Sales are designed to ease off financial pressure by reducing cost of acquisition. We are well into the Dubai Shopping Festival and we’d like to share a few tips for a successful shopping experience.
1. What to Spend. Allocate a budget to spend on DSF Sales before you hit the malls. Setting a maximum limit will ensure that you don’t go bust and maintain focus on buying relevant stuff. Use the Borrowing Power Calculator – a free tool available on moneycamel.com, to determine the maximum amount you can spend and repay comfortably.
2. Make a priority List. As clichéd as this may sound- list down the things you need and you will save time and money by staying focused. This is one of the important principles of spending wisely. Make a detailed list of various categories such as clothes and accessories, beauty products, furniture, accessories etc.
3. Deal or No Deal? The value of any item is determined by how much you will use it and not by how much it is marked off. Not every pretty thing is really worth collecting. So if you’re not really planning to visit someplace cold this year, avoid buying the warm coat on a 70% discount. Consider the state of things on a massive discount- you should avoid buying things that are not your exact size, look worn out and may be out of fashion soon.
4. Compare before spending- Do you buy from the first available avenue or do you compare prices? For any big expense such as on Electronics, Furniture always compare prices instead of taking the first available offer. You will be amazed to see the price differential for the same thing at different stores albeit the high end shops. The same principle applies for financial products especially Credit Cards and Loans. Compare the cost and benefits online before you sign up for one.
5. The VIP principle. Focus on buying the most important and most expensive items first. For instance buy the main piece of furniture before you start buying accessories like lamps, carpets and table art. This principle ensures that all your shopping is well aligned and that you save the most. Even a small discount on a big-ticket purchase will amount to more savings than a bigger discount on smaller things.
6. Shopping for fun. If you went through all the planning tips to discover that you don’t have a long list to shop but a strong urge to shop just for fun…well, go ahead and do that. Shop for definite events in the near future like summer travel or gifts for upcoming birthdays and special events. Have fun saving and being organized.
7. How to Spend. Use your credit like a debit card to shop. Be prepared to pay your credit card bill in full and make the most of the reward points linked to spend. The right credit card can get you reward points to get extra discounts as cash back, a free air ticket or even a month’s phone bill. If your Credit Card does not get you real reward, switch to a better reward card. Compare more than 120 Credit Cards online and find the one that suits your best.
Make the most of the DSF 2014!