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A big red "SALE" tag does not mean you are saving money. Stores sometimes raise a price for a few weeks and then "discount" it back to where it started, or compare it with a price almost nobody ever paid. None of this is unusual, and it is why a lot of shoppers feel they never really know whether a deal is a deal. The good news is that you can check in a few minutes. Here are five checks to run before you click buy.
The only number that really matters is what the item usually costs. A label that says "30% off" tells you nothing if the product sold at that same price last month. The cleanest way to find the usual price is to watch the product for a couple of weeks, or to use a price tracker that records it for you.
Write down two numbers: the typical price and the lowest price you have seen. Together they form a simple map. A real drop is one that lands near the bottom of that map, not a small step down from the top.
The crossed-out price next to a deal is often a list price that few stores ever charged. It exists to make the current price look better. Treat it as decoration.
A better question is what other retailers are charging today for the same model. If three stores sell it within a few dollars of each other, the sale price is probably just the market price, however dramatic the banner looks.
A quick comparison across two or three retailers shows whether the discount is genuinely lower or simply matches everyone else. Include shipping, taxes and any fees, because a low sticker price can disappear at checkout.
Make sure you are comparing the same product. Model numbers matter. Retailers sometimes sell a slightly different version of a popular product, with fewer features, under a nearly identical name.
Large discounts tend to cluster around certain events, such as Black Friday, Boxing Day and back-to-school season, and around the arrival of a new model. If you are shopping on a quiet week and do not need the item right now, the "deal" in front of you may be weaker than the one coming in a few weeks.
On the other hand, if the item is already near the bottom of its usual range, waiting for an event does not guarantee more savings, and the stock you want might run out.
Once you know the usual price and the going rate at other stores, decide in advance what you are willing to pay. Then stop checking. A price alert at that number does the watching for you, which also protects you from impulse buying on a day you happen to be in a good mood.
The target should be realistic. Aim a little below the usual price, not at the all-time low, or the alert may never fire.
Suppose you want a pair of wireless headphones. You track them for two weeks and see they usually sit around the same price, with one brief dip. Two other stores charge about the same as the usual price. A banner then announces a big discount, but the new price is only a small step below the usual one. Your checks tell you the banner is mostly marketing, so you keep your target and wait. If the price later reaches the lower number you chose, the alert goes off and you buy with confidence.
Kangaroo Kart is a price drop alert app: paste a product link, name the price you would be happy with, and get a notification the moment it drops. The app is launching soon on iOS and Android, and you can join the early list to hear the day it lands.