Black Friday: 'Retailers go into the black and consumers go into the red'

Have you been caught up in the consumer frenzy of this Black Friday period which continues into Monday at many retailers?

On 702's Weekend Breakfast show, certified financial planner Paul Roelofse questions to what extent most purchases over this period are calculated, especially those related to wants as opposed to needs.

RELATED: Only Germans take Black Friday more seriously than South Africans

I'm sure that there some astute people that do really benefit from it, but I can't help but think that the slice of consumers that are simply swept away, they look afterwards and see that they've actually left themselves a bit worse off than they planned.

Paul Roelofse, Certified financial planner

When we start buying things we think that we should have like inflatable swimming pools, if you got a 30% discount you still spent 70% on something that you didn't really need, or want.

Paul Roelofse, Certified financial planner

Roelofse also asks whether indulging during the Black Friday period affects the traditional Christmas spend and ultimately, retailers experience a slowdown.

What do shops do after Black Friday when all the money that was allocated for the season is all absorbed into this one frenzy feed? We've still got 20-odd days' shopping left.

Paul Roelofse, Certified financial planner

You can't help but think that the banks benefit - there's a huge spin-off with the usage of all the payment instruments and all the transactions that go through on the day. Credit card companies will be a beneficiary as well... also cellphone companies with all the data usage.

Paul Roelofse, Certified financial planner

For more on the pitfalls of Black Friday and perhaps lessons for 2020, take a listen:


Recommended

by NEWSROOM AI
Read More
[LISTEN] It's all happening for award-winning actor Thapelo Mokoena

[LISTEN] It's all happening for award-winning actor Thapelo Mokoena

Mokoena's bagged a leading role in UK TV series 'Bulletproof' and is also pursuing his interests in restaurant, wine making and beer brewing ventures.

'Midlife crisis' - blessing or curse?

'Midlife crisis' - blessing or curse?

Clinical psychologist Khosi Jiyane gives her insights into what could be a call to attention leading to valuable re-evaluation.

Financial damage control: Three critical 'don'ts' to start the new year

Financial damage control: Three critical 'don'ts' to start the new year

Certified financial planner Paul Roelofse gives his top tips for financial recovery after festive season overspending.

Don't underestimate the health benefits of using an electric bicycle

Don't underestimate the health benefits of using an electric bicycle

David "Mr Active" Katz discusses the rising international popularity of battery-powered bikes as a primary form of transport.

Support the teacher your child has been assigned, urges parenting expert

Support the teacher your child has been assigned, urges parenting expert

Nikki Bush says what's thought to be a bad match often ends up being the best possible one, despite a schoolkid's protestations.

30/30/40 - the budget rule that'll help you better allocate your monthly income

30/30/40 - the budget rule that'll help you better allocate your monthly income

Certified financial planner Paul Roelofse explains the 30/30/40 rule and offers advice on how to budget better.

Popular articles
[VIDEOS] Floods causing havoc in Centurion and Mamelodi go viral

[VIDEOS] Floods causing havoc in Centurion and Mamelodi go viral

Khabazela shares tweets and Facebook posts that have gone viral.

[VIDEO] Family saved from being hit by speeding SUV goes viral

[VIDEO] Family saved from being hit by speeding SUV goes viral

Khabazela shares tweets and Facebook posts that have gone viral.