November 21, 2016
Written by Kristin Gross, La Casa De Esperanza
During the holiday shopping season, many stores use tricks to get shoppers to spend more. Below are some of these sneaky strategies so you can be aware and stick to your budget:
Supersized Carts
Studies show that how much you buy is proportional to the size of your cart. The bigger the cart, the more you buy. Use a basket instead.
Nostalgic Music
Sound is a powerful motivator. We spend 17% more when nostalgic music is playing rather than generic music.
Increase in “Vani-sizing”
Stores often make clothes bigger so we think we fit into a smaller size.
Offering Free Samples
Think twice before accepting that sample of caramel corn. Munching on free samples will trigger your body to think its dinner time. Studies show that 40% of people who accept in-store samples will begin buying food even though they never planned to do so in the first place.
Change in Smaller Denominations
According to one study, breaking a $100 bill is 48% harder for shoppers than spending the exact same amount in smaller bills. Stores play into this by giving change back in smaller denominations.
Built-in Interruptions
Interruptions come in many forms – texted coupons, P.A. announcements, and light-and-sound displays. The latest studies prove that when we’re interrupted, we lose our focus and become more likely to spend. In fact, we’re 35% more likely to make a purchase and willing to spend up to 15% more for the very same product after an interruption.
While you can’t change the way retailers try to get you to spend more money, you can keep more money in your wallet by being aware of these subtle tricks. Happy shopping!
Kristin Gross is an Asset Building Coach for the Financial Stability Initiative at La Casa de Esperanza, in Waukesha, Wisconsin. The Financial Stability Initiative is a partnership between La Casa de Esperanza and the United Way of Greater Milwaukee & Waukesha County. Kristin has her Bachelor’s degree in Personal Finance from the University of Wisconsin – Madison. She is a financial coach and educator working with individuals and families on obtaining tools for financial capability by meeting basic needs, building savings and gaining assets. She enjoys sharing her knowledge of personal finances to positively impact the lives of others.