Friday, May 24, 2024

BOGO....and Go into Debt


The term “spaving” is new to me.  I just learned that it means “spending more to save more,” and with that concept I am very much acquainted.  It’s like a “buy 3 for $5” sale when the regular price is $1.99 each.  So you would save 97 cents if you purchased three of whatever is on sale; and that seems to be the default action by most people.  But if you bought just one you would still save 32 cents: one-third the savings for only buying one-third the merchandise.  And that would make a lot more sense if you don’t need three of the item or if it is unlikely you would use three within a reasonable amount of time.  (Always read the fine print on a sale; sometimes it will indicate that you must buy the full quantity to get the sale price.)

As reported by CNBC, financial experts warn that falling for these sales, buying more than what is needed, purchasing unneeded items in order to reach minimum purchase requirements or free shipping thresholds, or “BOGO” deals can lead to overspending, deeper credit card debt, and financial stress.

So how to fight the urge to “save more”?  Some suggestions are to pay in cash (studies show we spend about 15% less when we pay with cash versus credit card), make online shopping harder by not allowing merchants where you commonly shop to store your credit card number (it’s also a good security measure), and avoiding vendors who are always advertising “limited time offers.”

But my favorite tool: math.  Do you really save more per item by purchasing more items?  And is the savings worth the extra expense?  Use a calculator if you must.  There’s probably one on your phone.  

How many people were taken in by this “sale"?


Really?  Four cents per plant?  That’s less than a one percent discount.  So if you load up with a dozen plants, you save less than half a dollar and probably don’t have room in the garden for them all anyway, if you even have a garden.  But at least you saved 48 cents.

Until next time,


"God blesses everyone who has wisdom and common sense." Proverbs 3:13 (CEV)