Tips and tricks to avoid doom spending during Black Friday shopping

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Q: I usually go shopping in the U.S. for Black Friday with my sister and our two cousins. We make a girls’ trip out of it and have fun catching up. Some years we come home with hardly anything and other years, the car is too small for everything we bought! This year we had already talked about not buying much because the exchange rate isn’t great and no one has anything they’re dying to get. While that should have stopped my sister from shopping — it hasn’t, and I’m worried about her. She recently went back to work but isn’t sure she’ll stick with her new job because the supervisor is very demanding. My sister should be happy that she finally found a job. It wasn’t easy and the high cost of living was getting to her. While she was off work, she turned into a news junkie and would get down about environmental issues or even politics. She’s not quite herself these days and I’m worried she’ll rack up a pile of debt before she figures things out. What can I do to help her not overspend in the meantime? ~Crystal

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A: Engaging in annual traditions with family or friends can lift the spirits. Shared experiences, like a yearly getaway or Black Friday bargain hunting, create a sense of continuity and connection, providing an anchor in our ever-changing lives. The anticipation and joy of these traditions bring excitement and can evoke cherished memories, ultimately boosting our mood and overall happiness. Provided that enough consideration is given to the potential outcome, carefully thought-out retail therapy can be valuable as well.

However, spending in response to feelings of anxiety or uncertainty, and seeking comfort or control, is a concern. This phenomenon, known as doom spending, often arises from stress due to larger, often uncontrollable issues. While the social media-friendly phrase has recently gained popularity, the phenomenon of impulse spending isn’t new. With that in mind, here are strategies that can help avoid overspending and buyer’s remorse.

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What causes doom spending?

Making impulsive purchases in response to stressful situations or negative emotions happens for a variety of reasons, and the act of buying something new can provide a temporary mood boost, creating an addictive cycle. Although this form of emotional relief can momentarily ease worries, boredom, or anxiety, doom spending can seriously jeopardize long-term financial stability.

Contributing to doom spending habits are prolonged marketing campaigns and influences that create a sense of urgency or fear of missing out especially as we head into the holiday season. Social pressure from friends, family, or influencers showcasing their purchases on social media can also create a desire to keep up. The ease of online shopping and quick delivery services further contribute to instant gratification, making it tempting to buy things without considering long-term consequences.

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A lack of financial literacy can exacerbate the problem, as individuals may not fully understand managing money and the consequences of indebtedness, leading to poor spending habits. For some, overspending becomes a coping strategy and habitual response to any negative emotion or situation, making it a challenging pattern to break. However, becoming mindful of your impulse spending triggers can help you recognize and manage the urge to doom spend, and find healthier ways to address your emotions, like talking to a friend or therapist, exercising, or engaging in a hobby.

Tips to avoid doom spending with Black Friday shopping

To avoid doom spending or overspending during Black Friday shopping, it’s important to set priorities and focus on the most important items first. This will reduce the temptation to splurge and help you avoid getting caught up in the hype. Make a list to identify what you need versus what you want, prioritizing your essential items or the gifts you’ve planned for. Once you’ve determined your priorities, set a budget and decide how much you can afford to spend. Stick to this budget religiously, regardless of the deals that come your way.

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If you plan to shop in person in the U.S., be sure to account for all the additional expenses that come with cross-border travel and shopping. This includes duties and taxes, exchange rates, credit card fees, accommodation, food, and actual travel costs such as fuel and out-of-province medical insurance.

Is it Worth Shopping in the States to Get a Good Deal?

Research prices ahead of Black Friday because if prices are marked up prior to being ‘discounted,’ the deals won’t be as great as they initially seem. Comparing prices across multiple retailers ensures you get the best deal, and using a shopping cart—whether online or in-store—allows you to reconsider your purchases before finalizing them. Signing up for alerts from retailers can give you early access to deals, helping you prepare and avoid the last-minute rush or frenzy. Additionally, look for discount codes, cashback offers, and reward points to make your planned purchases more affordable without encouraging needless spending.

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To stay within your budget, keep a running tally of your spending to avoid any surprises later. Shopping during off-peak hours can also help reduce stress and give you more time to make intentional choices. Whether shopping in person or virtually, plan your ‘route’ in advance to prevent aimless wandering, surfing, tapping and clicking. Ultimately, sticking to your list is crucial, as the excitement of deals can lead to unnecessary buying.

Whenever possible, use cash or a debit card instead of a credit card to avoid the temptation of overspending and accumulating debt. If you do need to use a credit card, shop with only one card and calculate what it will take to pay your holiday spending off in a maximum of three to six months. And if you find that you’re feeling stressed or anxious, take a break instead of reaching for your wallet or pushing on with shopping.

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The bottom line on avoiding doom spending while doing Black Friday shopping

To escape the trap of doom spending, be mindful of your reasons for shopping and avoid emotional buying. Setting a budget, prioritizing your purchases, taking advantage of discounts wisely, and staying disciplined can help you make the most of the Black Friday and holiday deals without jeopardizing your financial well-being. By following these strategies, you’ll also avoid unnecessary stress and debt, ensuring that your holiday shopping experience is both enjoyable and financially responsible.

Related reading:

Don’t Just Cure a Financial Hangover, Avoid It Altogether

Practical Tips to Avoid Debt During the Holiday Season

How to Stop Relying on Your Credit Cards to Make Ends Meet

Peta Wales is President and CEO of the Credit Counselling Society, a non-profit organization. For more information about managing your money or debt, contact Peta by email, check nomoredebts.org or call 1-888-527-8999.  

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