Creating Target Prices

One of the most common coupon shopping questions I get is this- How do I know if I’m getting a really great deal?

When it comes down to it, knowing if a price is good or not is essential to cutting your household spending.  The whole method-to-the-madness is to stock up when prices are at their lowest.  If you don’t know what a bargain price is for a certain item in the grand scheme of coupon shopping, then it’s tough to know if you should buy and stockpile it.

When I first began coupon shopping, it took me quite some time to develop”target” prices- the maximum I want to spend for a particular item.  But with time, I developed a pretty clear opinion of what I was willing to pay for each product in the stores.

Here are some things I’ve learned over the years about creating target prices:

Keep track of prices for three months. Figuring out target prices takes time and practice.  You’ll need to get your feet wet in coupon shopping to really figure out a true bargain for yourself.  When getting started, I suggest keeping a record for three months of sale prices and bottom-line-after-coupons-prices of items you regularly buy.  You’ll learn sale cycles and truly low prices.  After three months, I’m convinced you’ll know the difference between a so-so price and a stock-up price, or at least be on your way to learning. This price record can be mental or kept in a price book, but the key is to remember it!

Let blogs help you form target prices. When I first began coupon shopping, I read Money Saving Mom daily.  Okay, maybe it was more like six times a day. *blush* The prices Crystal shared on her blog helped shaped my idea what a “target” price might be.  If she said it was a good deal, I trusted her knowledge and developed my own idea of a bargain based on hers.  Similarly, if you’re a reader of Mrs. Moneysaver, the prices listed in weekly store posts can guide you in developing target prices.  Though not every price listed may be your “target”, reading the deals others are regularly finding helps you determine what prices you can find too!

Recognize that prices are regional. A good deal in one region might not be such a hot deal somewhere else, based on cost of living variances. Take this into consideration when developing your own target prices based on other blogs or friends living in different areas of the country.  If you’re in Louisville, Kentucky but have basing a “good deal” off of a DC blogger, you might be happy to know that you’ll often be able to score better prices than the DC shopper.  And if you live in San Fran, you’ll like get frustrated if trying to find the same bargains as someone who lives in Buffalo, NY.  Ideally, find a blog in your region to help guide the creation of your target prices.  If you need direction finding a frugal or deal blog in your area, The Frugal Map is a good place to begin.

To close, I want to leave you with some of my own target prices, just to give you a starting point.  My area’s cost of living is a bit higher than average though, so you may even be able to beat these prices!  These prices are my “target” prices, the maximum I ever want to pay for an item (unless I just have to in a bind).  I’m often even able to buy for less than my target prices.

• shredded or bar cheese- $1 per 8 oz
• yogurt cups, 6 oz- $0.25
• frozen veggies, 16 oz- $1
• cereal- $1 (though I’ll often pay less)
• organic cereal- $1.75
• razors (Fusion, Schick, Venus, etc.)- $0.49
• toothpaste- free
• deodorant (pretty loyal to Dove)- $0.75
• body wash- free
• laundry detergent- $1.99
• mustard- free
• salad dressing- $0.75
• dish soap- $0.50 per 10 oz
• canned tomatoes, 15 oz- $0.35
• meat and veggie marinade (mixes and bottles)- free
• diapers, name brand- $0.12 per diaper

Let me year ya! What are some of your target prices?  How did you go about developing those goals?

Target practice photo by Shawn Z. Lea.