Groupon Rewards: Best Return on Investment

This week I learned that Delta Airlines SkyMiles Shopping is teamed with Groupon to offer miles per dollar spent. The standard rate through Delta is 5 miles per $1; however, their current promotion has been stepped up to 7 miles per $1.

Then I figured out American Airlines, through their own AAdvantage eShopping Mall, will give you 8 miles per $1. I am assuming some of the other airlines have also teamed up with Groupon to offer miles per dollar spent, but I have not expounded effort to search for others.

My go-to shopping portal I go to every time I shop Groupon is Discover Card. Using my Discover Card card and by using Shop Discover, I get 15% cash back, on each statement. Occasionally they will bump it up to 20%, sweetening the deal even more. My Discover Miles card only gives me double miles by shopping Groupon, so I have always felt the better option was to get the cash back through my Discover Card card. (In my example below, $3.75 in cash savings is more valuable to me than the 50 Discover Miles I would receive).

I wanted to prove to myself I was getting the best deal with my Discover Card card cash back, so I ran a typical example. Lets assume I spend $25 on Groupon. Using my Discover Card card, I would receive $3.75 cash back, bringing my total purchase cost down to $21.25.

Now lets assume I decided to link through Delta or American Airlines to get miles instead of cash back. My same $25 purchase through Delta or American would currently net me 175 or 200 miles, respectively. The question though is how much do those miles cost me each, and which is the better deal, miles or cash back?

I think the best way to compare this would be the cash back savings divided my the miles. If I am looking at this calculation wrong, please let me know. My Discover Card cash back would be $3.75. Therefore, the current Delta and American promotions would cost me $0.0214/mile ($3.75/175 miles) or $0.01875/mile ($3.75/200 miles) respectively. Anything under $0.02/mile I would say is pretty good, although there surely is better bets with your money.

If you are trying to keep one of your airline mile programs from expiring, then shopping through their referral portals is certainly a viable option. In my situation, unless the number of miles/dollar increases to around 10 miles per dollar spent, I will probably stick with my 15-20% cash back through the Discover Card card.

If you are not yet a member of Groupon, please use my referral link here. Thanks!

Another Expensive Costco Trip

Well seeing as we have not been to Costco the past month or two, we decided we NEEDED to do another run, specifically to get diapers for our older son. Costco had a coupon this month for $5 off of a box of Kirkland diapers, and we had heard good things about them, so they were calling for us to return. Of course, it was all the new items that helped escalate to probably our largest bill there ever.

To begin with, we were there for the diapers, so let’s look at the breakdown. Our oldest son is currently in a size 5 diaper, and still several months away from when he will be ready to start potty training. The Kirkland size 5 diapers come in a box of 168. Normal price of the case is $37.99. With the coupon, they worked out to $32.99, or less than $0.20/diaper. For comparison sake, Target’s Up & Up brand of diapers is $20.99 for the club pack, which contains 108 size 5 diapers, which works out to just over $0.19/diaper. The Target comparison also does not include the occasional in-store coupon, which would sweeten the deal more. However, for the convenience of being able to get larger quantities of diapers, I am not going to complain about saving a fraction of a cent. In addition, we want to know if we like them or not for our newborn.

We also wanted to pick up the Kirkland baby wipes since they were also on coupon this month. Regular price was $18.99 minus $4.00 coupon, for a box of 900 wipes. When it comes to wipes, I am not going to even bother trying to compare to other brands because 1) we love the Kirkland brand wipes because they are moister than other brands, and 2) the price is usually comparable, even without the coupon because you get so many.

As we made our way through the store, we stocked up on our staples like Mott’s Applesauce, Ritz Crackers, and Kirkland dog food. I am on a trial run right now of the Kirkland premium dog food because I got tired of paying the super high prices for Nutro brand food. Ever since I got my Pug dog 7 years ago this past week, I have fed her Nutro. I was always happy paying a premium for better dog food without any fillers or animal by-products. However, over the years, I constantly had to keep switching flavors dependent on what was the better deal. It played havoc on both our dogs systems for some reason, even if I slowly broke them into the new flavor. It is amazing to me dog food manufacturers have not figured out how to change flavors of the dog food without messing up the dog’s digestive track. On top of the digestive issue, the price of Nutro products has continued to escalate every year; Nutro has gotten really stingy with handing out coupons to their loyal customers; and third I have heard stories about the declining quality of the product since Mars took them over several years ago. So I researched the Kirkland brand of dog food, and it met all of my initial ingredient scrutiny. On top of it, the price is GREAT! Nutro dog food routinely cost me anywhere from $35-50 dependent on whether I had Nutro and pet store coupons. Kirkland dog food cost $23.99 for the Mature dog formula, which is obviously a substantial savings. The true test has been how well our dogs have taken to the new food. So far for the past month or two they have done relatively well. I am hoping they are getting the same level of premium nutrition, but I guess there is no real way to prove that other than watching their weight, health, and energy level. I digress.

Other items that we just had to have this trip included Welch’s White Grape Cherry juice, Famous Amos ribs, pineapple bread (of course we had to buy two because that is how they are priced), an exotic assortment of dried mushrooms, Irish butter, and rice krispie treats (they were on coupon, and I just could not help myself). The majority of the items we purchased were because of coupons, which is my new store mantra when it comes to Costco. However, they inevitably get us every time by all their other glorious products, including new items all the time. If it was not for our chest freezer already being full, we would have done a lot more damage. As it is, we spent over $340, we think our most expensive trip ever. Ultimately though what escalated our bill was all the baby diapers, formula, and wipes, but I am going to think in my head that it was because my wife purchased a new outfit for our newborn.

On a related note, I am deeply intrigued by the show Extreme Couponing. My wife DVRed it the other day and we watched it this past weekend. On one hand, I was encouraged that people could get their food bill from $1,000 down to under $50 using coupons. However, at the same time, I consider those people hoarders. They would purchase 150 boxes of pasta or 60 bottles of hand soap just because they could get it free after coupon. They had entire rooms dedicated to their finds. I love using coupons and getting a great bargain as much as the next guy, but this really was extreme, and I realized maybe I do not want to fall into that category of “extreme.” The people on Extreme Couponing will never use all of their products in a reasonable amount of time when they continue to keep stacking new products on top of it. I started thinking if they got it for free or really cheap, it would be more beneficial to donate it to charity and take the write-off. What they buy has a shelf life. We enjoy stocking our shelves, but what we have enjoyed doing even more is using up everything and starting from scratch again. A deal is only a deal when 1) you can financially handle it and pay it off each month, and 2) if you need it and are going to use it all in a reasonable amount of time.

Free Subscription to Cruise Travel Magazine

Quantities are limited, so hurry before they are gone. Sign up here to receive a free subscription to Cruise Travel magazine via Mercury Magazines.

I have signed up for numerous free magazine subscriptions through Mercury without any problems. You might want to sign up using an email address you do not mind receiving extra junk mail just in case, although I can not say for sure whether I have received more than normal because of this program.

I just started receiving this magazine a couple of months ago. My initial reaction is there is nothing too great to read in it. The magazine is basically a bunch of reviews and comments from cruisers, lots of advertisements, and maybe one or two decent articles or suggestions. I am surprised they are able to fill a magazine each month honestly. However, if you are in the market to go on a cruise in the future, you might want to sign up for a free subscription to get you in the mindset of cruising.

Still, I can not complain about free. Hopefully the magazine will give me some good ideas to write about in the future.