunday reported that online, nontravel retail sales on the Friday after Thanksgiving, traditionally a big day for consumer spending, reached $534 million. That's up from the same day a year ago, but just barely--online retail sales rose just 1 percent, from $531 million.

On Saturday, comparison-shopping site PriceGrabber.com said that Web shopping traffic on Black Friday was up 11 percent. The Nintendo Wii was the most popular item, according to both PriceGrabber and eBay.

Sales on Thanksgiving Day itself rose 6 percent to $288 million, up from $272 million in 2007, ComSore said.

But for the four weeks of November through Friday the 28th, retail e-commerce dropped to $10.4 billion, down 4 percent from $10.8 billion for the same period in 2007, according to ComScore.

For the full holiday season, even Friday's slight gain may look good. ComScore predicted that for November and December, online sales will be flat compared with 2007, coming in again at $29.2 billion.

A somewhat cheerier report Sunday came from the National Retail Federation. The NRF's Black Friday Weekend survey--covering Thursday, Friday, Saturday, and predictions for Sunday--posits 172 million shoppers visiting Web sites and brick-and-mortar stores for the four days, up from 147 million last year.

Holiday sales will rise 2.2 percent this year to $470.4 billion, the NRF projects.

"Pent-up demand on electronics and clothing, plus unparalleled bargains on this season's hottest items helped drive shopping all weekend," NRF CEO Tracy Mullin said in a statement. "Holiday sales are not expected to continue at this brisk pace, but it is encouraging that Americans seem excited to go shopping again."

The NRF put total sales for the four-day period at $41 billion, with shoppers spending an average of $372.57, up 7 percent from $347.55 a year earlier.

The retail group said that 36 percent of shoppers purchased consumer electronics. Slightly over half of shoppers bought clothing and accessories, and 39 percent bought books, DVDs, CDs, and video games.

The next big test of how online commerce is faring in a deeply troubled economy will be almost immediate: Cyber Monday, the first Monday after the Thanksgiving weekend.

"It's probable that on Black Friday consumers responded positively to the very aggressive promotions and discounts being offered in retail stores," ComScore Chairman Gian Fulgoni said in a statement, "so it will be important to see how they respond to similarly attractive deals being offered online on Cyber Monday, the traditional kick-off to the online holiday shopping season."

Purchases from the workplace account for approximately half of all e-commerce spending, ComScore said.

Update 2:03 p.m. PST: Added NPD and Apple paragraphs.

Black Friday proved to be a relatively bright light in an economy largely characterized by dark, gloomy reports.

Overall, retail sales for the day after Thanksgiving were up 3 percent from the same day in 2007, with preliminary estimates putting total sales in the U.S. at $10.6 billion, according to Shoppertrak RCT. (Shoppertrak derives its retail benchmark from a wide range of categories, including consumer electronics, sporting goods, apparel, and general merchandise.)

On Black Friday, the Wii had the right touch.

(Credit: GameSpot)

Web shopping saw an even larger percentage gain for the day, with traffic up 11 percent year over year, per comparison shopping site PriceGrabber.com.

Taking the crown as the top product of the day was the Nintendo Wii, according to both PriceGrabber and online commerce giant eBay, which pulled data from its namesake site and other eBay-owned sites including PayPal and Shopping.com.

The Wii game console was the most searched-for product on eBay, followed by the Wii Fit companion product. Consumers snatched up 3,171 Wiis over eBay, at an average selling price of $349, followed by the Wii Fit, with 1,059 sold at an average selling price of $140.

Market watchers pointed out that, in the dire economy of 2008, online shoppers and consumers generally were likely motivated by widespread discounting by anxious sellers.

"Consumers are responding to aggressive promotions and price drops on popular electronics," Ron LaPierre, president of PriceGrabber, said in a statement.

The NPD Group offered a similar assessment from the retail front lines on Friday:

The overall initial conclusion for Black Friday is that sales and traffic were strong, likely on par with prior years. Consumers were drawn by the appearance of bargains and low prices and electronics are increasingly the primary driver of consumers' interest in Black Friday shopping.

According to PriceGrabber, the following were the most popular products on Black Friday--nine of the 10 are gadgets, with the odd product out being one styling of the popular Ugg boots:

• Nintendo Wii console
• Ugg Australia "classic short" boot
• Sony BDP-S350 1080p Blu-ray disc player
• Samsung LN52A650 52" LCD TV
• Nintendo Wii Fit
• Panasonic TH-42PX80U 42" plasma TV
• Sennheiser HD 555 headphones
• Canon EOS Rebel XSi Black SLR digital camera kit
• Acer Aspire One AOA110-1295 notebook PC
• Canon PowerShot A590 IS black digital camera

The consumer electronics category that saw the largest gains from Black Friday 2007 was Blu-ray/HD-DVD players, up 147 percent, according to PriceGrabber. Headphones were up 103 percent. (By comparison, women's sleep and lounge wear was up 415 percent, women's boots were up 203 percent, and watches were up 202 percent.)

On eBay's Shopping.com, a GPS sold every 9 minutes and an MP3 player every 11 minutes. On eBay proper, the hottest products in those categories were the Garmin Nuvi GPS and the iPod Touch music player.

Apple seemed to have had a good Black Friday. Fortune's Apple 2.0 blog reported Sunday that on Amazon.com, 10 of the 25 bestselling electronics products (including three of the top 10) were Apple products, led by the iPod Touch. The Fortune report also said that by Sunday the iPod Touch had fallen to No. 4, with Amazon's own Kindle moving into first.

Despite the good returns from Black Friday, no one seemed eager to predict continued economic cheer through the rest of the holiday season.

"While this is an encouraging start for retailers, there's no guarantee these deep discounts will continue after Black Friday weekend, which could slow spending," Bill Martin, co-founder of ShopperTrak, said in a statement. "Additionally, consumers have just 27 days to shop this year as opposed to 32 in 2007, which may catch some procrastinating consumers off guard, leading to lower sales levels."