If you’re going to be spending this Black Friday, there is a way to do so safely.
This according to Salem Nyati, Momentum Group’s consumer financial education specialist, who says retailers are cunning as they’ve extensively studied how to leverage consumers’ buying behaviour, appealing to them on an emotional level.
Better than anyone, retailers know how to incite that “I need to have this right now” feeling and believe that they will be employing every best sales tactic at their disposal come Black Friday.
According to data from Zapper, although the transactional value for Black Friday 2023 was 5,5% lower than the previous year, the overall Black Friday weekend saw a 6% increase compared to 2022. Additionally, Cyber Monday transactions were up by 20% compared to 2022.
What does this mean? Even in tough economic times, retailers know how to get us to spend.
However, there’s no point preaching to consumers to avoid spending on Black Friday at all costs, says Nyati, as many are going to be spending regardless. “So let’s be savvy about it,” he says. “You’re excited for the annual Black Friday sale, and who can blame you? It’s been a financially gruelling year, and you want to take advantage of the discounts on offer.
“And so, whether it’s to get ahead of the Christmas shopping, or even just to purchase an item you’ve been eyeing for some time you’re planning on spending come Friday 29 November. However, with a little planning and discipline you can use this opportunity to save on items you need to purchase. But be aware of some of the tactics retailers use to lure you into spending more than you budgeted for and do your research so you can spot any fake deals.”
Nyati shares four tips on how to shop Black Friday safely.
Plan your purchases: This is one of those instances where if you fail to plan, you plan to fail. Make a list of the high-priority items as well as those that you or your family also need, but are less important. Then keep this list close to you during the sale, so you are not tempted to veer off course and purchase items you don’t need. It is important that whatever amount you have allocated to your Black Friday budget is not exceeded. Ideally, you would have started setting a little money aside in the months leading up to the day.
Know the numbers: A little prep will go a long way towards ensuring you do not overspend on bogus discounts come Black Friday. Once you have a list of items you need, do some research to identify what that product typically costs, and which retailer currently offers the best price. Add this information to your list so that when Black Friday comes, you are not misled with bright red banners declaring “40% off!”, and rather use the average pre-sale cost to indicate what the real Black Friday saving is.
Pause on purchase: For certain items, consider pausing and not buying them the second you see the discount live. Yes, we get that you fear possibly missing out and not getting the product you’re after, but bear in mind that retailers often offer further discounts on products they do not manage to sell on Black Friday. Last year’s data shows that most purchases typically spike between 07:00 and 09:00 on Black Friday. If something is on your “lower priority” list, consider holding off until Cyber Monday to purchase, and you could benefit from even further savings. Or, once the shopping mania starts to die, you might even realise that you don’t need the item that badly after all.
Know what to spend on – and when to sit out: Now is the time to get those things you needed, but were slightly above your affordability, such as a new pair of spectacles or car tyres. Taking advantage of the sale to purchase household essentials like nappies or groceries is also a good idea, as is attending to health issues. Black Friday also provides an ideal opportunity to get ahead of the back-to-school or Christmas gift shopping.
By that same token, purchasing items you don’t need because you are falling for the “buy two get one free” retailer tactic is a waste of money. And what on earth will you do with three hair dryers, anyway?
“Remember that regardless of the ‘sale’ tag, if you are spending on something that was never part of your plan or within your Black Friday budget, you are spending recklessly,” warned Nyati.
