Spaving – don’t let Black Friday take you into the red
This Black Friday, resist the urge to “spave” – spending to save on deals you might not need.
With enticing offers like “buy-one-get-one”, it’s easy to fall into the trap of overspending in the name of a bargain. Ayanda Ndimande, Strategic Business Development Manager at Sanlam Credit Solutions, warns, “Spaving feels good in the moment, but it can lead to unnecessary expenses and financial stress.
The sense of scoring a bargain often overshadows whether the purchase adds real value to your life – or not.”
The Psychology Behind Spaving
Black Friday deals tap into behavioural bias, making them hard to resist. Scarcity (the fear of missing out), loss aversion (avoiding regret), and the transaction utility effect (feeling good about a perceived deal) drive many of our impulsive purchases.
Adding to this, Buy Now Pay Later (BNPL) services increase the temptation to overspend by deferring the immediate financial impact.
Ndimande explains, “Retailers create a sense of urgency with limited-time offers and promotions.
This framing makes it easy to justify purchases as ‘savings’, but it’s crucial to stay disciplined to avoid a credit hangover in January.”
Smart Tips for Black Friday
To shop responsibly and maximise the value of your purchases, consider these tips from Ndimande:
1. Set a Budget: Know your spending budget before you start shopping. Factor in both essentials and the nice-to-have items you’re excited about, keeping this balance top of mind throughout the day. Compile your cart ahead of time to avoid impulsive buys.
2. Spot the triggers: Interrogate why the ‘two for one’ discount has you in such a spin. What’s behind your impulse to win? Knowing the biases that have you racing to nab the best deals first may help curb the spending.
3. Differentiate Wants from Needs – Ask yourself if each purchase truly adds value to your life. Even a heavily discounted item isn’t a true “saving” if it wasn’t part of your plan.
4. Use Tool to Plan Ahead – Sanlam Credit Solutions Platform gives you free access to your credit score and report, plus credit coaches who can chat you through ways to improve your score through consistent healthy financial habits. Use these platforms to stay informed and confident.
5. Limit Buy Now, Pay Later – Save BNPL options for items you’ve planned for or those that truly fit within your budget. Remember, deferred payments add up quickly and impact your future available funds.
6. Focus on Your Financial Goals – Black Friday deals can be tempting, but your financial priorities last far beyond the holiday season. Choose purchases that align with your long-term goals and values.
Empowering You to Make Smart, Informed Choices
With thoughtful planning, Black Friday can be an opportunity to save on essentials without sacrificing financial health.
If you’re feeling uncertain, Sanlam Credit Solutions’ AI-powered credit tool and credit coaching services are here to guide you. “Our goal is to help South Africans make empowered choices,” says Ndimande. “This Black Friday, pause before you purchase.
With mindful spending, you can enjoy the season’s excitement without compromising financial peace.”
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