MAKE YOUR DIRHAMS GO FURTHER OVER EID
▶ Redeeming credit card points, using Ramadan sales and planning ahead to buy gifts all add up,
Ramadan and Eid Al Fitr are usually associated with higher household expenses as families in the UAE host iftars and suhoors for family and friends, buy gifts and clothes, and splash out on entertainment, staycations and travel.
However, affordability and ways to save on costs are more important than ever during the global cost-of-living crisis.
Sharib Suhail, a media officer for a business set-up company in Dubai, co-ordinates with friends and family to take advantage of group discounts on activities and events during Eid celebrations.
“The best way is to go on Groupon and Coupon.ae to see what offers are currently active and use them to reap maximum benefits,” he says.
“I also organise potluck iftar gatherings with family and friends, where each person brings a dish to share, reducing individual costs and encouraging variety. Also, shop during sales or off-season for Eid clothing and accessories at lower prices.”
This year, costs are expected to be higher for Ramadan and Eid compared with 2022, according to a February study by Toluna, a market research and consumer insights provider.
Consumer shopping in the Emirates during the holy month is also expected to increase by 33 per cent this year compared with last year, the study found.
The increase can be seen across all categories, including entertainment (up 25 per cent from last year), groceries (up 23 per cent), socialising (up 24 per cent), travelling abroad (up 21 per cent), staycations (up 28 per cent), food deliveries (up 28 per cent) and cosmetics (up 28 per cent), the findings showed.
About 91 per cent of respondents to the poll plan to give Eid presents this year.
While 39 per cent say they will increase their spending on Eid gifts, 48 per cent aim to make the occasion more special to compensate for the pandemic years and to treat themselves and their loved ones, the study showed.
Sweets, toys, cash and perfumes ranked high on the list of most popular Eid gifts for family members, according
to Toluna. When asked which factors influenced their decision to buy during Ramadan, 53 per cent of those polled chose deals and promotions, while 56 per cent were swayed by price, the survey found.
Mr Suhail plans to redeem credit card reward points and use other loyalty programme benefits to take advantage of discounts on shopping, dining and entertainment.
“As part of the Eid celebrations, I plan to treat my family to a movie and avail one of the ‘one plus one’ movie ticket scheme offered by Emirates NBD U By Emaar credit card, thereby saving 50 per cent of my money,” he says.
“Throughout the year, I make a conscious decision to build my Emaar credit card points to treat myself and my family to restaurants and activities.
“That’s an excellent way to make Eid more memorable, while not burning a hole in your pocket, even when prices soar during the festive season.”
Mr Suhail also uses his credit
card to access airport lounges while travelling and redeems his Emirates airline miles to buy flight tickets or get discounts.
With Eid holidays mostly predetermined, he books his flights well in advance or during off-peak times to save on travel costs.
“I always go to websites like Tripoto or MakeMyTrip to book my holidays and use their discount coupons to reduce the pricing of tickets and accommodation,” he says.
Similarly, Kabir Malkani, a marketing consultant in Dubai, recommends booking staycations and flight tickets during the first 15 days of Ramadan, because everything is more expensive in the second half of the holy month.
But if you are making a last-minute booking, try to travel a day or two in advance of Eid or the weekend before, to take advantage of cheaper flight tickets, he says, adding that everything becomes “exorbitantly priced” during Eid. Mr Malkani also suggests
that shoppers take advantage of the Ramadan sales offered by supermarkets and retail brands across the UAE.
He cites further price reductions and clearance sales, especially in the last few days of Ramadan. “There are discounts on food items, vegetables and frozen foods for iftar gatherings,” he says.
“Go on coupon sites like Groupon and Cobone to see iftar deals. Even dhow cruises are offering discounts, with iftar meals being priced from just Dh29 ($7.9),” he says.
“Do a thorough online search for discounts and deals across the UAE.”
Rasheda Khatun Khan, a wealth and wellness expert and founder of Design Your Life, recommends putting aside money every month throughout the year to use during Eid.
When you come across a good deal, bag it and save it for the next Eid, while planning ahead is key to saving money before the celebrations, she adds.
“Get your groceries ahead of time. Whether the Eid lunch or dinner is at your house or somebody else’s, get what you need,” Ms Khan says.
“There are so many Ramadan offers on in stores throughout the UAE. So, take advantage of them. If you’re going out for dinner, find the place now and book. A set menu or fixed price usually works out better. Alternatively, do a barbecue. The weather is perfect.”
With many families sharing gifts or exchanging money, especially among children, it’s better to arrange this now.
Finding a last-minute gift can often be expensive. Make a list of all the people you want to buy something for or give money to, Ms Khan says.
It’s also common to buy new clothes for the family to wear for Eid. Purchase them now, especially if the item needs ordering or tailoring, she adds.
Ms Khan also suggests that people take advantage of Ramadan offers and start budgeting now for Eid Al Adha, because it is only two and a half months away.
In a bid to boost financial savings for its customers, UAE-based money management app Sav helps users save money while shopping by rounding up users’ purchase amounts and adding the spare change to their savings goal.
“For example, if you buy a gift for Dh196, Sav will round up the spare change of Dh4 and add it to your savings goal,” says Purvi Munot, co-founder and chief executive of Sav.
“In addition, you can earn Sav coins for every dirham you save on the platform and use these coins to get discounts from your favourite brands.”
The app, which can be downloaded on the App Store and Google Play, offers rewards and perks for good financial behaviour, such as cashback on purchases and discounts on popular brands.
You should also check with your bank or credit card provider to see if they have any special Eid deals or cashback offers, Ms Munot says.
“Because Eid involves several purchases, it’s important to do your research and compare prices online to find better deals. Make sure to check different e-commerce platforms and take advantage of their best offers and discounts available.”
She advises shoppers to use the 1 per cent rule to avoid overspending during Eid.
Under this, if you plan to buy something that costs more than 1 per cent of your annual income, you should delay the purchase by a day, she says.
This principle also applies when you’re buying things that you don’t necessarily need.
This trick will ensure that you keep your impulsive purchases in check.
There are so many Ramadan offers on now in stores throughout the UAE. So, take advantage of them
RASHEDA KHATUN KHAN Founder of Design Your Life