Tuesday, January 01, 2008

Not Buying Things I Don't Need

2008 Financial Resolution #2: Stop Buying Great Deals by Chief Family Officer is an great financial resolution. It reminded me of the "feature" approach product manufacturers use to entice consumers to buy more frequently. The approach encourages consumers to move up to the new (and usually more expensive) product model, while the current one they own is still functioning.

This marketing strategy appears to be used for many products, e.g. automobiles, sporting goods, electronics and appliances. As the Chief Family Officer relates, it can be easy to convince oneself that the new model with more features is desirable. However, I wouldn't have enough money to buy yearly upgrades for everything I own :-) Often, a few additional moments of consideration reminds me that the model already owned is good enough, still working and meets the needs. Similarly, the Chief Family Officer also arrived at this conclusion in her post.

Marketers are excellent at getting consumers to want new things. For me, a good defense against "more feature" or "great deal" marketing is to buy only what I need. I have found that while my wants are many, my needs are much fewer. Remembering my needs helps me routinely avoid buying great deals that are regularly offered :-)

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This is not financial advice. Please consult a professional advisor.

Copyright © 2008 Achievement Catalyst, LLC

1 comment:

Chief Family Officer said...

Thanks for highlighting my post! I really like what you said at the end about many wants, fewer needs. That's SO true! Sometimes the key is simply being able to distinguish between the two :D