Woolworths gift card discounts reducing. Investment in gifts card at 5% discount provide better return then any bank can provide as long as you don't lose the gift card.
Suncorp already sold out $500 denomination gift card as of this evening, which represent possible bulk buying. This poll is to see what is majority investment amount from ozbargain community !
Update : " for poll select the amount you spend not value of gift card "
We need $0, $100, $200 options.
Why does OP think almost everyone will be triggered?
I think Woolies is probably undergoing a giftcard rebranding process, e.g. phase out old Wish eGCs and introduce store specific eGCs, no more universal eGCs, on par with Coles. The reason why I say so is that the instore numbers for redemption extend from 10 digits to 13 digits now, with the first 3 representing store.
Poll is for those who normally buys Woolworths gift card…. assuming those who don't buy would probably won't vote !
But in hindsight, I should have allowed for it.
Normally buy, but not gonna stock up.
They are doing it already, I got Dan Murphys gift card can use only for Dan
My new thinking is: Woolworths copies the model of Wesfarmer/Coles eGC, to phase out discount eGC from its own portal and only sell them at discount through other channels like Suncorp, NIB, etc. Thus, it will disappear from Cashrewards/Shopback soon. Wish eGC/GC is comparable to Cole & Myer Group GC as a multi-store option. People who stocked them up will only save 2% at most as the 3%/4% discount will be ongoing.
I used to buy these all the time. But then I thought, "is there a chance that I would lose any giftcard I bought (especially online ones), or a chance that I could would somehow overlook the remaining credit of a partially used giftcard?"
Once I conceded that this was a real possibility, then I knew that the potential saving could never be 5%. Then I thought I would only have to do this 1 in 20 times (or 1 in 40 times for a partially used card) for me to wipe out my saving. That's when I stopped.
One of the biggest advantage with Woolworths gift card is that they provide money app which saves your card and update the balance…. So unlike coles and other where you need to go to website to check the balance this Woolworths app store card details, update the balance automatically and also allows you to use the card by scanning at caltex or Woolworths or bigw or bws.
I used the app quite religiously, but often it wouldn't update - it would show a credit (when there was none left). If it was doing that, there would have to be a non-zero chance it would fail to show a gift-card I had bought. The potential saving just needed too much manual checking to be worth it.
@Almighty Dollar: Funny story. After my rant here, a week or so ago I relented and spent a couple of hundred on WW gift cards, then added them to the app - and discovered I had 4 gift cards with partial balances on them. Nice windfall.
I save straight to the app as soon as I buy. No chance I can lose it then. Real time updates works really well. Allows me to share digital cards with wife too
These polls are quite a waste of time, but i voted!
I voted for your comment instead. :)
if you buy $5000, do you select option 2 or option 3???
Good question. Also do we pick what we paid or what the value of the gift cards is?
Oh yes, well spotted, cos the question is ultimately "how much did you invest", as opposed "how much value did you buy"
It is about what you paid not what is the value of Woolworths gift card.
Poll is for amount of money you invested out of pocket not how much is gift card value. So for $5000 worth gift card would cost you $4750 so you select option 3 from top.
Yes but if you spent $5,000?
You need to change the poll options so it’s
$5,001-xx
And so on
Agree with you but system won't allow me to change poll once published so hope moderator does that after reading the post !
You know what would be funny? after they stop selling these giftcards they announce you have 1 month to use up all your credits.
Invest in TP?
.
Just add them to multiple Opal cards
I haven’t seen any evidence thst 5% gift cards are being reduced everywhere. No RAC has said this.
I got one via an employer portal that has said they will reduce the discount from 5% to 3-4% depending on which gift card type/which stores they could be used in. Woolies/Dan Murphy's etc. So will probably at least be a reduction everywhere
Is it an investment? Doesn't generate an income. It is similar to holding cash, except worse because there is limited outlets.
Your question an br answered by answering this.
Do you shop regularly at woolies/woolies petrol/bigw/etc?
If yes, then yes. If no then no.
How much do you hold or store in WW gift cards.
You don't also have a BMW as an investment too do you?
I will purchase the amount that will equate the last dollar to have a PV=to cash in bank, as i expect WOW credit risk to be the same as a bank in the short term
you can find out my investments by reading my past comments.
I've read your posts in the past, i suspect you do fine for yourself, but less than fine for me (personally)
I will purchase the amount that will equate the last dollar to have a PV=to cash in bank, as i expect WOW credit risk to be the same as a bank in the short term
Comparing WW gift cards to risk free rate. As said, you just turned cash into equivalent value of limited appeal (you can only use at certain outlets and can't turn it back into cash).
I am not interested in look at everyone's posting history and comparing who wants to compare the bigger money bags. That is just a waste of time and trying to give each other a good smack in the mouth to feel go.
@netjock: Equivalent value of Limited appeal? Lol, you can say that about any post here. You turn cash into something of value to you. If you value groceries at woolies, great deal. If you don’t shop at woolies, move on.
You’re not interested in the jest but you do like throwing out the BMW high yield investment line. What goes around comes around.
You’re not interested in the jest but you do like throwing out the BMW high yield investment line. What goes around comes around.
At least I don't waste my time trawling through people's previous comments. Nice to know you have so much time to waste. You call it karma. I just call it people who spend way too much time in the vain hope they can find a hurt point. Everything I say here is politely understated because unlike most people on here I don't think I need to disclose every last cent I got just in case someone has a few cents less.
Equivalent value of Limited appeal? Lol, you can say that about any post here.
I am not talking about other posts. I am talking about specifically the idea of swapping real cash for a gift card which you can use at limited outlets. As I have said on this thread. You would not put $10k into WW gift cards because when it comes to the crunch you cannot convert it back into cash to pay your mortgage 1:1 and quickly.
You conveniently skip over the central point:
I will purchase the amount that will equate the last dollar to have a PV=to cash in bank
Problem is cash at bank can be used to pay all manner of bills where as WW gift cards can't. Only reason you should buy WW gift cards is if it is greater than interest earnt cash at bank.
This is the central question. If you have a home loan at 2.5% and you got a HSBC account giving 2% rebate I'd rather put money into my home loan and use HSBC than buy WW gift cards for 0.5% saving.
At least I don't waste my time trawling through people's previous comments.
I don't, I read threads like most people do as they come. But unlike you, i remember peoples comments and the person who wrote it. So I don't need to trawl thru your old comments, I actually remember them. Sorry if having an amazing memory offends you.
"I've read your posts in the past" (all past tense)Nice to know you have so much time to waste.
We all read these forums, given you have 3k comments in 2 years and i have 5k in 10 years, looks like you have more time to waste?Only reason you should buy WW gift cards is if it is greater than interest earnt cash at bank.
Thats one thing we can all agree on
but it seems like your maths is about as good as my 3yr olds if this this your follow up example:
If you have a home loan at 2.5% and you got a HSBC account giving 2% rebate I'd rather put money into my home loan and use HSBC than buy WW gift cards for 0.5% saving.
because these gift cards give you 5%, and for those whom have no mortgage, which earns around 1.25% interest, or 1% after tax. It is 5 times the savings rate.
Which is why, as i explained, you calculate based on the facts of your life. I made no indiscriminate call saying its good.
Something you continue to ignore.
over to you for a come back (which i'm sure you will have lol)
because these gift cards give you 5%, and for those whom have no mortgage, which earns around 1.25% interest, or 1% after tax. It is 5 times the savings rate.
Yeah I am sure those with no mortgage, like that only makes up 32% of the population and they ALL on OzB it seems.
but it seems like your maths is about as good as my 3yr olds
Another childish comment to trying to make yourself the adult in the room.
@netjock: uh oh, the only reply is calling out childish behaviour, lol.
To be honest, I am a child, happy to admit it. But smart enough to recognise it, What’s your age ;)
People who buy should just use some maths to work out the amount their should buy.
How you do you spend per Period. What’s your interest rate and tax rate on that interest.
Got all those and assume woolies has similar credit risk of a bank and you’re good to go to get a number you should buy.
Most people won’t do the maths or don’t know how to and just buy whatever though.
I forgot how to math after ABC pulled The Checkout
Agree what you said. I normally get 14.5% discount once every month by combining 10% for willies mobile and 5% gift card…. So I bought card that I need for 1 year shopping.
How does this work? Combining Mobile and discount gift card?
I just shop at Aldi so that I have more money for real investments (like high yield investment vehicles).
I've checked the prices of all sorts of things that I buy and Aldi weren't cheaper. The main way they're cheaper is if people are more willing to try their brands than woolworths brands. I've heard some of their brands like chocolate are superior but buying chocolate isn't good for me anyway.
Well Aldi was cheaper until wollies announced 10% discount each month with their mobile plan. I get 14.5% discount on everything I get once month from Woolworths by combining mobile discount with 5% gift card discount.
Same. It’s a good deal at 14.5% off
Investment in gifts card at 5% discount provide better return then any bank
What is the APR on this so-called investment? Is 5% per year?
I guess depends upon total investment and number of years you need to spend all gift card. Ideally good to buy what you need for 1 year and APR would work better for you. Anything more than 1 year reduce APR.
An investment that loses its value over time is the same keeping FIAT in a bank.
That's true but not true in this case. As people use the gift card and don't keep it in bank. This investment is more for those who use Woolworths for regular shopping.
@SydBoy: Customers that have purchased the GF has already deposited 95% of their money to the company's bank account.
as long as you don't loose the gift card
An Ozbargainer post a story of how he lost a couple in the past. Take note. Doesn't take many to offset, and possibly more, any saving.
It is possible to loose physical gift card but electronic gift card through suncorp app is hard to loose as app saves them and you can access them when you like.
If your gift card is loose, perhaps you should tighten it.
Good point… thanks for spell check!
I bought a $500 card
$0. I don't normally shop at Woolies as their fresh produce section is seriously underwhelming and they shaft Aussie brands more than Coles. Though Woolies do stock more Aussie brands compared to Coles normally.
Fresh produce from wollies and coles are expensive compare to weekend market such as flemington or parklea market in Sydney.
Of course farmers markets are often better but they don't run everyday (where I live) so sometimes you need to get something from a supermarket.
Seriously disappointed this is ending. I've used this over the past few years. Bought $5000 tonight.
On today's catalog, it shows 140 price dropped products for Christmas. They are all every day same price products.
https://www.woolworths.com.au/shop/productgroup/discover-chr…
Obviously, something good before has to go to subsidize these savings.
Noooooo. I've been using these eGift cards for years.
That's not an investment because no financial return is expected.
$0 Too much effort.