In an age of instant gratification and widespread advertising, the siren song of the “must-have” item is louder than ever. From the latest smartphone to the newest car release, the urge to acquire can feel overwhelming.
However, for many in the UK, this desire isn’t simply a fleeting fancy; it’s a significant modern challenge that could lead to impulse buying and overspending.
Both could jeopardise the security of your financial future.
Though it’s important to enjoy the fruits of your labour, learning how to save money sustainably is a valuable skill that could benefit your long-term stability.
The desire to spend can come from a variety of places
Understanding why we succumb to the “must-have” feeling is often the first step towards overcoming it. Several psychological triggers might fuel these negative financial habits.
- The fear of missing out (FOMO): Social media constantly bombards us with “the next best thing”, which can create a sense of inadequacy and like you’re missing out on necessary experiences or possessions. In fact, you are encouraged to believe that these are essential for your happiness or social standing.
- Retail therapy: For some, shopping can become a mechanism for stress, boredom, or sadness. The temporary high of a new purchase could mask underlying emotional issues and create a dangerous cycle.
- Instant gratification: Psychology Today suggests that our brains are inherently wired for instant gratification, since we lived as hunter-gatherers for more than 95% of our history. The use of smartphones and widespread access to the internet exacerbates this and can make the thought of waiting for something less appealing than the satisfaction of buying and receiving something within 24 hours.
- The illusion of scarcity and urgency: Marketing tactics often exploit our innate desire for a good deal or to be part of an exclusive group. Limited time offers, flash sales, and low stock notices can trigger a “buy now or miss out” mentality.
- Emotional attachments to brands: Clever marketing can foster an emotional connection between you and a brand. This can make you feel as if owning a particular product will enhance your life or reflect a certain identity.
Though we may have some ingrained traits that make us susceptible to phenomena such as “FOMO” or instant gratification, one of the primary culprits of the “buy now” urge is clever marketing and pervasive influencing.
Practical strategies for overcoming impulse-buying
The good news is that breaking free from the “must have” trap is achievable if you approach the problem with conscious effort and practical strategies. There are several strategies you can follow, but you might find that some techniques work better for you than others.
Here are five potential methods to try.
- Impose a waiting period: Before making any non-essential purchase, it could help to put a predetermined waiting period in place. This simple pause could be as little as 24 hours, but it may allow the initial impulse to subside.
- Unsubscribe and unfollow: Where you can, reduce your exposure to marketing triggers. It could help to unsubscribe from promotional emails, unfollow social media accounts that constantly showcase desirable products, and critically evaluate the influencers you follow.
- Track your spending: Knowing exactly where your money goes can be eye-opening. Use budgeting apps, spreadsheets, or even a simple notebook to meticulously record every pound you spend. This could help you highlight areas where you often overspend.
- Identify your triggers: Pay attention to when and why you feel the urge to spend. Is it when you’re stressed or when you’re scrolling through social media? Understanding your triggers could help you develop alternative coping mechanisms.
- Create a “needs vs wants” checklist: Before you make any purchases, ask yourself if what you’re buying is a genuine need or simply a want. You may need to be brutally honest with yourself, but it can be enlightening to make a physical list.
Remember, what works for one person may not be for you, so be sure to make your approach personal. If something doesn’t work, try again or move on to another method.
Sustainable saving practices could help you build a secure future
Overcoming the urge to impulse-buy can be closely linked to building lasting saving habits. A solid approach might begin with setting clear financial goals. Whether you’re planning for retirement, want to help your children or grandchildren buy their first home, or have plans to improve your investment portfolio, having concrete goals in place can help. This is because having a purpose can keep you motivated when temptation creeps back in.
A key principle you could embrace is to pay yourself first. This means making saving your top financial priority. Ensure there is room in your budget and consider putting a portion of your income directly into your savings before you indulge in any discretionary spending.
Align your purchases with your long-term financial plans
Ultimately, the most effective way to combat the persistent “must have” feeling is to ensure that every purchase you make aligns with your long-term financial plan.
Before reaching for your wallet, ask yourself if the purchase you’re about to make is sustainable for your financial circumstances.
By consciously shifting your mindset from immediate desire to a broader, long-term vision, you can begin to take control of your finances.
This is something we can help with.
Get in touch
Whether it’s building a robust financial plan or enforcing healthy and sustainable saving habits, we’re here to help.
Remember, the satisfaction of achieving a major financial goal is highly likely to outweigh the momentary satisfaction of an impulse purchase.
Talk to us today to find out more about how we can help you achieve this.
Email info@doddwealthcare.co.uk or call 01228 530913 / 01768 864466 and let’s work together to build your financial plan.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
All information is correct at the time of writing and is subject to change in the future.
