Find out how some strategies can help you make more informed purchases
A survey carried out jointly by Mercado Livre and Mercado Pago, which involved more than 27 thousand respondents, showed that 85% of Brazilians will take advantage of this year’s Black Friday, which will take place on November 29th. Around 70% plan their purchases in advance, while 30% take advantage of last minute offers.
Regarding expenses, 25% of those interviewed intend to spend more than R$ 2,000. 27% are expected to spend between R$1,000 and R$2,000. According to the survey, 54% of consumers intend to use a credit card to pay for their purchases, with 32% opting to pay in up to 3 installments.
A study by Criteo revealed that, in the first quarter of 2023, offers led 84% of Brazilians to make online shopping unplanned. A survey conducted by Serasa showed that 7 out of 10 Brazilians admit to having bought on impulse and then regretting it. “‘Can’t miss’ promotions, like Black Friday, create a sense of urgency that can override our rational decision-making processes,” says psychologist and psychoanalyst Deborah Klajnman.
Impacts of bills on mental health
A survey conducted by SPC Brasil/CNDL found that 35% of installment purchases are made on impulse and that, in general, Brazilians spend around 7.3% of an average monthly income of R$ 2,701, 35. “And, just as emotions can lead to excessive and/or reckless spending, debt can also have negative effects on mental health,” warns general psychiatrist Danielle H. Admoni.
According to the SPC Brasil/CNDL survey, among Brazilians with bills in arrears for at least three months, 82% have experienced some impact on their mental health. Of these, 66% reported changes in sleep, 60% reported a decreased desire to go out and socialize with other people, and 51% reported changes in appetite. Furthermore, a significant percentage admits that they discount their anxiety on addictions such as cigarettes, food or alcohol (37%).
“Therefore, understanding the psychological causes that determine excessive spending is essential to develop healthy financial habits and, consequently, maintain emotional balance”, underlines the psychologist and psychoanalyst Maico Costa.
Why do we buy more than we need?
Unbridled consumption is a reality in the lives of many, driven by factors that go beyond practical necessity. Understanding these reasons is essential to address the urge to spend more than necessary:
Retail therapy
One of the most common reasons for excessive drinking is emotional spending. According to Deborah Klajnmam, shopping becomes a mechanism for dealing with stress, anxiety or other negative emotions. “For example, after a stressful day at work, it is easy to be attracted to virtual shop windows and, in a few clicks, purchase something without considering whether it is necessary or economically sustainable,” he reflects.
The search for immediate gratification also contributes to this behavior. “Our brain prefers immediate gains to future benefits, which makes it difficult to resist impulse purchases. While it offers temporary relief, this ‘therapy’ can have significant long-term financial consequences,” assesses Danielle Admoni.
Sense of belonging
Social comparison, intensified by social media, is another major incentive to spend more than necessary. For Maico Costa we are constantly exposed to idealized images of lifestyles that can generate a feeling of inadequacy, which leads us to purchase products not out of necessity, but to maintain an image or status.
“For example, the desire to have the latest version of one’s cell phone can be driven by this comparison, creating a cycle of overspending in an attempt to match or surpass others. This quest for belonging often sacrifices time, health, and social connection to favor of exchange for ephemeral satisfactions”, he adds.
Emotional marketing
Marketing is particularly skilled at creating artificial needs by exploiting our insecurities and aspirations. We are led to believe that some products are essential to achieving happiness, success or social acceptance.
According to Deborah Klajnmam, this strategy generates a continuous consumption cyclebased on the promise that your next purchase will improve our lives. “However, we often find that the purchase was motivated by an opportunity rather than a real need.”
Avoid excessive spending
Discover practical strategies to overcome excessive spending and regain financial control:
1. Develop emotional regulation techniques
Instead of using shopping to deal with stress, look for alternatives, such as walking, meditating, or talking with friends. This helps address the root of the emotions without resorting to consumption.
2. Adopt the 48-hour rule
Maico Costa teaches: “Establish a ‘waiting period’ of 24 to 48 hours before making non-essential purchases. This interval allows you to evaluate whether the item is truly necessary and in line with your goals.”
3. Keep an expense diary
Psychiatrist Danielle Admoni advises: “Record your purchases, along with your emotions before, during and after the act. This self-reflection helps identify patterns and emotional factors that lead to consumption.”
4. Create a value-based budget
According to Deborah Klajnmam, instead of seeing your budget as something restrictive, use it to align your expenses with your priorities, such as travel, education or others. financial security. “This reduces the temptation to make purchases that don’t fit your goals.”
5. Avoid using credit cards
If credit is a trigger for overspending, try using only debit cards or cash for a while. This can help you better control your spending.
6. Set clear financial goals
Concrete goals, such as saving for a home, creating an emergency fund, or planning a retirementhelps put your financial decisions into perspective.
“Overcoming excessive consumption habits is a gradual process that requires patience and organization. By implementing these strategies and reflecting on your emotional triggers, you can transform your relationship with money and build a more stable and informed financial future,” concludes Danielle Admoni.
By Flavia Vargas
Source: Terra
Ben Stock is a lifestyle journalist and author at Gossipify. He writes about topics such as health, wellness, travel, food and home decor. He provides practical advice and inspiration to improve well-being, keeps readers up to date with latest lifestyle news and trends, known for his engaging writing style, in-depth analysis and unique perspectives.
