More Presents, Less Money: How to Maximize Your Savings on Holiday Shopping

Over $50 billion was spent on holiday shopping in the United States alone in 2012, according to StatisticBrain.com. Many consumers strive to find the very best deals around this time of year, especially if they have a big family or a lot of friends for which they want to buy presents. Even with all of the money that was spent on holiday shopping last year, one study confirms that over 20 percent of shoppers have already admitted that they plan on spending more in 2013, according to ConstantContact.com. There are actually several key steps that can be taken in order to save more money so that you can purchase more presents without necessarily breaking the bank to do so.

Search Online for the Best Deals

The first step that you need to take in order to maximize savings during the holiday season is to make the Internet the first stop that you make on your shopping trip. Most consumers know that the odds of a traditional, brick-and-mortar store having more competitive prices than online websites are slim to none. In most cases, high overhead expenses and other associated costs that need to be paid just for traditional businesses to stay open in the first place make it difficult for them to afford offering the type of discounts that are available online. Over 65 percent of consumers browse the Internet before they go shopping in traditional stores just to make sure that they are getting the best prices on their purchases, according to Accenture.

Save Your Online Coupons

Throughout the year, most consumers receive online coupons and promotional codes from a wide variety of major retailers and brands. For instance, after registering your email address on their mailing list, you are more than likely bombarded with advertising materials and promotional updates that advise you to “Visit This Link” or “View This Ad.”  Instead of rushing to delete these messages, examine them closely just in case there are any coupons or promotional codes that you can save from within them. Keep in mind that the average life expectancy of a coupon is nine weeks, according to the Nielsen Company. Therefore, you can theoretically save a coupon that you received in October and use it to save money on a December purchase.

Use Your Credit Cards Wisely

Even though they might seem like financial safety nets to provide you with a little more room to breathe when shopping, it is imperative that you do not abuse your credit cards through your holiday shopping. Always take the time to consider the long-term expenses that will need to be paid on these short-term purchases. For instance, a $100 purchase may seem to be affordable.

However, if you made that purchase on a credit card with a high interest rate, then you could end up paying a lot more money in the long run. It is highly recommended for you to track your spending just like you would if you were balancing your checkbook and only use the cards that have the lowest interest rates. Do not become overly intrigued by the cards that have high limits with high interest rates hiding in the fine print.

Plan Your Purchases in Advance

One of the biggest mistakes that a consumer can make during the holiday season is waiting until the last minute to make their purchases. Keep in mind that the available supply of the products that you want will become drastically reduced with each passing day. This is why it is highly recommended for you to plan your purchases far in advance. Research upcoming sales and promotional materials weeks or even months in advance so that you can plan your shopping trip accordingly.