RETAILERS have a number of sneaky ways of getting you to part with your cash – here’s how to avoid falling into the trap.
Shopping expert Liisa Matinvesi-Bassett has revealed the sales tactics that you should be aware of before parting with your hard-earned cash.
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Rollercoaster pricing
Rollercoaster pricing is when a retailer gradually hikes a product’s price, before suddenly dropping it down, and advertising it at a discount based on the highest previous price.
This kind of pricing is sometimes referred to as a “fake deal” and is prominent around big shopping periods like Black Friday and Christmas.
An example of rollercoaster pricing is if the retailer claims a discount of 50% compared to the previous day’s price, but if compared to the price 30 days ago – it might only be 20%.
Liisa’s advice on navigating this is having an awareness about this tactic in the first place.
She said: “If you have an item on your wishlist, check out its price history to see what its average is and be mindful of sudden increases.”
Price tracking apps like PriceSpy can help you monitor changes and there’s also Amazon price tracker CamelCamelCamel.
Yo-yo pricing
Yo-yo pricing refers to prices going up and down at regular intervals, this can happen as frequently as every few days.
Prices are lowered for a short period of time in order to boost sales, before they’re suddenly increased again.
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Retailers might brand these as “flash sales” or “one day only” offers to get your attention.
Liisa’s advice on this is to not jump too soon to grab that bargain.
She said: “With yo-yo pricing, an attractively discounted price is rarely the last opportunity to bag a bargain.
“Chances are, you’ll see this same price again. Therefore, set up price alerts and be notified when a product drops in price to a level that you’re happy to pay.”
As well as PriceSpy you can also use sites such as Pricerunner and Idealo to help you compare prices and set alerts to tell you when costs drop.
Gender-based pricing
Research has found that depending on the item brands and retailers offer very different prices for male and female versions of what is essentially the same product.
This kind of pricing is especially common in beauty and clothing.
Men are typically charged more for outdoor gear whilst women face higher costs for beauty items.
Liisa’s advice on navigating this tactic is look for alternative aimed at the opposite sex.
She said: “To help save money, given products are often so similar, despite how they’re marketed or branded, shoppers may benefit from being open-minded about buying products marketed to a different gender.
“Compare men’s, women’s and also unisex versions to see how different they really are, and then which is cheapest.”
Bundle pricing
Bundle pricing is when an item is offered “for free” when purchasing a certain product.
Retailers sometimes run promotions like this when they have surplus stock for the additional item or when they are looking to boost sales of a certain product.
However, often the price of the main product will have been hiked to account for the additional “freebie” meaning that the item is not free at all.
Liisa’s advice on this is not to get blindsided by seemingly attractive bundle pricing.
“Do you need, or even want, the additional product?” she said.
“If not, it’s not worth buying this bundle. Or if, in fact, you do want this additional product, then it may be a great deal for you.”
One way to avoid falling for these offers is to make a list of items you are thinking of purchasing rather than buying straight away.
Your less likely to fall for the offer if you’ve had time to think about it.
Pressure pricing
This kind of pricing is common in online retail and physical shops and can be recognised by phrases like “only one remaining”, “last chance” and “get it before it’s gone”.
Other tactics include countdown clocks which – often falsely – imply that a sale is about to expire.
Liisa’s advice on navigating this is not to panic
She said: “Look at the availability of the item in other stores to understand if there’s any real urgency to buy it now.
“Whilst one retailer may be low on stock, others may have plenty.”
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