Before you Buy That …

Questions To Ask Yourself Before Buying That?

It’s that time of the year when Americans are finding the best gifts for the festive season. This year’s Thanksgiving weekend has shown an increase of sales from $45 billion last year to $52 billion this year, according to the National Retail Federation (2011). Cyber Monday also posted increased sales from $1.03 billion last year to $1.25 billion this year (Talley, 2011).

Shopping needs differ from one individual to another depending on his values, attitudes, cultural expectations, and preferences. So, it is very challenging to come up with a specific list for all on what to buy or not buy, but giving more thoughts to your purchase increases the likelihood of getting the gifts you won’t regret.

A list of 13 questions below can help consumers make the right shopping decision:

Will this purchase help me meet one of my goals? Do I really need it? Want it? What must I give up to have it? Why do I want to buy it? Am I buying this only because it is on sale? Am I buying this only because my friends are buying it? Has the media influenced my decision to buy this item? Am I buying this because I am depressed and need cheering up? Would I come back tomorrow to buy this? Can I afford it? Do I need to borrow money to buy this? If I borrow money to buy this, how long will it take me to pay it off? Would I feel better now without spending money?

Composed by Sara Croymans (2004), this card comes in a wallet size card template for consumers to remind themselves, which would be very useful when considering purchases or when they’re one swipe/click away from paying for them.

*****

On a personal note, I thought this simple “Wise Consumer Shopping” card is a very effective tool to prevent spending leaks. The wallet-size card allows people to keep it in their wallet or purse – from where consumers would get their cash or credit card for brick-and-mortar and online purchases. This is especially if the card is used according to its instruction:

When you are considering a purchase take out this card. Review each question, answer honestly.

eglobalwireless.com

It seems that everyone in the family needs a laptop. After getting a refurbished MAC from Apple website (not Quibids) about 9 months ago, we gut ourselves a 10″ ACER Netbook via craigslist.

While I am trying to figure out which child should get it, the children’s mom claimed that it’s hers.

So, I suppose we have another search for a laptop [after getting a refurbished Dell desktop to replaced our crashed up]!

With e-mail correspandes with my family members (s’times we do this … I know, we’re weird) in g-mail, an interesting ad popped up:

$99 Netbook from eglobalwireless.com

So, I decided to look the company up …

• Wow impressive blog!:  iPad for $499? How about a netbook for only $99 Free Shipping!

• I also found the company’s review by customer on sitejabber.com. A review on the Netbook stated:

This site offers a 7″ Mini Netbook WIFI Windows 2 GB computer for $99.99 (black) or $129.99 in various colors. I called to ask more details about the product in that the manufacture is “Generic”. The response I got was, at best, unusual. The man I spoke with said they have no brand name — they are made in China. He further said they have 3,000 in stock and that it is an enticement to get people to their site since they don’t normally sell computers. I read their refund policy, a 25% restock fee!! Due to your previous customer comments and my personal experience, I will deal with a more reputable computer company.

Update July 23: India has came up with a $35 touch-screen computer.

More on Quibids

Since I’ve been getting so many hit and responses on myprevious Quibids post, I’ve decided to do extra researches on this small-increment auction, which is better known as Penny Auction. To summarize, from my short website research I still cannot determine its legality and whether the government has this issue studied.

Popularized by swoopo.com (according to Associated Content), other Penny Auction sites include bidray.com and gobid.com . I haven’t studied their terms and conditions but their reviews are not great. Note: People who put reviews tend to be market mavens and those who were not satisfied with their products plus it’s difficult to verify their information. Guess what? Quibids‘ are on that website too!

Wow! There are also Penny Auction sites such as pennyauctionwatch.com, pennyauctionlist.com, and pennyauctioninfo.com that list items on this type of auction from various sites. These Penny Auction companies most likely pay these sites to list their products.

…. one of commentors of my previous Quibids post, Irina, was a computer programmer. Her comment was what some had predicted. A more elaborate comment by a programmer is available in this codinghorror.com blog posting.

Warehouse Stores – Rated: O for Over Rated

I have always thought that warehouse retail chain (i.e. bulk stores) is overrated.

They sell large quantity goods in bulk at a lower price, but how much lower? I would say barely significant lower, based on my observation. Most of their good’s price may just be slightly lower compared to price of non-bulk items based on “pound-for-pound” comparison. Other observations:

• True, some products that you may use anyways (e.g. flour, sugar) may be worth it.
• …. unless it encourages over consumption. More is not necessarily better.
• Some of the grocery stores have great deals that we would be better off buying in bulk from these smaller stores.
• Waist and Waste: Besides over consumption, bulk purchases may result in waste. After consuming too much of a good, people may get tired of it that it would just go into waste.

Cheapskate

Jeff Yeager‘s tips on savings really reminds me of … me, especially when I was in graduate school.  By the way, great entre on GM shares, Jeff! His focus is on how to make you save and happy at the same time.

His tips: 1. Cancel your cellphone; 2. Get rid you extra car (and others); 3. Eat at home – great save on Quality of Life; 4. Wear out your old clothes – I’d buy high quality but expensive goods on >70% sale; 5. Stay home with parents for college student.

Checked for all except for 5, which is not applicable.

The huge obstacle: The Marketing – how to convince people. As I have laid out on my presentation regarding marketing obstacles:

• While the media is bombarding people with messages to buy their product, we ask people to be vigilant in their consumption.

• While spending in general has been linked to a good economy, we are encouraging people to save and invest more.

• While companies have spent thousands and millions of $$$ on advertising, we are left with conventional types of marketing techniques that might be obsolete.