The Smart Shopper Guide

(So, here goes my very first article for Cynful-Indulgence.... And no, I'm not an advocate of the Shoppaholic Anonymous support group, if such group ever exists! I am, however, not shopperholic, despite the fact that I have been working in retail for more than a year.)



The Friend and Nemesis: Credit Card

Come on, you can admit it. We've bought stuff we DON'T really NEED. (Actually, it's what we don't really want, but it will be nice to have!) Yes, impulsive shopping can give quite the high; the legal kind of high -- it feels almost therapeutic to indulge ourselves every once in a while. While our sort-of reckless consumer spending will no-doubtedly help with the economic cycle, it's going to drop our jaws wide when the credit card bill arrives. (I've gotta say, as a retail associate... I love the existence of credit cards and layaway plans. Hurrah, commi$$ion$ for sales!! Oh, yes... credit.)


Attack Tactic 1: Up, Up, Down, Down, Right, A, B
Of course, if you are credit diligent, you would pay more than the minimum payment within 21 days from the date of purchase. Ideally, you will pay it all off within 21 days, so you won't have to pay much accrued interests. Oh yes, I hate my credit card bill too, but I was smart and relunctantly resisted the temptation of increasing my credit limit when VISA called me. Oh, y'know... I get all these fancy points after making a transaction with my credit card, which I could redeem at a later time... for possibly an X-box console. (ka-zillion points more to go... and counting!)

Well, knowing my personal financial situation (as a starving under-grad student), I am in no financial position to be able to afford a credit limit increase because VISA would perform a credit check -- it hurts your rating a little.


Attack Tactic 2: The Three Words To Tell Yourself
"But, but, but... it's on SALE!! This is a good bargain!" Nah-uh. If it's fugly, it's on sale for a reason. If it does not fit you, three words: don't buy it! But if it is something you absolutely love and it is on sale, that's a super-bonus. I tell that to customers when I work too. You'd have to feel comfortable to use/wear it, otherwise it's not worth getting it. Well, you won't just date anybody... so, why lower your shopping standards?! I wish I had said that to myself earlier five years ago. I tried clearing out my wardrobe and found a few pieces that I bought that were on sale, but the fit wasn't just flattering at all. Nope, I haven't gained weight since I last bought it. I guess I bought it because I was hoping to fit into it eventually whenever I could become as skinny as I was before moving to Canada. Heh, that's not going to happen. It's kinda like keeping a frog as a pet and hoping that some day it will turn into a magical handsome prince. Croak.

Knowing what you have in your own personal wardrobe (or home, if you're re-furnishing; etc) helps. One strategic piece of new item, when mixed with an existing item from your collection, could make a whole new outfit = for a steal of a deal!

Another reason to convince yourself to NOT BUY IT... is to combat collecting clutter. Oh yes, yet another C-word. It is unhealthy in the similar sense how over-eating would lead to obesity and heart-attack. Again, I've sort of learnt this the hard way. Trust me, de-cluttering is not fun.


Attack Tactic 3: Dodge

Ah yes, crafty/indirectly pushy sales-people. OH GOD, this may be slightly off-topic, but I had to watch a sales video when I started my first retail job at a family owned music store in the city. Oh, good ol' Tom Hopkins -- Legendary Sales Trainer and Author of Mastering the Art of Selling. I can't believe I had to watch it, but my boss (the store-owner) is a really good sly salesperson. Heck, he even sells stuff to his employees. I was mildly interested in an 80s American Guild acoustic guitar and I was asking if he could give me the Christmas discount (i.e. 15%), which is absurdly more than staff discount (i.e. 10%). I like the sound of the guitar: it has a unique warm sound to it -- the fact it was American-made was very intriguing. Of course, he tried gauging my interest in the guitar by asking questions... and put a time limit on this 15% discount deal. He bluffed (at which time I thought he was speaking the truth), "A gentleman from Cochrane just called and asked if we have any good old acoustic guitar. I told him we have two guitars, but I told him about the Guild from the 80s first, but he's not coming until this Wednesday to take a look at the guitar. But if you want it, I can show him another one that we have, which is the more expensive Gibson. So, let me know by Tuesday if you are getting it."

I was shopping for a vintage guitar. Vintage guitars typically range from garage sale prices to as high as they can go, depending on the condition and the make: where it is made, what year it was made, and who made it. I want one so badly, still. It is not easy to look for good affordable vintage guitars. Up to this day, I haven't found one yet. My amp-tech friend/coworker Mike and I usually drool together at guitars listed on e-Bay. Of course, I asked him for a second opinion on the American Guild. His answer? I wouldn't be happy walking out with the deal.

Phew, that was close! I totally dodged it. I stuck to my financial budget/saving goals. I bought a new semi-hollow Hohner electric acoustic guitar from e-Bay instead; I pretty much sort of upgraded from my Fender Squier Stratocaster, i.e. my first electric guitar, for half the price of what my boss was trying to sell the American Guild for. Heck, the American Guild is still sitting there... three months later.

The moral of the story: don't just buy something because someone is slashing the price for you for a limited time.

Final Attack Tactic: The Final Move to kill the Super-Boss -- P is for Planning your Purchases
While this would have nothing to do with shopping, it helps to plan when you are going to do an "impulsive shopping". It does sound like an oxymoron, but when you shop frequently and buy a few little items, it is better than doing a few impulsive shopping sprees that will leave a huge spiralling hole in your wallet. What you would be doing is that you are limiting your spending.

My favourite move combo is to pay off most of whatever bills I have to pay and allocate a percentage of my paycheque into a high interest monthly savings account. That way, I am effectively limiting how much I can spend for "impulsive purchases" because I do not shop often. (Though granted, I work two different jobs in retail and I probably spend quite a bit with the staff discount privileges.) Also, I don't charge it on my next paycheque even though it is very convenient and very tempting.

From what I can remember from my Financial Planning class in NAIT, you should ideally have 30% of your paycheque locked up in savings for emergency funds. However, of course, you should always pay off your credit card bill(s) before you can save... because the compound interest for credit card is higher than that of what you can save.

Happy Shopping!