Rosalind Evans
According to some reports, the concept of Amazon Prime Day could be a boon for your psychological well-being.
Consumer spending has begun to slow down with increasing concerns over inflation and the uncertainty surrounding the U.S. economy. However, the ‘little treat’ mentality is gaining traction.
Those active on TikTok regard this ‘little treat’ lifestyle as a means of self-care. Shoppers argue that small, affordable purchases provide a temporary lift during economically stressful periods.
Given the upcoming major shopping events, experts suggest this could be a prime time for some ‘retail therapy’ that won’t necessarily break the bank.
Anticipated Prime Day and competitor sales
Amazon’s much-awaited Prime Day commences at 3 a.m. ET on July 11, extending until July 12.
Rival retailers such as Walmart, Target, and Best Buy also host coinciding promotional events – Best Buy’s “Black Friday in July” runs from July 10 to 12, while Walmart+ Week starts on July 10 and continues until July 13. Target Circle Week offers an even lengthier deals period from July 9 to 15.
In addition, other retailers like Macy’s, Nordstrom, Sur La Table, and Wayfair are offering discounts of 50% or more throughout the month.
“Inflation is pushing consumers to start early and locate deals from retailers ready to provide promotional offers that will attract customers and create excitement in a tough environment,” commented Matt Kramer, Consumer and Retail Sector Leader at KPMG.
‘Revival of ‘Lipstick Index’ as a form of retail therapy
In the past six months, rising prices have made almost 80% of consumers limit their spending on nonessential items like entertainment, home décor, and clothes, according to a CNBC and Morning Consult survey.
However, according to a survey by The Vacationer, nearly 80% of adults plan to shop on Amazon Prime Day. In addition, 70% of consumers believe that retail therapy can positively affect mental well-being, says a report by shopping rewards site Smarty.
The theory suggests that consumers might curb spending during difficult times but continue indulging in small luxuries.
The ‘lipstick index,’ first introduced by former Estee Lauder chairman Leonard Lauder following the dot-com bubble burst in the early 2000s, noted that women would replace expensive luxury items with more minor indulgences like lipstick.
“While many consumers participate in Prime Day for their mid-year ‘retail therapy,’ it’s essential to spend wisely to ensure that the stress relief provided by shopping doesn’t evolve into a bill for impulsive purchases,” advised Vipin Porwal, CEO of Smarty.
To help manage this, here’s how to partake in the summer sales without overspending.
Prime Day Shopping Tips
The best bargains will be found on Amazon’s products, such as a 75% discount on the Amazon Fire TV 43-inch Omni Series. Prime Day is also an excellent opportunity to find discounted personal tech from brands like Apple, Fitbit, Samsung, Google, and Sony, as per BlackFriday.com.
RetailMeNot’s shopping experts suggest looking for various back-to-school essentials on sale, including children’s clothing, backpacks, and tablets.
Previous Prime Day bestsellers have included apparel, beauty products, kitchen essentials, toys, and outdoor gear. “Expect home and garden deals to dominate this time,” suggested Julie Ramhold, a consumer analyst at DealNews.com.
How to Take Advantage of Prime Day Deals
You must be an Amazon Prime member to capitalize on Prime Day deals.
You can register for an annual or monthly membership or even a free trial if you’re undecided. For the first time, Amazon will offer exclusive deals where members of its Prime subscription club can request an invitation to access discounts on hot-selling items. (CNBC’s Select has more on how to evade the membership fee in time for Prime Day.)
To stay informed about price drops, scroll through upcoming deals and set up deal alert notifications on Amazon or your Alexa device.
Once a deal is live, add the product to your cart immediately. Intermittent “Lightning Deals” tend to sell out rapidly, according to Ramhold. Once a sale item is in your cart, you have 15 minutes to decide whether to purchase it.
If there’s a specific product you’re interested in, but it isn’t part of upcoming sales, you can create a wish list, and Amazon will notify you if it becomes part of a Prime Day deal.
Finding the Best Price Beyond Amazon
Other retailers might offer better deals without needing a membership, suggests consumer finance expert Andrea Woroch. Furthermore, most of them provide free shipping or curbside pickup.
Price-tracking browser extensions like CamelCamelCamel or Keepa can help you monitor price changes and notify you when a price decreases.
Some of Woroch’s top picks include $181 off the Beats Studio3 wireless noise-cancelling headphones or $242 off the iRobot Roomba Wi-Fi connected robot vacuum at Walmart, and $350 off the Lenovo 15.6-inch Touchscreen IdeaPad 3i laptop or $130 off a Dyson V8 Origin Cordless Stick Vacuum at Target.
Woroch advises stacking discounts, such as combining credit card rewards with store coupons and using a cash-back site like CouponCabin.com to earn money back on those purchases.
The growing ‘little treat’ culture gives consumers a unique opportunity to indulge in retail therapy without straining their finances, especially with the upcoming Amazon Prime Day and other competitive sales events. This approach can also be a beneficial coping mechanism during uncertain economic times, offering a much-needed sense of satisfaction and temporary relief from financial stresses. It is crucial, however, to shop wisely and avoid unnecessary impulse purchases that could lead to financial burdens in the long run.
