Supermarket

Listen to the hype and you'd be forgiven for thinking that the supermarkets are falling over themselves to give you the best ever deal.

But supermarkets have spent years learning how to target our impulses and encourage us to spend more. Here is a handy guide to their tricks to help you resist:

Go the whole distance

Supermarkets are designed with regularly bought items spaced evenly around the store. So, even if you only went in to buy a few things, chances are you will be tempted on the way. Then there are the sweets and the magazines by the till. Stay. Focused.

'High' low pricing

Everyone loves a bargain and spotting your favourite food at 50 per cent off can be tempting. It's not such a good deal, though, if the supermarket has doubled the price of the product in the few weeks before the promotion, so they can claim this massive discount. It does happen. Keep your wits about you – you know what you should be paying.

Flexible prices

Just because it is the same name over the door, it does not mean you will pay the same for your weekly shop which ever branch you visit in the UK. Supermarkets use what is called 'dynamic pricing'. This basically means they charge what they can get away with and you will pay more if you live in an affluent area. You will also pay more for the same item if you shop in a supermarket's town centre convenience store rather than its large out-of-town store.

National v local

Ever noticed that when a supermarket giant brags about its low prices, it always compares them to a rival large chain, not a local independent grocer? Guess what, just because they have massive buying power, supermarkets are not always cheaper than your high street independent grocer. They are just more convenient.

OK, this is not the case with branded and processed food, but swap your fresh food shop to a local store or market stall and you could save an astonishing amount of money.

Bulk buy bonanza 

A staggering £8 billion of food is thrown away in Britain every year, which is one third of what we buy. Yet, the whole supermarket experience is dedicated to getting households to buy more. Promotions such as 'three for two' and 'buy one get one free' are great, but will you really use three mangoes in a week?

The small print

Bright colours and the word 'discount' or 'sale' make you feel good and it is often hard to see beyond the stickers screaming 'half price' or '£1 off'. But it is worth taking a moment to consider the small print. The banner might well be referring to the price per kilo instead of the price per pack. So on a relatively light item such as mushrooms, the price reduction is, in fact, virtually worthless.

Written by Teena Lyons. Teena's views are her own and for general information only. Always seek independent financial advice.