During the ‘depths’ of the recent recession, it became almost an obsession with some people to try to use coupons to get ‘something for nothing’. These ‘extreme-couponers’, as they were dubbed would spend precious hours every week clipping coupons and looking for printable coupons online in order to save a few cents or a few dollars here and there. My wife and I, for the most part, simply don’t clip coupons. Yes, we live simply and yes, we look for sales. But, coupon clipping is just not part of our shopping strategy, and here are 3 reasons why.
1. The Opportunity Cost of Clipping Coupons
Wikipedia definesopportunity costas “the cost of any activity measured in terms of the value of the next best alternative forgone (that is not chosen)”. So what does that mean in layman’s terms as it relates to coupon clipping? It means that if the value received from a. an activity (time spent coupon clipping) is trumped by the value of b. an alternative activity (working to earn cash, or quality leisure time), then choosing option b. is more advantageous and less complicated in order to live ‘simply’. Basically, we feel the time investment isn’t worth the value we receive.
2. Coupons Are For Brand Name Items
Often, coupons are for brand name items that cost more in the first place then their no-name counterparts. So, if you use that $1 off coupon for brand name dish soap and the no-name brand is $1.50 less already, how much have you really saved? We’d rather avoid the hassle of coupon clipping and go for the off brand product which in most cases is just as good a value.
3. Coupons Encourage More Spending
Most coupons are along the lines of ‘buy one, get one for 50% off!’. What if I only need one item in the first place? Now, with a coupon, the manufacturer has successfully convinced me to spend 50% more than I initially planned to spend. You’ll see this a lot with retail shoe stores. If a shoe manufacturer with a retail outlet can sell a second pair of shoes to you for half price and still make a profit, you know the markup on their shoes is pretty high.
Reader Response: Do you use coupons as part of your saving strategy? Why or why not?
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We don’t clip coupons. Last year I used to use a couple of coupons on purchases (nothing crazy, honestly just 2 or 3). Because of that I had a stash of toothpaste, shampoo and other household things that lasted me almost a year. It sucked having to actually pay for it!
I completely agree with you. I don’t clip coupons because of point number one. If I happen to see a coupon while browsing through the paper, and I happens to need the product at that time, then I will use it, but I don’t go looking for coupons.
I only clip them if they end up right in my face and are for exactly what I need at the time. It doesn’t happen very often. I just don’t have time anymore. I buy what’s on sale and do just fine!
I do use coupons when I have them. I don’t go out and buy the newspaper just for coupons or anything like that but I have had some bad experiences with generic versions of some of the items that I have so I don’t usually buy them. I only use coupons if it is for something that I regularly purchase. Usually I clip them when I am a passenger in the car or I have one of my children cut them for me. I have 4 children and they are small enough to need the practice with scissors but old enough to use them sparingly supervised.
I don’t clip coupons because they would only bring my expenditures down to a around $0. I’d rather devote my time to other income producing streams that have limitless potential.
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