Understanding discounts

Understanding discounts

In the “Cool consumer” section, you learn to consume with smart and conscious behavior. In the following article, we will get to know the concept of discount together, a very important concept that every cool consumer should understand and use!

When you hear the word discount, images of fancy department storefronts, queues on Black Friday, you rubbing your hands to find something at a very good price and many other such moments come to mind immediately. So, let’s see more closely what it is that we define as a discount, which we find so often in our daily lives.

By discount, we mean the reduction of the price of a good or service. It’s good to know that discounting is a commercial method used in many financial strategies aimed at increasing sales of various products or services. In general, it is at the discretion of each business to make discounts whenever and as much as it wants. They are usually calculated as a percentage (%) which is deducted from the initial price of the charge. 

A quick and easy way to calculate using simple math (or with the calculator of your mobile phone) how much money you earn from a discount is the following: First, you multiply the initial price of the product (eg: 30 euros) by the number indicated on the discount (eg: 10%) and then divide it by 100. The number (3 €) is the amount of money you earn from the discount that is given to you. Then, to find out how much money you will eventually pay, you deduct from the original price of the product the amount of the discount. In our example: 30-3=27 €. 

In this simple way you can effectively calculate how much money you save each time, making the most of discounts in your life, as a truly smart consumer!