Posted on 05/19/2024 8:40:12 AM PDT by Libloather
"Spaving" – spending more to save – is an old "trap" with a new name hitting grocery stores, retailers and even online gambling.
Though there are times "spaving" is worthwhile, one personal finance expert outlined how consumers can avoid becoming the "victim" of the marketing ploy.
"The whole concept of ‘spaving’ is to get consumers to buy more," Kuderna Financial Team founder and "What Should I Do with My Money?" author Bryan Kuderna told Fox News Digital.
"You see different examples like that all throughout the economy. And where it hurts the consumer is if it encourages them to essentially waste money to buy more than it's necessary, just so that they feel like, okay, now I'm getting the deal."
Some of the most prominent "spaving" deals are promotions like "buy one, get one," in-store "cash" to use on future purchases, free gifts or even programs like "subscribe and save."
"They're all just different marketing ploys to get consumers to buy more, and in certain instances that works great," Kuderna said. "If we're using coupons to get what we need, and we also got a bargain at the same time, then certainly it's a win-win. But as we see so many times… it's not."
Americans have been struggling under the weight of inflationary pressures for years and higher prices after COVID lockdowns prompted more households to rely on credit cards to make purchases.
From 2021 to the end of 2023, credit balances jumped 47% – the steepest three-year climb on record. Credit analysts also predict the 2024 first quarter credit card debt will likely smash record highs.
(Excerpt) Read more at foxbusiness.com ...
So called “spaving” is only a problem if you don’t understand math.
Maybe the EV companies will start two for one deals. While you’re driving around and draining the battery in one car, you can be charging up the battery in the other one.
Brandenomics is ‘shrinkflation’- spending more to get less- then telling folks they need to spend more to ‘save more’
OK at math though calculus was easier. What I don’t understand is the ‘so called’ language these days.
Free Shipping!!!!!
The idea isn’t wrong. Paying extra to get the best quality possible on appliances or tools is often a very wise investment. It avoids the buy one and then a replacement and then a replacement scenario we are all used to.
Used to plow driveway (snow) for a neighbor who was the Pres. of S&H in the 60’s. A friend used to put green stamps on US mail. Went right on through.
Grocery store tactics.
I think there are plenty of people who might have fallen for that gimmick, but are really unable to even consider partaking in it.
A friend had a philosophy on purchases. If you think a tool is needed, buy a cheap one. If it wears out, then buy the best available.
What I see to be wary of is a “sale”. Price reduced X%! From what? Usually reduced from an inflated price. People are not good at keeping up with what things have cost. You have to keep records. A “sale” the other day on PVC pipe reduced it from $25 a joint to $20 a joint, if I shop I can find it for $16 a joint not on “sale”.
It amazes me that there is an article playing this up as a “trap” that needs to have an “alarm.” Its a trap for stupid people. If you need a couple of the items, then “spave” to get the extra. If you only need one, then only buy one. If you are so stupid that you buy two or three even to get an extra even though you only need one, you need adult supervision when you shop.
Too many cheap tools break on first use.
I only use those deals if it is something I use anyway and a product I would just put in the freezer for a meal later in the month. For instance, Kroger often has a frozen vegetable we like on sale for a dollar off each if you buy five. That’s a good deal so I take advantage of it.
Too many people don’t realize that on some grocery items, “buy one get one free” deals mean if you just buy one, you get it for 50% off. Check the label to see if you actually have to buy two to get the discount.
I always called it girl math. Hey honey how much did you spend cloths shopping? “$500, but I saved $800!”
I always liked the saying that a man will spend $2 for a $1 item he needs, while a woman will spend $1 for a $2 item she doesn’t need. There’s truth in that.
when a Republican is president, all the poor are eating dog food, when a Democrat is president, the poor just don’t know how good things really are!
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