Beware: 7 retailer tricks that make you spend more

If you are planning a shopping binge this festive season—online or offline—make sure you don’t fall prey to these retailer tricks.

Decoy Pricing

This tactic is used by many stores.

If a product worth Rs 1,000 is placed next to those worth Rs 500 and Rs 1,100, you are likely to pick the Rs 1,000 product and think of it as a good deal.

It’s a diversion to make the costly items seem economical. It’s also used in restaurants, where menus list high cost items next to cheaper ones.

Open the Wallet

At the checkout counter, have you noticed small items like low-priced wallets, accessories, snacks and chocolates?

They are there for a reason. After an exhaustive shopping session, you are an easy prey with little self-control. So you will easily succumb to chocolates and small items.

Downloading Apps

How many e-commerce apps have you downloaded on your phone?

Even if you are not an avid shopper, you may succumb to regular alerts and messages of early-bird notices and buy things just because they are on sale or make impulse purchases for items that you don’t really need.

Free Samples

The free sample stations strategically placed in malls and grocery stores are not just a marketing strategy for a new product or eatable, but are also intended to make you linger around and buy other items placed in the area or aisles positioned next to these stations.

Mesh Bags Costlier

Did you think the vegetables packed in mesh bags were for your ease of picking and carrying?

Not always. They are costlier than loose items, and may also be a mix of good and damaged items.

So it may be more cost-effective to spend five more minutes and pick the vegetables by hand.

Small Packages Sell Big

If you think you are saving money by buying items that come in packs, say, a six-pack of juice cartons or probiotic packs, think again.

Research shows that you invariably end up consuming more over time, a smart way to make you spend more each time.

So unless you are entertaining or planning a trip, try not to go in for the ‘economical’ packs.

Discount Traps

‘Buy one, get second at ’50 per cent’ or ‘Buy one, get one free’ don’t make for good offers.

The first one is only providing a 25 per cent discount on each item. In the latter, the price may cover both items.

Online sales may also offer discounts with limited validity or on the next purchase.

Originally at http://m.economictimes.com/slideshows/investments-markets/beware-7-retailer-tricks-that-make-you-spend-more/discount-traps/slideshow/54386057.cms

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