as we're trying to get ready for mango with a tight budget, i spend a lot of time researching to find the best items in my price range. with empasis towards style, good reviews and functionality. Two sites that i check for bargains that are typically 60-70+% off retail are baby steals & mama bargains.
we were able to receive a great full size crib (we have a compact one in our apt right now) as a gift, purchased at overstock for 75% off retail, no tax and only $3 for shipping. it's sold out, but it might come back.
it's also good to keep an eye out for sample sales like this one. even though we didn't have a baby yet, i had a friend pick me up pottery barn kids clothes at an average of $3/piece. that stocked us up on clothes, blankets, bath towels, hats and shoes. i've found great new or barely worn clothes at my local goodwill lately for an average of $1.50/piece as well. it's hit and miss, so you have to be willing to hunt or walk away with nothing.
baby stuff can be pricey so if you have the time, do your research and you can make it all fit within a budget. invest in things you want long term, and be super frugal with things they will grow out of quickly.