Retailers employ all sorts of little tricks to keep you in the mall, spending happily. If you look out for these, you may just be able to save R100 here and R100 there — which, as we all know, adds up. If you’re used to buying items you don’t really need, this advice from Liberty is for you.
The supermarket
As much as 70% of grocery purchases are unplanned. Supermarkets put everyday items at the back of the store so we have to walk past more shelves. And we usually spot items we like. A particularly annoying tactic is to relocate popular items in the store, so you are forced to go walkabout. Layouts also keep you moving slowly. Frustratingly placed displays are not bad organisation: you are supposed to be drawn to alluring displays and get into a bottleneck.
The best way to immunise yourself against supermarket tactics is to make a list and stick to it. Watch out for so-called deals. Usually only the most expensive items are marked down: R1 off premium coffee is not a deal when you can buy a less prestigious brand for R20 less.
Bars
Even a “quick drink” with a friend can turn into a budget-breaker. When was the last time you were in a bar with soft music? Loud music is there for a reason: to stop you getting into deep conversation, because people in that space don’t drink as much. You also become less aware of spending as the alcohol takes effect. Bars are money pits.
Restaurants
The waitress is not being nice when she asks if you want starters — she is increasing her tip and the restaurant’s turnover. If you really want three courses, go ahead, but — well, you don’t do that at home, so why do it when you go out? Think before you order, about whether you really want each course; and make sure you enjoy every special bite.
How to increase your self-knowledge
Keep your receipts and separate them into two categories: “essential buys” and “impulse buys”. For instance, bread and milk is necessary, a bag of chips is not. Next, add up the receipts and book entries; and look at your “impulse buys” total. Most of us find that quite alarming.
Now get more sophisticated. Look at your grocery purchases, specifically convenience foods. Pre-packed, cut and cooked foods can cost up to 50% more than unprocessed products. Frozen convenience meals are very expensive — a frozen pasta meal may cost as much as R20 and the serving will barely feed one. You could cook an entire pasta meal for four people for R30 if you bought the ingredients yourself.
Shop smartly and avoid the pain of a post-Christmas financial hangover — you’ll be glad you did.
Read more news, blogs, tips and Q&As in our Smart Money section. Post questions on the site for independent and researched information