Money Management Newsletter

 

Shopping Sins Series:

 #3 Impulse Buying

Dr. Jo Turner, Professor, Family and Consumer Economics

 

Most consumers at some time or another buy something on the spur of the moment, without a plan or thought. Credit cards make this easy to do.

One estimate shows that only three out of 10 purchases are decided upon in advance, while about half of all purchases are made completely on impulse.

Is all impulse buying bad? Not if you have a flexible definition of the word "planning."

If, for example, while you are on vacation you find a delightful picture and know in your heart that it would be perfect as a Christmas gift for Aunt Sue, that, in my book, is not bad impulse buying.

Neither is buying a rib roast instead of a pot roast, or fresh asparagus instead of canned green beans when price or quality is a better deal for you. You might use a flexible "switch and save" shopping list.

A shopping list is essential whether it is a mental one or a well thought out written plan. Your grocery list as well as your household supplies, gifts, clothing, appliance or home furnishings list should allow some flexibility so you can switch and save.

Ask yourself three basic questions to help you separate impulse buying from planned buying.

1. Do I need it? The answer to this question can immediately weed out impulse buying.
    
2. Will I use it? The answer to this question can be misleading. It is easy to convince yourself that you will use most anything, but further prodding will help clarify the answer. Add the questions: "How will I use it?" and "How soon will I use it?"
    
3. Can I afford it? This probably is the true test. You can answer this question by asking another. "What will I have to give up if I buy this item now?" The answer to these questions separates impulse items from necessities. They tell if you can have those things you could live without but that would be more fun to have.

To avoid the drain that is caused by the shopping sin of too much impulse buying:

• Shop alone. It is usually easier to say no to yourself than to a spouse, child, or friend.
• Shop when you are refreshed. If you are tired, you won't be as willing to take time to compare prices, to consider uses and to answer the three questions that weed out impulse buying.
• Shop for food when you are not hungry. Hungry shoppers tend to buy more.
• Shop less often. Consumers who have difficulty controlling impulse buying can avoid the temptation by making fewer shopping trips.
• Shop sales, but be alert! Just because it is on sale does not mean it is a good buy for you or your family. Answer the three questions about sale items. Modify your shopping behavior to eliminate the sin of impulse buying from your spending pattern.