Black Friday has become a familiar term, representing the biggest discount shopping event worldwide. Every year, millions of consumers eagerly await this day to hunt for Black Friday sales and kick off the year-end shopping season.
However, a big question often arises: Why is it called Black Friday? Is the name "Black" related to some negative event? This article delves into the history and decodes the two main theories—one being the positive accounting theory and the other being the negative historical theory—behind the origin of this name.
This theory is the most common explanation today, and it is the positive meaning of Black Friday favored by retailers.
In accounting, the color of the ink used for bookkeeping is crucially significant:
Red Ink: Symbolizes a financial loss or negative cash flow. When businesses record entries in red ink, it signifies they are reporting a loss.
Black Ink: Symbolizes financial profit or positive cash flow. Recording entries in black ink means the business is making a profit.
The Friday immediately following Thanksgiving is the time when Americans typically rush out to shop for the upcoming Christmas season. The sudden explosion in sales on this day causes retailers' revenues to skyrocket.
Therefore, Black Friday is seen as the day when many businesses officially shift from reporting losses to reporting profits in their fiscal year, moving from recording entries in red ink to black ink. Consequently, "Black Friday" signifies a lucky "Black" (profit) day, marking the revival of the economy toward the year's end.
This theory is considered the more historical and negative origin of Black Friday, stemming from a specific city.
The name "Black Friday" is believed to have originated with the Philadelphia Police Department in the 1950s – 1960s.
After Thanksgiving, residents from the suburbs would flock to downtown Philadelphia for shopping and major sporting events.
Police officers and traffic control personnel used the term "Black Friday" to describe the fatigue and negative aspects of that day because:
Traffic Chaos: Streets were severely gridlocked, making traffic control and movement extremely difficult.
Overworked Staff: Police had to work non-stop, without rest, to manage the massive crowds, petty thefts, and minor accidents that occurred continuously.
The police in Philadelphia coined the term to describe a terrible, stressful, and entirely negative workday. Although retailers attempted to rename the day "Big Friday," the term "Black Friday" spread and became widely accepted.
Regardless of whether the origin of Black Friday came from traffic chaos or accounting ink color, today, its meaning is entirely positive.
Positive Meaning: Black Friday is a global symbol of economic growth and excellent shopping opportunities for consumers. It officially marks the start of the year-end shopping season.
Black Friday 2025 Timing: Everyone is eagerly anticipating November 28, 2025, to take advantage of the massive discounts.
Today, the term Black Friday is no longer reserved for traditional brick-and-mortar stores (as in its original context) but is widely applied to online promotions, forming a global shopping spree that often lasts the entire weekend.
The question "Why is it called Black Friday?" is answered by a fascinating intersection of history and finance.
The initial theory described chaos (negative meaning).
The later theory described profit (positive meaning).
Regardless, Black Friday has surpassed its historical origins to become a global symbol of shopping opportunity. Be well-prepared to make the most of the upcoming Black Friday 2025!