It’s only November, but it’s already time to start your Christmas shopping in earnest, if you want to stay ahead of the rush and increasing prices, says Michael Andre Collins, Ambassador of the JN Foundation’s BeWi$e Financial Empowerment Programme.
Mr Collins noted that with widespread supply chain disruptions and labour shortages in the United States and elsewhere and a rise in the prices of goods, including food, saving Christmas shopping until mid-December could be too late and could see shoppers losing out on major savings.
Surveys in the US show that more persons are shopping earlier this year. According to a RetailMeNot survey of nearly 1,100 consumers, 37 per cent of shoppers began their holiday shopping between August and September, if not earlier. An additional 22 per cent said they planned to start shopping in October and 24 per cent planned to start in November ahead of Thanksgiving.
To help shoppers get ahead of the crowds and price increases, Mr Collins shared a few tips:
Start Budgeting Early
Michael Collins, Head, JN Bank Youth Banking Unit
Mr Collins, who also Heads JN Bank’s Youth Banking Unit noted that it’s important that persons make a realistic budget and stick to it. “This is something you should practice all year round, but especially as we head into the holiday season, which often brings additional expenses,” he said.
“Think about where you can make a few adjustments in your current budget to make room for holiday expenses,” he advised. As a start, he recommended that persons review their purchases over the past few months or cancel unnecessary subscription services. Also, avoid spontaneous or unplanned spending.
Shop with Your Credit Card
Mr Collins noted that complemented by a budget, persons can also use their credit card to maximise their savings on each purchase.
“One easy way to do this is with a card that offers rewards, loyalty points or other member benefits, through participating merchant discount providers. This will guarantee some sort of return on your spending on spot or in the future, adding value not only during the holidays, but also on your regular everyday spending throughout the year,” he said.
Mr Collins, however, cautioned that persons should ensure they have a plan in place to pay off their credit card balance when it becomes due or within a reasonable time if they must carry a balance. “Credit cards carry high interest rates, so any rewards you earn will quickly be wiped out if you accrue interest, late and over-limit charges. But with responsible use, earning instant discounts or a few rewards points on your spending can really add up significantly over time, and help you earn big savings, over the course of the holiday shopping season,” he said.
Consider Shopping Online and With Discount Merchant
“Online shopping was already a great way to get your holiday gifts before the COVID-19 pandemic, and it is an even better option now, especially locally. You can safely purchase what you want from home, without encountering a store full of people,” he stated.
Mr Collins further noted that, another advantage of shopping on the internet is that people can take advantage of several deals, which may be offered exclusively online.
“Look out for Black Friday and Cyber Monday deals, which may help you to save money on Christmas gifts and other supplies,” he advised. “You can also quickly comparison-shop, look for coupons, and even earn instant cash back from participating merchants who’ve partnered with your bank or credit card provider.”
Research Price Fluctuations
“It’s easy to get swept up in the Black Friday, Cyber Monday, and other big-name deals floating around this time of year. But don’t assume the sale price is always the best price,” further cautioned Mr Collins. He advised that instead, persons should compare prices across websites and look for coupons to bring their prices down even further. “If you already know you want to buy a specific item, start browsing prices now so you can spot a good deal when it appears,” he said.
He recommended sites like JNRewards.com for up to 20 per cent instant merchant discounts locally and CouponFollow.com in US that aggregate coupons by store names, so online shoppers can check to see if the store they’re shopping at has any deals available.
