The Black Friday frenzy for discounted goods continues to catch consumers’ attention, perhaps more so since the cost-of-living crisis hit many household budgets.
Last year, 40% of shoppers surveyed by McKinsey and Company said they planned to do most of their Christmas shopping over the Black Friday weekend.
Bombarded with discounts, shoppers can be lured into ‘spaving’ – feeling like they’re saving money but in reality, spending more than they need to on offers that may be irrelevant to their needs or buying unnecessary items just because they seem cheap. It is a common Black Friday pitfall.
Black Friday can be bad for your budget
“Much like Santa Claus, there comes a time when we all realise that Black Friday isn’t quite what it appears,” Mike Barrow, a financial consultant at Wealth Wizards, told NerdWallet.
Savvy spenders may be right to be suspicious of Black Friday ‘deals’: 2023 research by consumer champion Which? found that only 2% of the 208 items it tracked were at their lowest price over the Black Friday Weekend, leaving shoppers wondering whether Black Friday was worth it.
No matter how big the discount appears, a deal is only worth having if the item was genuinely on your shopping list. If you get tempted by Black Friday marketing and buy things you had no intention of buying, you’ll still have less money in the bank than before, even if you secured something at a slightly lower price, explains Barrow.
While some shoppers may have successfully saved money throughout the year before a pre-Christmas spending splurge, many will still turn to credit. This impulse buying could push consumers into debt, particularly for those using high-interest credit.
However you finance your festivities, use these expert tips to shop smarter this Black Friday.
5 tips for bagging Black Friday bargains you won’t regret
1. Use price checker platforms in advance
Knowing how much items on your wishlist typically cost before Black Friday can help you weigh up whether to buy now or wait for future discounts.
Price checker platforms, such as Price Runner and Price Spy, show the price history of products over the past year, including Black Friday Weekend. Camel Camel Camel does the same for products on Amazon – so be sure to check in advance.
One thing to keep in mind is that the high traffic to these sites on peak days such as Black Friday may mean they are unavailable or users could be stuck in a queue, as Alastair Ford, a financial coach and founder of Meaningful Coaching, told NerdWallet about his experience with Camel Camel Camel in previous years.
Beat the rush by listing the products you’re interested in and checking the lowest recorded prices a day or two before. “When you see your Black Friday price, you’ve got an independent reference point,” said Ford.
2. Be smart with your savings
Retailers launch Black Friday campaigns earlier every year, but blowing your Christmas shopping budget before December may mean you end up dipping into savings allocated for other things as the big day approaches or taking on debt that you didn’t need to.
Before you start bargain hunting, consider moving money you’ve allocated for your emergency fund or other savings goals into a separate account which you’re less likely to touch.
Next, plan sales shopping around your paydays. Black Friday falls late this year on 29 November – for many, the penultimate payday of the year. With employers often paying December’s wages early, your bank balance could be artificially inflated in the weeks leading up to Christmas, but don’t let that lull you into a false sense of financial security. Make sure you know how much you need for your essential outgoings until the next payday and think about setting that amount aside as soon as you are paid.
3. Beware shiny new tech
Appliances and smart tech will be on the watchlist for many this Black Friday, but check the release date for the next model before you commit.
NerdWallet spoke to Helen Dewdney, founder of the consumer champion website The Complaining Cow, who encourages shoppers to ask themselves; “Will you still want that phone or laptop if the newer version comes out a week later?”
You could also save hundreds by going to a department store and asking the staff if they have any ex-display items or unused returned products for sale, potentially beating any Black Friday discounts.
4. Give a cashback site a go
Sites such as JamDoughnut let you earn reward points by buying pre-payment gift cards to use online or in-store, then convert the points to cashback.
Dewdney also recommends Mad About Money and popular sites like TopCashback and Quidco. “You can get discounted vouchers but save before you buy, so the money stays in your pocket,” she said.
5. Be safe online
Knock-down prices combined with a Fear Of Missing Out (FOMO), can keep shoppers glued to their screens on Black Friday. As shopping fraud often starts on social media platforms, avoid clicking on offers from Facebook, TikTok or Instagram. Come out of the app and go to the retailer’s website from a new browser window to check whether a Black Friday offer is genuine.
“Black Friday sales are not just online, they are also on the high street,” said Maddy Alexander-Grout, a TikTok influencer specialising in ADHD and Money. If you can make it onto your high street you could discover deals that don’t exist online. And, for those on a tight budget, buying second-hand gifts from pre-loved boutiques and charity shops can help you save money (and the planet) while supporting your local high street.
For those who want to avoid the Black Friday hype to safeguard their budget, Alexander-Grout has some advice: “If you don’t have the money for it this year, move retailer emails to a hidden email folder and avoid social media for a few days.”
Barrow told NerdWallet that “for every Black Friday that passes by, it’s another year you’ve avoided scams, saved money and exercised impulse control. Be proud of that.”
Image source: Getty Images
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