Throughout the developed world, the cost of living has risen at an exponential rate in the last seven years. Since the age of the great recession, business owners have strived to keep earnings and salary costs to a minimum, while the price of consumer goods and interest rates have risen at a steady rate. With inflation soaring at a disproportionate rate to earnings, consumers have being left struggling to make their disposable income stretch beyond everyday, essential purchases.
The Art of Consumerism: How to buy Products for Less
While the cost of living may be continuing to rise, however, there is an art to being a consumer and ample opportunity to reduce the purchase price of individual items. So long as you are proactive and adopt a strategic approach to buying, you can save money without compromising on the quality of your lifestyle.
With this in mind, here are three practical ways in which you can buy products for less and actively save money: –
Buy Direct from Manufacturers or Wholesalers
In some instances, you have little choice but to purchase items from a distributer rather than a wholesaler, and this instantly inflates the cost price that you are required to pay. There are occasions when you are able to buy direct from a manufacturer, however, which can offer savings of up to 30% on the recommended retail price and achieve greater value for money. Buying an engagement ring is arguably the best example of this, as while the average male spends a quarter of his annual salary on this purchase the cost can be reduced greatly by shopping at direct manufacturers.
Learn to Negotiate from a Position of Knowledge
There is a clear art to negotiation, as it is imperative that you are able to drive down purchase prices from a position of knowledge and strength. Otherwise, the likelihood is that you will end up plucking figures out of the air while bartering, often offending sellers and ignoring their need to protect their margins. In simple terms, the cost price of any product is usually 30% of the retail price, and this provides a good starting point for negotiations. So long as you do don’t drop beyond this percentage and show a clear respect for the vendor in question, you can effectively negotiate a deal where everybody profits.
Shop Around as Use alternative deals as Leverage
The term ‘shop around’ has become commonplace in an age of price comparison websites, but not every consumer knows how to use these resources to their advantage. Essentially, while comparing a list of prices or premiums quickly reveals the most cost-effective, real-time deal, savvy customers use this information as leverage to drive down their costs further. If you are shopping for insurance premiums and are able to identify a great deal with an external provider, for example, you should share this with your current firm to see if they can offer an improved deal.
This can help you to reduce your costs significantly, and ultimately equip you with the tools to become a value-conscious and proactive consumer.