Impulse Spending at Online Retailers – The Ultimate Financial Drains
According to statistics, impulse buying and impulse spending at online retailers, such as Amazon, is the ultimate financial drain for many individuals and families around the nation. The average Amazon Prime customer has been found to spend nearly $1,500.00 each year. The average non-Prime customer spends just over $700 each year, but, actually account for 56% of all sales within the United States. In 2014, NPR broadcasted a story that informed the public that the developers at Amazon were attempting to reduce the amount of time that it took for a consumer to get to their website and purchase an item. The goal that Amazon was opting for was an astounding 30 seconds or less. According to information derived from numerous sources, most people know what they want before visiting Amazon. By simply conducting a search on the item, Amazon returns immediate results. If the item is found at what the consumer feels is the “right price”, a purchase is immediately made. If you suffer from impulse buying binges on Amazon or engage in impulse spending at other online retailers, you should continue reading this article. Not only will you discover why impulse buying and impulse spending at online retailers is considered to be the ultimate financial drain, but, you will also learn a couple of measures that may be taken to curb spending your money in an impulsive fashion.
Why Online Retailers – Like Amazon – Are Attractive to Impulse Spenders
In order to truly grasp why impulse buying and impulse spending is a large financial drain on consumers, it is first important to understand why online retailers – like Amazon – are considered to be so attractive to those that have a susceptibility to impulse spending and impulse buying sprees. The main attraction when it comes to online retailers is that they typically carry large assortments of goods on their websites. When visiting Amazon, for example, you may search for just about any item and find it. It does not matter if you are in the market for seasons of your favorite television show, vintage board games, a magazine subscription, or a special type of gift card – Amazon has it. This makes it a virtual, but very real, dream world for individuals that are considered to be impulse buyers. Online retailers like Amazon are considered to be innovative and intelligent. These retailers are moving away from the traditional “shopping cart” retail model and are moving closer to the “Checkout Impulse Buying” retail model often utilized by traditional brick and mortar retailers. Unfortunately, this makes it easier to engage in impulse spending.
How to Control Impulse Spending Online
If you find that you are making purchases in an impulsive manner online, there are a few steps that may be taken to combat this issue. They are as follows:
- First, you should avoid storing your debit card, credit card, and/or bank information on the online retailer’s website. If you force yourself to enter in the payment information each time that you make a purchase, it will provide you a bit more time to really think about your purchase. In most instances, you will likely find yourself backing out of the purchase before hitting the “Submit Payment” or “Checkout” button.
- Next, you should turn off any one-click settings that pertain to your home address. This will allow you to avoid ordering an item that will be sent to your home by simply clicking a button. The more time that you spend having to enter information when making a purchase, the better….
- Many online retailers, like Amazon, keep track of your searches and browsing history. Then, they will make suggestions and recommendations when you utilize the website. It is important to clear your browsing history on a regular basis. That way, you are not tempted to make an impulsive purchase due to suggestion/recommendation appeal.
Impulse spending is a highly detrimental habit that will, ultimately, drain your finances. As a result, your financial health will be diminished. Its considered to be a highly addictive habit thats exceptionally difficult to control. Despite being hard to control, there are ways that you may successfully curb impulsive spending. In this financial guide, you have learned three measures that may be taken in order to reduce the temptation to make unnecessary purchases. By following these tips, you will find that it is easier to curb impulse buying and impulse spending sprees with online retailers, like Amazon.