Beware of Discount Traps! 3 Signs of a 'Subscription Trap' During Black Friday

Black Friday and Cyber Monday are just around the corner. Our email inboxes are likely already flooding with offers screaming: "80% Off!", "Only $1 for 3 Months!", or "Once in a Lifetime Deal!".

It's hard not to be tempted. Who doesn't love getting premium tools or streaming services for the price of peanuts?

However, behind those flashy discount numbers, cunning business strategies are often hiding. In the digital subscription world, this is known as a 'Subscription Trap'. The goal is simple: make it easy for us to get in, but make it difficult (or easy to forget) for us to get out before the expensive normal price hits our credit cards.

Before we hit that "Subscribe" button out of FOMO, let's recognize the three main red flags of this trap.

"Free"... But Credit Card Required

This is the classic tactic that traps us most often. A 7 or 30-day free trial sounds harmless. The problem arises when the service requires us to enter payment details upfront.

Why is this a trap? Because these companies are betting on our forgetfulness. They know that in our busy daily lives, most of us will forget the trial expiration date. As soon as the clock ticks past midnight on day 30, the system automatically charges the full subscription fee which is often sky-high without warning.

The First-Year Discount That's "Too Good to Be True"

Ever seen a VPN or hosting offer for $2 a month? Extremely cheap, right? But take a closer look at the small asterisk (*) at the bottom.

This is the introductory pricing trap. We pay a cheap price only for the first year (or the first billing period). Once that period is up, auto-renewal kicks in at the normal price, which can skyrocket 300% to 500% from the initial price.

We often don't realize it until the bank notification comes in a year later, when we are already locked in and the money has been automatically deducted.

The Cancellation Maze

Have we ever felt that signing up for a subscription was as easy as one click, but when we wanted to quit, the "Unsubscribe" button seemed to vanish into thin air?

This is called Dark Patterns. Companies intentionally design user interfaces (UI) that complicate the cancellation process. We might have to click through 5 different pages, call customer service during overseas business hours, or fill out long surveys just to unsubscribe. The goal is clear: to frustrate us until we eventually give up, letting the subscription run for another month.

Hunting for discounts during Black Friday is fun, but vigilance is key. Don't let the temporary euphoria of a discount trap us into a detrimental long-term financial commitment.

Remember, the best way to save isn't by getting locked into annual contracts for a fleeting discount. The best way is to pay only for what we need, with transparent pricing, and the ease to stop anytime.