Chris O'Shea
According to a recent study, 67 percent of Americans are worried about holiday spending this year. That’s understandable. The gift-giving season can be tough on your finances. One way to deal with that? Use stretch theory.
What is Stretch Theory?
Stretch theory — a term created by the cashback and coupon rewards program Rakuten. The premise is simple: Use as many cost-cutting actions as possible to make your money last — or stretch — further. So instead of focusing on cutting back, you focus your attention on finding as many deals, discounts, close-out costs, etc., as possible.
How to Apply the Stretch Theory
Here are some ways to apply stretch theory:
- Comparison Shopping. Use price comparison sites like Google Shopping to find the lowest prices.
- Shop Favorites. Check on your favorite retailers’ sales and know what will be featured.
- Rewards. Sign up for retailers’ rewards programs
- Mobile Apps. Use shopping apps and sites (Like Rakuten) that generate cash-back offers while you shop online
- Promo Codes. Search for promo codes before buying items and then use them
- Perks Card. If you have a cash-back card, use it often. Remember to pay off the card in full each month.
- Online Deals. Search online retailers for closeout deals
- Codes. Search for coupon codes and use them
Creativity is Key
The key to stretch theory is getting as creative as possible. If you put in some work, you will surely find ways to save money this holiday season.
Do One Thing: Try using stretch theory when money is tight.
