Every Christmas, you firmly make a promise to yourself that you won’t go overboard and blow your holiday gift budget. However, each year, you wake up the day after Christmas with a gift-buying hangover. Once again, you got caught up in the holiday shopping frenzy, doubling or even tripling your spending on gifts for family and friends.
It’s like falling into a well-planned trap that combines spontaneity and extravagance, sprinkled with a bit of guilt and anxiety. Is there any way to avoid this madness and stay on track this season? The answer is yes.
In this article, I will provide you with tips to resist the seduction of retailers and help you come to terms with your spending habits, enabling you to make thoughtful gift choices without sacrificing generosity.
- Cut Down Christmas Costs by Covering All Basics When creating your Christmas shopping list, remember to think beyond just gifts. The holiday season comes with additional expenses like travel, greeting cards, parties, hairstylist visits, tips, and more. Don’t forget shipping costs, which can quickly eat into your budget. Sending a package from one city to another can cost around $14, depending on the shipping method. Consider all these “little” expenses when planning your holiday budget.
- Save Money by Starting Your Christmas Shopping Early Starting your gift shopping early might seem unusual, but it can significantly reduce your overall spending. According to a 2012 survey by the American Research Group, people who procrastinate in their gift shopping estimated that they spent around $250 more than those who shopped earlier. So, give your wallet some relief by starting your holiday shopping sooner rather than later. Also, don’t forget to take advantage of Black Friday and Cyber Monday sales.
- Use Ebates Ebates can be a significant money-saver. It operates as a referral site, sharing a portion of the commission with you when you make purchases through their links. Most major retailers partner with Ebates. Make it a habit to check their offers first, as they also compile and organize available promo codes. By using Ebates, you can save hundreds of dollars on purchases you were planning to make anyway.
- Hands Off the Merchandise Avoid getting lured by the glitter and glamour of holiday displays. It’s easy to be seduced by holiday-themed dresses, decorative towels, or stylish clutches. However, the rule is “no touch, no purchase.” Handling an object can trigger possessive feelings, a phenomenon rooted in the science of touch, known as haptics. Studies have shown that even holding a simple item like a coffee mug increases people’s desire to buy it. So, stick to “Look, but don’t touch” as your mantra.
- Stop the “Christmas Gift” Momentum Just as Newton’s law states, “An object in motion tends to stay in motion,” shopping for Christmas gifts can create a similar effect. You might start by looking for a sweater and then end up adding a scarf and some earrings because they all seem to go well together. This phenomenon is referred to as the “shopping momentum effect” by researchers at Yale and Stanford. To avoid this spending trap, pause after every purchase, even when shopping online. Stop the impulse to buy more before it catches you.
- Unsubscribe from Email Alerts Email marketing by retailers can be tempting and fun, but it’s also linked to an 83% increase in consumer spending. While receiving emails about upcoming sales from your favorite stores can be exciting, it’s better to unsubscribe during the holiday season to protect your budget.
- Let Others Buy Christmas Gifts for You Many people buy “me” gifts while shopping for holiday presents. According to the National Retail Federation (NRF), 59% of Americans purchase gifts for themselves during the holiday season, spending an average of $140. Compare this to the NRF’s report that the typical person budgets a total of $750 for holiday expenses. This means nearly 20% of the budget goes towards self-gifting. Let others buy Christmas gifts for you and save money.
- Use Technology to Find Gift Deals If you’re looking for deals on gifts but don’t want to spend time comparing prices, you can use comparison sites like Shoptagr. These websites or mobile apps will send you alerts when the price of a selected item drops. This makes it easy to find discounts of 20%, 30%, or even 50% off.
- Think Outside the Box for Christmas Gifts We often fall into the trap of believing that the sentiment of a gift is directly tied to its cost. The higher the price tag, the more we think it expresses our feelings to our friends and family. Challenge yourself to be more creative. Surprise a friend by framing their favorite Instagram photo, or help a neighbor by shoveling their sidewalk. You can even hand out coupons for cooking or babysitting. Let your imagination guide you, and you’ll find unique and thoughtful gifts that don’t break the bank.
- Find Christmas Deals on Gift Cards Gift cards are a popular holiday gift, but they can become expensive when you buy multiple cards. To save money, look for holiday deals where retailers offer bonus gift cards with a minimum
