Are you a sucker for a discount? If so, you’re not alone.
In our current retail landscape, sales are everywhere. They are a time-honored tradition meant to save the consumer money on their purchases. But do they actually save people money, or do they cause you to spend more? To figure out what’s best for you, it helps to first understand how discounts work and how they are advertised to consumers. Generally, sales are conducted to promote consumer spending. So while they might help some people, they may also cause people to spend more than they otherwise would have.
In other words, depending on the nature of the sale, one or the other may be more likely. To figure out whether a given sale is in your best interest, you might need to take a closer look:
- Examine your shopping habits.
- Consider your financial situation.
- Determine how much this purchase really means to you.
Why Some Consumers Can’t Resist a Markdown
Let’s face it: most people love a good sale. They are viewed as a great opportunity to save money on items whether you truly need them or not. For businesses, sales are also a great way to get rid of old inventory so shoppers can often find good deals on clearance items, and to make room for new inventory. Sales are one of the most powerful tools that retailers have in their arsenal. They attract shoppers, move merchandise, and help boost profits.
But why do shoppers love sales so much – and is falling for the latest markdown going to be a waste of your hard-earned dollars? It has been proven time and time again that shoppers love sales. This is likely because sales make people feel like they are getting a good deal, even if the item is not discounted by very much. Sales also create a sense of urgency, which encourages shoppers to buy items that they may not have otherwise purchased.
Pay Attention to Your Finances – and How You React to Discounted Items
If you find them difficult to resist, it may help to take a more neutral look at what’s really going on in stores and online when discounted prices are offered on items. Shoppers love sales because they provide an opportunity to save money on items you need such as groceries, as well as a chance to buy products that they can’t normally afford. It’s no wonder they are such a popular phenomenon for many people. In the best of circumstances, they are a great way to save money on goods that may be out of your budget.
However, there can be an emotional side to sales, and that’s where shoppers should exercise some caution and restraint. For one thing, sales often come with a sense of urgency – such as a 24-hour deal that will vanish tomorrow – and even a sense of competition. When websites post that only one item is left in stock or that a plane trip to Cancun has only two seats left, consumers can cave to pressure to hit the “purchase” button. For others, pursuing discounted items is about the thrill of the hunt – not making sure your finances are in good condition. They may buy things just for the sake of buying them and end up with a closet of clothing with the tags still hanging off of them.
Sales Like Black Friday Can Save You Cash if You Compare Prices First
Sales can be a contentious issue, especially for couples who have different ideas about how their money should be spent. Some people believe that they always save money, while others are convinced that they cause people to spend more. Considering that money problems are a leading cause of divorce, it is worth taking a look at the larger context and considering what is going on in your life that could be impacted by your spending.
That said, it is a common misconception that sales only serve to deplete one’s finances. In actuality, if one takes the time to compare prices and make strategic choices, they can save a significant amount of money by shopping during sales. A prime example of this is Black Friday, where almost every store has some sort of sale going on. By being mindful of what one needs and planning out their purchases, it is entirely possible to save money on Black Friday.
Visit Your Local Currency Exchange (CFSC)
To be sure, many folks save money buying things on sale that they were going to buy anyway. Just keep in mind that while sales can be a good thing, they can also cause you to fall into a cycle of debt. The best way to be financially healthy is to take control of your finances, be aware of your spending habits, and make an effort not to overspend on unneeded items.
When you stop by your nearest Currency Exchange (CFSC), you can stay financially organized by taking care of important tasks under one roof – from check cashing to getting your car registered to loading up your prepaid debit card. Best of all, there will be no pressure to spend on unnecessary items.
At CFSC, we understand the importance of our customers remaining financially stable. To take advantage of our many financial services, find the nearest CFSC location to you and stop on by!