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7 things stores don't want you to know

You're looking for a deal, and they're looking to get inside your head and make you buy more than you had planned. But forewarned is forearmed; here's their game plan.

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By Naomi Mannino, Bankrate.com

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  • A method to mall madness

    Today's retailers have uncovered the science behind shopping. Your favorite mall stores actually hire such retail researchers as Paco Underhill, the author of "Why We Buy: The Science of Shopping."

     

    Underhill has tracked hundreds of thousands of shoppers to study how they shop. "There is nothing random about how a store is arranged and designed. It is carefully calculated to appeal to you in every possible way," he says.

     

    "The stores have a plan, so you should, too," says Dave Ramsey, the author of best-seller "The Total Money Makeover" and the host of a syndicated financial talk show.

     

    More from Bankrate.com:

  • The 'magic' of the display

    We can learn a lesson in Underhill's book from a story told by a retailer about a tempting display of T-shirts.

     

    "We buy them in Sri Lanka for $3 each. Then we bring them over here and sew in washing instructions, which are in French and English. Notice we don't say the shirts are made in France. But you can infer that if you like. Then . . . we fold them just right on a tasteful tabletop display, and on the wall behind it we hang a huge, gorgeous photograph of a beautiful woman in an exotic locale wearing the shirt."

     

    Resist the urge: "Write a monthly mall shopping budget and stash cash in an envelope specifically for that purpose. When the envelope is empty, stop spending," says Ramsey. "A written budget makes you think twice when you are tempted by impulse buys."

     

    More from Bankrate.com:

  • When BOGO and two-fer deals are good

    BOGOs (buy one, get one), two-fers (two for the price of one) and other bundled-item promotions successfully tempt you into shopping more often and spending more to raise the store's number of sales as well as ticket averages, or amount of each sale. They're not always a good deal for you if you're not familiar with the store merchandise and its regular prices. "You're not saving if you are actually spending more than you planned," says Underhill.

     

    Resist the urge: "Know your favorite retailers, brands, regular prices, promotions and discounts -- and always check the clearance area first to find a similar item on sale to avoid buying two of anything and spending more," says family financial expert Ellie Kay, the author of "The 60-Minute Money Workout."

     

    "Ask yourself, 'Do I really need two sweaters or two of the same jeans?'"

     

    More from Bankrate.com:

  • Don't turn right when entering the store

    "Retail shopping studies have found that most people turn right when they enter a store. That's because the majority of the population is right-handed and right-oriented," says Underhill.

     

    Knowing this, stores highlight tempting new items and trends to the right of the entrance. You'll find that the music is louder and the displays are brighter to attract you where you will look and turn first. This is also where the most expensive items in the store are generally displayed.

     

    Resist the urge: "Shop with blinders on," says Kay. "Stick to your list with the cash in your hand. Avoid credit card debt at all costs, and head straight to what you came for."

     

    More from Bankrate.com:

  • Why clearance items are in the back

     The clearance racks are placed in the back of almost every mall store on purpose -- so you'll be tempted by everything else more expensive in your path.

     

    You have to pass all the new trends and displays, all the sales and promotions. Retailers are hoping that your hands will be full by the time you reach that clearance area, so you will not be able to stay there and search for the better deals, says Underhill in his book.

     

    Resist the urge: "Head to the clearance area first to find the best deals," says Kay. "This way, you will have a frame of reference for comparing prices of similar items in other parts of the store and will be able to make smarter choices."

     

    More from Bankrate.com:

  • Why the clearance area is messy

    "It's really hard to conquer the clearance area in some stores, because it's actually designed to make you not want to spend time there," says Kay.

     

    Retailers know shoppers want to easily find the size, price and item neatly displayed. So they purposely create the frustration of the poorly marked and poorly organized clearance area to tempt you toward the beautifully displayed and perfectly organized full-price merchandise.

     

    Resist the urge: "Never shop when you are rushed for time," says Kay, "because this leads to making rash decisions." Instead, she advises setting aside time to shop, dig and search for what you truly want, need and can afford from the clearance section.

     

    More from Bankrate.com:

  • Beware the small stuff around the registers

    Impulse items are tempting goodies such as jewelry, sunglasses, fragrances and magazines that you did not plan to buy. They are displayed purposely near the register. In retail jargon, these are called add-ons (in addition to your main purchase), and they can increase your credit card debt faster than you can say, "Oooooh, pretty!"

     

    Resist the urge: Kay's shopping wisdom is, "Never enter a mall without a specific shopping list. Then, use my 'list test' to justify an off-list purchase with three valid reasons including: paying cash (not credit), a great discount and necessity of the item. Not only will this hassle slow you down until the impulse passes, but you can actually reprogram your mind and habits to shop this way automatically."

     

    More from Bankrate.com:

  • Be selective when shopping with friends

    "Two best-friend reckless shoppers who both give in to every temptation can overspend into a credit card debt disaster," says Kay -- and retailers will do whatever they can to encourage that. You can even have your Facebook friends weigh in on whether you should buy those jeans; you can also use a dressing room app that elicits "buy it" responses from strangers.

     

    Resist the urge: Kay explains that different people have different shopping personalities. "Some people get frustrated easily, some shoppers are impulsive, and some shoppers persevere more than others. If you're going to take a friend shopping with you, take someone who can balance your impulsiveness with their perseverance" (or vice versa if your friend needs the help), she says.

     

    More from Bankrate.com:

  • What do you think?

    Tell us your thoughts on the MSN Money Facebook fan page. Then check out these other articles on MSN Money:

     

    Published Nov. 2, 2011

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    147Comments
    tigertail1968
    Nov 10, 2012 10:34PM
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    The term "add-on" is incorrect.  The ACTUAL term is "Impulse".  They're known as "Impulse" displays, NOT add on.
    Koumoru Doumoru
    Nov 10, 2012 10:29PM
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    Clearance areas are messing because Customers constently trash it, i saw a lady just drop something she didn't want on the floor, Sometimes I want to just slap some of the people i see over there. and stores want to get rid of clearance ASAP, otherwise they lose money each time it is marked down, I am sick of reading stupid articles, where the person writing is just making guesses based on what sounds like it makes sense.
    javascribe
    Nov 10, 2012 10:17PM
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    While there are common sense shoppers and lame ones, the thing that will drive me out of a store is the rude sales clerk or the ten clerks trying to stock while one cashier keeps a line of customers waiting to pay. Not rocket science--no marketing study needed--and they won't change until you take your dollars elsewhere. Exit signs abound.
    Steve Harkness
    Nov 10, 2012 10:05PM
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    You know these hacks that call themselves writers make their living by trying to paint everyone else in business as thieves and charlatans. It's marketing you idiots, everyone does it from the super markets to the heading of you garbage story "7 things stores dont want me to know" Oh, I had better read that...NOT!
    cactuscat
    Nov 10, 2012 10:02PM
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    BOGO is a rip off most of the time...especially in grocery stores. I saw a Safeway ad for Ballpark Angus Franks BOGO but the buy one price was over $8.00. Would you normally spend that much for a pack of hot dogs?

     

    Another rip off is "Save $5.00 by buying any ten items." You don't really save the $5.00 because prices have already gone up to compensate. It is getting so bad in the major chain grocery stores that you need to buy only one item in order to get the true price of that item.

     

    The worst thing at grocery stores is the "4 hour or 8 hour sale" . You walk up to the check stand 5 minutes early or late and you pay full price.

    randisue Baloo (nomm)
    Nov 10, 2012 10:01PM
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    I don't appreciate the sexism in the article---MEN shop too!
    claylady 01
    Nov 10, 2012 9:52PM
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    All businesses are in business to make MONEY and a decent profit.We the shoppers are always shown the best side of everything they have to offer even grocery stores have certain ways of pre-senting their products.I didn't read the whole article but know a little about retail sales and their window displays are many times vital to get buyers inside the store so hopefully they can make a sale.I know there are unscupulous  business owners out there and I have worked for some of them but most retailers are decent folks that are just trying to make a living.I think it takes a lot of courage to start your own business and then make a good living from it.I really respect those who succeed at it.A good business manager is worth their weight in gold. !
    d a
    Nov 10, 2012 9:44PM
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    For a very long time i am suspicious of it all, don;t believe it all, they are in business to make millions and could care less about the consumer, gotta really what youself
    S.H.Y
    Nov 10, 2012 9:09PM
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    like us! simple happy you (S.H.Y) on facebook! help us get over 50 likes

    BETTY206
    Nov 10, 2012 8:59PM
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    IDIOTIC

    YEARS OF CLEANING UP CLEARANCE RACKS TO PROVE IT.

    THE AUTHOR SHOULD ACTUALLY DO HIS/HER HOMEWORK RATHER THAN MAKE SUCH GOOFY ASSUMPTIONS.

    ModelAMike
    Nov 10, 2012 8:29PM
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    They're not "tricks".   It's called Marketing.  You're in business to make money.  There's an inherent risk in everything you buy to put in your store.  Maybe it will sell.  Maybe it won't.  You have to have enough of a mark up on the original stock  to balance out the potential loss of selling the leftovers.  When you get down to the last few items on a lot of different styles, it can't help but look "messy".  Consumers just have to remember to shop for what they "need", not what they "want".
    Skyhomish
    Nov 10, 2012 8:25PM
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    I've also noticed that the clearance racks pretty much disappear during the holidays.
    Gotham Bus Co.
    Nov 10, 2012 8:18PM
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    If the stores don't want me to buy clearance items, they should either throw them out or sue me for buying them.
    lrg dog (lrgdog)
    Nov 5, 2012 10:42PM
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    yeah and one last thing "How to save Money" if you can't afford it you don't need it and neither do your kids ... guilt trips be damned
    lrg dog (lrgdog)
    Nov 5, 2012 10:40PM
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    and another thing ... all these self help books ... jeeeeeez the only preople helping themselves are the authors and publishers and they are helping themselves tp your money, and by the way ladies and gentlemen ... contrary to popular stupid belief, it DOES NOT take a village to raise your kids ...it takes two parents or a single parent with some brains. And please don't tell me how hard it is I already know, out of three 2 are great and I'm stll hopeful for the third
    lrg dog (lrgdog)
    Nov 5, 2012 10:31PM
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    what I don't understand is, instead of all the dumb sales and millions of coupons, price the product at a reasonable price and save a whole bunch of money with the ads and printing costs.

     

    you people remind me of the IRS, get rid of the IRS, tax everyone 10%, you won't have tax cheats  and the feds will have more money than they will know what to do with.

     

    So the point of this disertation is cut out the BS, price products fairly and you will elimanate a whole bunch of unnecessary costs, and you retailers will be making a ton of money, and the consumer will be buying from you more often ... Oh yeah and you won't have that person in front of you with 300 coupons when you have a gallon of milk to buy.

    lrg dog (lrgdog)
    Nov 5, 2012 10:22PM
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    "How to books", ie; raising kids, shopping, credit cards, ect ect ...Yep I keep em in the outhouse, real handy, since there ain't no more sears catalogs ... oh and all the junk mail ... keep it acomin' I shredd it and use it fer packin boxes and it's FREE ...OR ... send it back blank, in the prepaid envelope and let usuns not fergit to git as many cans of coupon sweet taters to stock on our shelves, yep and weuns still have the other 25 cans weuns bought last year
    noshopwm
    Nov 5, 2012 6:18PM
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    This article was a huge waste of time.  Everyone knows that if you stick to your shoppeing list you will spend less.  Just avoid the diversions. 
    A I
    Nov 5, 2012 3:55PM
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    Being in retail only for 3 years and in a number of companies, I've learned everything is a ploy to get you to buy it. Whatever *it* is, there is a way they will convince you, somehow, to buy it. But when you're one of the many people who've worked in retail already whether you were a cashier or a sales associate, managers give you this, this and that so the customer will be exposed to it, with its easy access and low price.

    Low prices don't mean quality though; if you shop at a Ross or TJMaxx, you ARE getting what you paid for. The soft-line industry of discount stores are there to get rid of faulty or defective merch for less because they know they can still make money. Whether stitches are out of place, or the colours wash out of the fabrics in two washes, it sells, you buy, and the cycle continues.

    To retailers, you are the stupid and ignorant farm pigs that reproduce, nothing more.

    Stop buying **** that was made in India, China, Indonesia, etc~ You're paying for the hard labour of children who get paid little to nothing for your "great price," and "fashionable" wants, not needs.

    Ranting. Safe to say '**** you' to customer service. People are stupid. Go buy your cheap crap and living a sub-par life paycheck to paycheck.

    Rise Up America
    Nov 5, 2012 1:57PM
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    One thing a store should know: Us shoppers are not stupid and we will shop at stores that give us a good everyday value and don't play games! Ha, these days when you go into most specialty stores most everything is always on sale! Wal-mart used to adopt the every day value price but let the buyer beware: In the last year Wal-mart has raised its prices and now is not "the low price leader" anymore!
    Oakwood13
    Nov 5, 2012 10:20AM
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    What a waste of time reading this.
    Skippy1961
    Nov 3, 2012 1:15AM
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    I have worked in Retail for over 30 years.  From hourly to management.  Though I can not speak for all retailers, I can for those I have worked for.  Keeping clearance areas deliberatly a mess is not done!  Clearance is a liability to most retailers.  They want it gone as quickly and with as much profit as possible.  Clearance does not sell when it is a mess!  Gross margin can plummet when clearance does not sell.  When gross margin goes south so can a company.  This seems to be a typical journalistic assumption with no basis in fact!

     

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