It's Black Week again — the week of bargains and mega deals around Black Friday and Cyber Monday. While Black Friday, which is now widespread all over the world, comes from the USA and heralds the Christmas business after Thanksgiving, Cyber Monday is an invention from the digital world and was shaped by Amazon. But why do such offers encourage us to buy so much? Are Black Friday deals really cheaper? And which tactics help you stay financially smart during this bargain week?

First of all, the facts about Black Week

The German Retail Association (HDE) reported 5.9 billion euros in turnover for Black Friday and Cyber Monday in 2023. Brick-and-mortar retailers and online retailers are pleased with such sums. A similar amount is expected in Germany this year as well. A survey by the price comparison portal Idealo has already shown that 82 percent of respondents want to participate in at least one shopping campaign day. According to Absatzwirtschaft, technology, Christmas gifts and clothing are particularly in demand. According to management consultancy PwC, the German plans to spend 277 euros on average, with men trying to dig deeper into their pockets with 310 euros, while women are more cautious with their budget (241 euros).

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Financial psychology: Why discounts attract us so much

Why is it so hard for us to resist discounts? The so-called anchor effect plays a role. From an evolutionary point of view, money is a very abstract and new construct for our brain. That is why we like to compare prices. Our brain therefore evaluates prices in comparison with each other. The original price of a product acts as an “anchor” by which we measure the discounted price. As a result, a sale item automatically appears attractive — even if the offer price is still objectively high.

Example: A pair of branded sneakers that cost 150€ before Black Week and is now offered for 100€ seems like a bargain. In doing so, we often do not question whether 100€ is a fair price for us personally.

In addition, our loss aversion due to the scarcity sales strategy used also plays a role: Limited offers, “only a few pieces left” or a countdown on the website generate pressure. We buy so as not to miss the opportunity — and we may spend more than planned.

4 tips for clever bargain hunters

1. Compare prices: Not every deal is a bargain. It is worthwhile to compare prices in advance. In the meantime, this also works well with price comparison sites, which you can also consult today.
2. Check return conditions: Discounts often have limited exchange or return rights. Check out the conditions before you buy.
3. Make sure the providers are reputable: Fraud happens. Therefore, pay attention to trustworthy providers and shops. Certificates such as Trusted Shops or reviews help.
4. Set a budget and shopping list: In order not to spend too much, it helps to set yourself a fixed limit. Determine the maximum amount you want to spend and write down what you really need. This protects you from impulse purchases and spending too much money. It also helps a great deal when comparing offers. So you shop with a good feeling and a conscience.

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With a little planning, you can benefit from Black Week without feeling guilty later on.

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Spent too much? What you can do:

1. Check the return and return the purchased item: Check whether you really want to keep your purchases and whether you can't return them after all and get the money back. This then ends up back in your current account, settles your credit card or Klarna debts or ends up back in the call money account.
2. If that doesn't work, resell: If your “bargains” can't be exchanged because this is sometimes not possible with sale offers, you can also resell them, e.g. via eBay or Vinted. Even if you don't get all your money back this way, you'll at least minimize your loss.
3. Adjust your budget and save: If you've been shopping too much, you can also save a bit more over the next few weeks and thus balance or replenish your account balance. It can help to use a budget book or to set in so-called no-spend days (days when you don't spend anything).
4. Use cashback: If you made a purchase using cashback or bonus programs, then request the refunds — and set the amount aside.
5. Learn from this: Means setting a limit for next time and avoiding impulse purchases - that's how the fun remains, but without stress and a guilty conscience.

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Bargain hunting is fun, and treating yourself is absolutely okay — especially if it's well planned. But discount signs alone do not guarantee good deals. Think of psychological tricks like the anchor effect and be critical. With a clear strategy, you can enjoy Black Week, save and keep your finances under control at the same time.

Happy shopping!

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