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Consumers Using Voucher Codes From VoucherSeeker to Avoid the Impending VAT Rise

VoucherSeeker (PR Newswire) - 26 December 2009

Consumers Using Voucher Codes From VoucherSeeker to Avoid the Impending VAT Rise

VoucherSeeker logoLEEDS, England/PRNewswire/ -- With VAT set to increase from the 1st of January, confident shoppers know exactly how to get the best prices for their more expensive items and are turning to leading voucher codes and discounts sites such as VoucherSeeker (http://www.voucherseeker.co.uk/vouchercodes), to maximise the savings they are able to make.

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Instead of simply sitting back and passively accepting the VAT increase on products, consumers are turning to voucher code sites such as VoucherSeeker for money off more expensive items such as big electricals.

VAT will increase from the 1st January 2010, from 15% to 17.5%. It was originally lowered in order to encourage spending when the recession first hit the country. Since then, shoppers have been enjoying lower prices for items such as clothing and electricals. However, from January, the VAT rate is set to increase and therefore consumers will be spending around 17% more in tax on items.

Consumers have long been aware that using discount vouchers online will save them money. 54% of those polled for Verdict Research recently said that they used discount codes on a regular basis,. Whilst it is estimated that consumers are now saving GBP2 million every day, redeeming more than 1,500 in vouchers. According to the internet intelligence analysts Hitwise, the number of people searching for the term 'vouchers' has increased by 40%.

"Largely due to the recession consumers are getting money savvy," states Ed Wilkinson, VoucherSeeker Director "They know where and when to get Vodafone promotional codes (http://www.voucherseeker.co.uk/file/8c07f9b2387a79aa4860f829cdf713e7/vodafone -promotional-code.html) or Currys discount codes (http://www.voucherseeker.co.uk/file/a62ac26940c49940f7f8da1eabd901e1/currys-d iscount-codes.html)for money off items, how to shop to take full advantage of sales and are more willing to compare prices online. As the VAT increase looms, more shoppers will go online to avoid extra costs"

(Due to the length of the above URLs, it may be necessary to copy and paste the hyperlink into your Internet browser's URL address field. Remove the space if one exists.)

The online world makes purchasing items such as electricals much easier than when visiting a store. Shopping online can be done from the comfort of the shoppers home with no queues or sales people. Consumers can research products thoroughly before making a purchasing decision and retailers often either offer free delivery to online retailers, or give a free delivery vouchers on voucher code sites such as VoucherSeeker in order to entice consumers. Not only this, but some retailers also offer money off voucher codes for further savings if consumers search around. The high street simply cannot compete with the level of discounting.

A report by Verdict and eBay found that currently consumers spend one in thirteen pounds online but that this will change to one in five by 2020. Similarly the The IMRG Capgemini e-Retail Sales Index found that British shoppers spent 5.3 billion online in November alone. According to the research by eBay and Verdict, by 2020 online retail sales will take over offline retail sales in areas such as electricals and books.

Consumers also waited longer before doing their Christmas shopping online, putting trust in delivery from retailers and taking advantage of sales brought forward to December. Consumers held off on their Christmas shopping in order to get a better deal from retailers discounting both online and offline. Consumers were also more willing to use discount vouchers and discount codes from sites such as VoucherSeeker in order to save money. Research by Verdict Research found that 46% of people polled said they would be using promotional codes to buy presents for Christmas.

It is not just electrical retailers who will be affected by the VAT increase. Grocery retailers are also worried about price increases. A VAT levy on groceries may be on the cards for the budget next year, with politicians currently debating whether to place a 5% VAT on food to address the country's financial challenges. This would mean that shoppers may be inclined to 'shop down' to stores which offer cheaper products in order to save money. However, this could also see supermarkets offer more vouchers and voucher codes online in order to tempt shoppers. This could be more difficult however, as consumers are less likely to buy groceries online.

Shoppers have long been aware that using discount vouchers from sites such as VoucherSeeker (http://www.voucherseeker.co.uk/vouchercodes), will save them money, especially during a recession and throughout Christmas. However, many are now using discount codes in order to save money on VAT for items. VAT is set to increase in January and already consumers are searching for last minute bargains in order to take full advantage of lower VAT or to get vouchers for money off product prices. As the Vat increase looms, more consumers are willing to go online and save what money they can.

About VoucherSeeker

http://www.voucherseeker.co.uk is a leading UK voucher codes website. It features all the latest vouchers, voucher codes and discount codes from a wide range of shops and top brands. Users can use the site to find the latest discount vouchers and promotional codes to save money on many products and services. VoucherSeeker also provides its users with details of all the latest sales and promotions.

VoucherSeeker(R) and ClickAngel(R) are registered trademarks of ClickAngel Ltd. All other trademarks are the property of their respective owners.

For further information, please contact Deborah Read at VoucherSeeker: email: deborah.read@clickangel.co.uk, direct line: +44-113-380-0891.

Source: VoucherSeeker


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