It’s no surprise that the end of the year comes with a lot of financial burdens. With the festive season creeping up, most of the UK population will be gearing up for Christmas, which involves a lot of presents for other people, a lot of food and a lot of alcohol – on top of any other recurring expenses.
The Smart Shopper Index conducted by BravoVoucher earlier this year has shown that the UK likes to spend almost as much as they earn, only being able to save 1% of their income overall. So this begs the question – what does it mean to be a smart shopper?
Smart shopping refers to the act of making considered purchase decisions through knowing which retailers provide the best price for certain items, whether there are any upcoming sales which will dramatically change the price of the product you require and how urgently you need the product. Although it may sound intimidating right now, once you get into the habit of making a plan before buying something, you will realise how convenient it is!
There are a few key things to remember on your journey to becoming a smart shopper. First of all, remember that budgeting is key. Smart shoppers live by their calculated budget in order to make sure that they meet their optimal savings each month. Sit down every month and go through your expenditure – is there anything you can cut back on? Is there room to move some of your outlined budget from one kind of expense to another? By dedicating time to planning your spending, you could save and enjoy your life at the same time!
Another thing to keep in mind when it comes to smart shopping is to try and plan your purchases. Forecasting your needs beforehand will help when it comes to sticking within your budget. If you know that you will need to buy a coat for winter before August, you could save a lot of money buying it during summer sales when retailers are trying to get rid of last year’s winter collection!
It’s understandable that you may have a few last minute expenses which you can’t avoid, and you should have leeway in your budget to account for those! If everything you purchase is on a whim, you may not have any sort of emergency fund to rely on in case something happens and you need to spend money immediately.
Being a savvy shopper means not being afraid to buy second-hand. With the rise of thrifting culture and vintage shopping, purchasing pre-loved items has become a norm and is also a great way to cut back on your expenses. Although thrifting can take longer, as you need to look through what’s available and whether it would work for you, going in with a clear idea of what you need to buy will help! And if the item has a little bit of wear and tear, think about how you can mend the piece rather than disregarding it all together – being a smart shopper can make you a conscious consumer too, which is great for our planet!
One last tip for all of you trying to make smarter buying choices – having a credit card is good, but don’t abuse it! Credit cards are great if you have big purchases that you need to make and you’re still waiting for next month’s paycheck. However, you need to ensure that the amount coming into your account is more than the amount you’re spending on your card, to ensure that you don’t end up picking up interest on your credit card bill later on. Remember – be smart!
Becoming a smart shopper can help you in a variety of ways and by following the advice in this article, you will hopefully be able to see the difference in your bank balance!