Black Friday deals: shop smartly, and save!

Black Friday is a highly anticipated event on the annual shopping calendar. To drive sales, many retailers offer significant discounts on a wide range of products, from basics to luxury goods.

It’s a bonanza if you want to buy items you wouldn’t otherwise be able to afford, or stock up on essentials ahead of the holiday season. However, it’s also easy to buy impulsively and end up with items you don’t need – or worse, fall prey to misleading advertising or a cyberscam.

Does this mean you shouldn’t make the most of a Black Friday bargain? Not at all! You just need to shop smartly and avoid the pitfalls.

Tip: Is debt preventing you from taking advantage of genuine deals? Consider debt consolidation.

The temptation of Black Friday sales

Black Friday sales may entice you to shop even when you don’t have ready cash or need specific items. This can lead to an over-reliance on credit.

Promotions may also appear to be more attractive than they really are – for example, when retailers inflate the original prices of products to make discounts appear bigger.

Social media also plays a role. The fear of missing out can persuade you to gratify short-term wants at the expense of your long-term financial prosperity.

Why Black Friday feels so irresistible

Black Friday is an emotional event, says psychologist Quinton Williams. It drives strong feelings that may lead you to set aside rational decision-making for instant gratification, which provides a “high” similar to gambling, he explains.

Retailers use marketing tactics to create a sense of urgency and scarcity, encouraging you to compete with other shoppers to find the perfect bargain.

This means you’re often more afraid of missing out on a bargain than motivated to acquire something specific you need. 

Psychological triggers behind the urge to spend

A shopping spree feels good because society celebrates excess and unrealistic expectations.

“Marketers know how to displace a negative emotion with false hope,” says Williams. The perception that you’re saving can lead you to ignore the fact that you may be overspending.

Unfortunately, the thrill of buying something new is often short-lived, leaving you craving more (or different) items, which can spiral into a never-ending cycle.

Williams says self-awareness and self-regulation are key to controlling negative emotions. “When we have a realistic expectation of what makes us feel needed or loved, we’ll be less inclined to shop to feel good.”

Plan for smart spending

It’s sensible to do some Black Friday preparation ahead of the event.

First, get a realistic idea of the value of the goods you’re targeting, and compare these prices with Black Friday “specials”. Before you get caught up in the hype, do the maths. If you’re getting 25% off an item that has been marked up by 50%, you’re not saving.

Next, make a shopping list. Do you really need all the items on your list? You may not need an air fryer, but you could well benefit from a new washing machine if yours is no longer working well.

Buy durable items that will improve your quality of life and save you money in the long run.

Set a clear budget before Black Friday

Take stock of your financial situation and decide how much you can reasonably afford to spend on Black Friday sales. Check your bank statements and credit card balances, establish your spending patterns, and use these to create a realistic budget.

Pay with cash or your debit card to avoid overspending.

If you’re shopping online, be clear about your spending limit, and only shop on reputable websites and with trusted retailers. Use two-factor authentication to reduce the risk of being scammed.

List your needs vs your wants

It’s important to understand the difference between “needs” and “wants”. Needs are essential for your survival and wellbeing, and include water, food, shelter, clothing, and healthcare, for example.

Wants reflect your desires and aspirations. Luxury items, designer clothing, fine dining, expensive gadgets, holidays, hobbies, and entertainment all fit within this category, and can drain your finances.

“With the festive season coming up, you may need to buy certain food items, and if you can do so more cheaply on Black Friday, then by all means go ahead and spend,” says Sylvia Walker, a financial planner, and author of Smartwoman: How to Gain Financial Independence and Create Wealth.

“However, luxury goods are not assets as they don’t appreciate in value. Experiences, while often priceless, can cost more than you intended to pay, if not budgeted for.”

Avoid last-minute shopping decisions

Planning is key to shopping successfully. It prevents impulse buying and buyer’s remorse, and helps prevent overspending, so you’re not left short on funds for essential expenses or future goals.

Walker points out that Black Friday is not the only opportunity to get attractive deals. There are websites that allow you to save all year round.

“Another strategy is to use points accumulated through a loyalty programme to acquire vouchers or goods,” she says.

To avoid impulse buying, spend less time online or in stores, reduce social media use, turn off notifications about Black Friday deals, and close shopping tabs on your browser to avoid being sidetracked.

Research deals in advance

Track the prices of major items to see if Black Friday “deals” are genuine. Compare prices across multiple retailers. Some may already have items on sale, making Black Friday discounts irrelevant.

Williams cautions that you should always make your purchasing decisions based on actual savings rather than hype. “Spend on a need if it represents a real saving – and on a want once your needs have been secured.”

Making the most of online shopping

When shopping online, add items to your cart but don’t check out immediately. Later, revisit your cart and consider whether you still need or want the items. This cooling-off period will allow you to decide whether the goods are really worth buying.

Use cart reminders to revisit potential purchases. This can help you stay within your budget and resist impulse buying.

Target fewer stores and consolidate your purchases. This streamlines the buying process, making it easier to keep track of your purchases and avoid duplicates. It will also help to keep you organised and on budget.

Remember the bigger financial picture

Approach Black Friday with the bigger financial picture in mind. Does your spending align with your financial goals?

Black Friday may be an excellent opportunity to shop ahead for the new school year, for example. Alternatively, you may curtail spending to bring specific dreams closer to reality, such as saving for a deposit on your own home.

“People who visit a casino but limit their spending on gambling to a set, affordable amount don’t play to win but to have a fun evening out,” says Williams. “View Black Friday as an enjoyable event that allows you to purchase something you really need at an affordable price.”

If you struggle to stick to a budget, use a budgeting app that will alert you when you approach your spending limit. This will help you be more mindful about your shopping choices.

How JustMoney can help you manage your finances

When considering Black Friday spending, take all the relevant factors into account, including your financial situation, money goals, and budget. Don’t make spending decisions in isolation.

Finding the right financial solution can be a challenge, but JustMoney has a range of tools to help you make good money choices. These include budget, savings, and other calculators, personalised financial products and services, and expert-informed articles.

Register now to access these, and view your credit score and credit report for free.

FAQs

1. What’s the best way to stick to a budget during Black Friday?

Make your budget realistic and try to stick to it. If you exceed an aspect of your budget, such as groceries, take care not to affect other aspects of it.

Make sure you can still pay regular expenses such as your rent, utility bills, and transport costs, and avoid buying on credit unless it’s an item you really need and it’s heavily discounted.

2. Are Black Friday deals really worth it?

This depends on the deals available and how disciplined a shopper you are.

If you’re looking for big-ticket items such as electronics, appliances, or furniture, you may be able to get substantial discounts. If, for example, a stove usually priced at R8,000 is discounted to R5,500, the R2,500 saving will make the deal worthwhile – provided you’ve done your homework and confirmed it’s the best deal around.

Discounts on goods you can buy in bulk, such as groceries, toiletries, and other essentials can also be worth it, since you’ll need to purchase these goods at some point anyway.

However, cautions Walker, buying a laptop at a 40% discount, for example, is not a bargain if your current laptop is still working well and the purchase prevents you from building up your emergency fund.

It can be to your advantage if you make intentional, needs-based purchases that offer genuine value. Just make sure they don’t derail your longer-term financial plans.

3. How can I resist impulse buys on Black Friday?

Unsubscribe from promotional emails, use an ad blocker online, and reduce your time on social media.

“Find gratitude exercises online and appreciate all the items you already own,” says Walker. “Do you really need more clothes or accessories?”

Williams says the joy of a purchase is typically short-lived, while financial regret lingers. “Do a cost-benefit analysis to work out if acquiring the item will be worth it,” he suggests.

Reward yourself for resisting temptation in non-financial ways, such as spending quality time with family and friends, devoting time to your favourite hobby, or practising self-care.

4. Should I use a credit card on Black Friday?

Credit cards are convenient, and often come with rewards programmes and superior fraud detection, so it makes sense to use them. However, exercise caution. Overspending on your credit card can lead to debt and unaffordable interest charges. If you do use your card, determine how much you can afford to spend, and stick to it.

If you’re likely to overspend, it’s best to pay with cash or a debit card.

5. What’s the best way to avoid high-interest financing options during sales?

Avoid taking out high-interest loans to finance purchases, including during Black Friday. Instead, save up to buy the items when you have the cash.

Limit your spending to what you can afford. That way, you can enjoy the benefits of sales without falling into debt. Your long-term financial health should be your number one priority.

Need budgeting help ahead of Black Friday? Take control of your finances with JustMoney’s handy budget calculator.