Find out what makes coupon deals so
enticing - and how to resist their magic pull.
It's 8 A.M. and your inbox is swamped with
daily deals from websites like Groupon, LivingSocial and Gilt. But as
attractive as 50% off may sound, let's be honest: You're not really saving
money by springing for something you didn't even want. Here, learn the sneaky,
smart ways marketers make you click.
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Urgency It's no
accident the discounts are available for only a day. By limiting the time offered-some
sites even show an hourglass emptying - companies pressure consumers, says Dan
Norris, a senior associate with Influence at Work, a company that specializes
in the science of persuasion. They want you to believe that if you don't buy
right away you'll miss out on a great opportunity.
·
Exclusivity Whatever
deal Groupon is hawking is offered only to "members." (Never mind
that it's free to join.) Couple that with finite availability ("Just 200
left!"), and consumers feel they're getting something even more exclusive,
says Regina Novickis, consumer savings expert for PromotionalCodes.com.
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Consensus Marketers
know that we're more likely to purchase a product or service if others are
buying too, Norris says. That's why deal sites often tell you how many
subscribers have already signed up. For example, if 500 people snagged a
discounted laser hair removal treatment, the thinking goes, it must be a great
bargain! Or someone might buy a monthlong membership to a yoga studio simply
because her friend shared the deal.
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Convenience Daily
deal websites make buying and using a voucher so dam easy. There's no clipping,
cutting or storing - just click on a link and the discount is yours. And you
don't even have to print the voucher (or possibly forget it at home); have it
delivered to your smart-phone and it's always handy.
“A wealth of knowledge from amoney-savvy
mom.”
By Stagey L.Bradford
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Daily Deal Management
Simply knowing how coupon sites try to
influence you isn't enough to provide immunity from their pitches. Even Dan
Norris of Influence at Work and his v/ife recently bought a horseback-riding
trip, although it had been a year since they'd discussed getting back in the
saddle. He suggests buying only products and services you were already
planning to try. Some of his additional tips:
1/ Opt out. That's right, unsubscribe -
or just choose your favorite service. If you still want to peruse deals
occasionally, visit a site's Facebook page or Twitter feed to scan the
offers. Or sign up for its mobile application to get access to the info
without a flooded inbox.
2/ Try an aggregator. Dealradar.com and
TheDealmap.com collect your daily offers in one place. (Either visit the
website or have an e-mail sent to you.)
3/ Read the fine print. Some offers U I
may expire after a period of time. Citypockets.com and Couptivate.com track
expiration dates and send reminder e-mails when a deal is about to end.
Limited availability can also be a problem if you buy something popular-think
Swedish massage-and the spa runs out of appointments.
4/ Shop around. Some deals aren't as
exclusive as they seem. Small businesses may offer the same discount to their
regular customers, says Regina Novickis of PromotionalCodes.com. So do a
little online snooping before you buy.
5/ Resell. More than 20% of daily deal
vouchers go unused. If you have buyer's remorse, try to sell your discount on
sites like Lifesta or DealsGoRound. Even if you have to pay a fee or lower
the price, you won't lose all your money.
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Financial expert Stacey L.Bradford is an
award-winning journalist and author. When she isn't writing, she's busy
teaching her kids the value of a dollar.
