If you’re guilty of making impulse purchases and regretting them later you are not alone. Buyer’s remorse is more common than you think.
A new study by Choosi has shown that a whopping 90% of Aussies find purchasing decisions tough. With so many choices and less time than ever to hit the shops, we are more vulnerable to buyer’s regret. Here are a few tips to curb your impulse purchases so you can spend your hard earned dollar on things you actually value.
Avoid Buyer’s remorse…At the Grocery Store
You’re feeling hungry so it’s the perfect time to hit the grocery store right? Wrong! In a recent survey, almost a third (32%) of participants admitted to making impulsive food purchases because they were hungry. It’s easy to over shop when your stomach is rumbling. Eat before you go so your head can rule your stomach. Try to avoid shopping during meal times and make a list before you head out so you can stick to it.
Tip – It’s a common tactic for supermarkets to put the most seductive items by the register. Ignore the tempting treats and snacks, stay on course and stick to your list. If you haven’t got it by the time you hit the check out, you don’t need it!
Avoid Buyer’s Remorse…With the Kids
There’s nothing better than putting a smile on the face of your kids, until you realise that expensive toy you bought them has gone from fun to fad. Research shows that 24% of Aussie participants experience buyer’s remorse when spoiling their kids. An expensive toy looks great at first but as kids grow and mature their tastes change drastically. Consider the potential longevity of a toy before you buy. A good idea is to consider the purpose of your spending. If the little ones have their eye on a certain book, consider taking them to the library to experience it there.
Tip – Use the ‘smile factor’ as your reference point. If your kids smile playing with your old phone then you don’t need to buy a smile through an expensive toy phone. If they smile at the public playground swings then you don’t need to buy a smile taking them to ride a pony at the zoo.
Avoid Buyer’s Remorse…When you’re on Holidays
We all love a little getaway from the daily grind. With a different currency in your wallet and so many stimulating things to see and do it’s easy to lose track of your budget and make poor purchasing decisions. In fact, data from Choosi reveals that 50% of Aussies engage in frivolous spending when on holidays. Avoid coming home to debt by working out a budget and taking out cash, that way you can’t overspend on your credit card. Planning the activities you want to do before you go will help you understand your financial responsibilities and avoid making emotionally based decisions when you get there.
Tip – Aim to experience one free activity for every day you travel. You’ll find a number of festivals, tours and experiences that won’t cost a cent but will still blow your mind.
Avoid Buyer’s Remorse…When you’re shopping online
Online shopping has made it easier than ever to grab that perfect item of clothing. However it’s also easier to overspend when you’re bombarded with deals and discounts and the promise of express shipping. Avoid online shopping remorse by limiting the number of email subscriptions you receive. Set yourself a rule – if you still want it in three days, buy it. This will give you a chance to see if it’s truly your heart’s desire. If you do need to shop online, make a list and stick to it.
Tip – It’s super simple but super effective. Just delete your saved credit card details. It’s easy to hit ‘buy’ when all the details are ready and waiting, but when you have to go and find your wallet to find your credit card just to copy out a string of numbers, you’ll realise that certain online items aren’t really worth it after all.
How to Avoid Buyer’s Remorse…When Your Heart is Ruling Your Head
We’ve all been there – when it comes to matters of the heart the highs can be high and the lows can be low. It’s easy to lose sight of your financial focus when your heart rules your head. In fact 41% of Australians admit they make emotionally based decisions that contribute to buyer’s remorse. When you’re in an emotional state avoid retail therapy, leave the wallet at home and go exercise.
Tip –When your heart hurts, avoid retail therapy and hit the gym instead. Getting the blood pumping is a surefire cure for the blues. When your heart sings, avoid retail therapy and get creative instead. Nothing says “you’re special” like creating something yourself – a song, a poem, a card, a picnic, get creative.
When it comes to your spending, the best way to start feeling in control is to put a budget in place. Don’t commit to spending without understanding how much money you have in your account. Avoid buyer’s remorse with these tips and tricks and feel confident in your spending again.
Check out the full study here.