consumer lock-in

When some consumers find themselves stuck with a certain routine or living space they are experiencing consumer lock-in. Lock-in is defined by a New York Times article as the decreased likelihood to search for, or change to, another option once an investment in something has been made (New York Times, 2012).  Everyone that has ever rented an apartment knows the lock-in feeling when they think about moving to another place. They realize how hard it was to move all of their furniture the first time and how they will have to put up money for a deposit again as well as finding friends to help them move.  I found this term on an article about cohabitation before marriage and how it can lead to more divorce among young couples because they live together out of convenience and lower costs instead of love.  They then find it hard to break up because they are so comfortable in their living space and the consumer lock-in costs are way to high. This is what some researchers are attributing a large portion of young divorce too. But if cohabitation comes from the right place than the  researchers believe its a safe thing to do. Why do we seem to get ourselves into situations that we become locked into? If only we took more time in the beginning and thought a little harder about our decision than there might be less instances of consumer lock-in.  Moral of the blog is, think about your big life decisions with all the time that it takes. 
http://www.nytimes.com/2012/04/15/opinion/sunday/the-downside-of-cohabiting-before-marriage.html?_r=1&emc=eta1

Stinkin Free Riders!

Everyone has experienced an irritating situation where they are around someone that is free riding or have witnessed an act of it, but know that there isn't anything they can do about it. It may be a person sneaking into a movie when you had to pay or someone cutting in line when you've been waiting for an hour to get the concert tickets that you have wanted for six months. It is incredibly irritating to have to deal with. At times you just want to go tell them off, but in most instances you don't, you just let them proceed. Free riding is a huge problem among consumers. We all want nice things, but don't want to pay for them, like community parks or a clean street to live on. If everyone had to pay for what they wanted to use than I feel like much of our economic state wouldn't be looking so grim. Wouldn't it be a crazy concept for street lights to turn on and off with your sidewalk passage in accordance to your light bill contribution? I guess that's what taxes should be for.

Advertising Stickers

Cool and hype stickers have become a bigger part of our culture in the last few years. It is very common to see someone with stickers on their MacBook or the window of their car, but why do we insist on promoting a certain product for free? We like to personify ourselves with certain products that make us have a specific image like a skier or  a hunter. When you walk around campus you see student laptops covered in unique stickers. It seems like those students want to find the most impressive and abstract stickers to promote because the stickers never seem generic. They are always some strange band logo or a cool sustainability sticker that I have never seen before, that tells everyone how "green" they are. It's free advertising for companies and it is only in the best interests of the company to make unique and eye catching stickers and pass them out for free. I always thought that if I ever started a company that I would come up with a good design logo and make hundreds of stickers and ask friends to pass them out and place them in good areas to get my company name out there and recognized.

Video Games In Our World

Home electronics and video game entertainment have grown significantly in the last decade. With the 7th generation release of video games consoles such as the Xbox 360, Playstation 3, and the Nintendo Wii over 222 million units have been sold to retailers in countries including the United States, Canada, Japan, Australia, and Europe since their 2006 releases. After the 6th generation of consoles customers were able to play DVD videos on their consoles which opened up a broader market for manufacturers. People were now buying these systems instead of DVD players because they were more reliable and they had an easier user interface and more options. Customers also enjoy all of the downloads that include Hulu, Youtube, and Netflix. Manufacturers have figured out what their customers want and have expanded their target market from children and 18 to 20 year olds to now include families and people between the ages of 30 and 40. They were smart in broadening their target market and expanding their system capabilities. So as consumers we thank you for not making us buy both DVD players and video game consoles.
http://en.wikipedia.org/wiki/History_of_video_game_consoles_(seventh_generation)

Apple is #1

Apple is a $580 billion company as of March 19, 2012. They have been on a steady rise for the past few years with their release of the IPod and more recently their IPad and IPhone products. They also dominate the laptop and personal computer world with their expensive, but exceptional Mac Book line. They dropped the title computer from company name in 2007 because they wanted people to know that they were more than just a computer company, but a consumer electronics and lifestyle powerhouse. What is it about Apple that makes them so great? Why are so many individuals more than willing to pay a much higher price for a consumer product? Because Apple has created a hip and fashionable image for Apple users. Having an Apple computer makes you look cooler than others with cheaper consumer products. Apple has created a name of quality and innovation with their work on all products in the last few years and thus can charge outrageous prices. Apple users such as myself will tell you that it is worth every penny spent, but that is because it is a cult product and we are its followers. They have done what every other brand aspires to do and they deserve our respect because of that.

Internet And The Home Shopping Network

In the past people were actually required to leave their homes in order to purchase goods they needed. Now with the evolution of the Internet shopping experience combined with the At Home Shopping Network, consumers no longer have to leave their comfy recliner to shop. We can all sit on our butts and order whatever we need (minus some perishable items) and they will be delivered directly to our from door in a matter of a few days. Heck if you pay extra you can even have them in one to two days. Consumer purchasing is becoming easier over the years and I think that one day we will be able to purchase items faster than we can change the channel. Or is that already a reality? Watch this video for a good laugh!

Useless Clothing Purchases

In the past, our ancestors wore clothing that would protect their bodies from the elements. Over the years clothing became more fashionable and it's original purpose had changed from not only keeping the occupants sheltered, but also to provide the wearer with a sense of fashion. In today's day and age people have huge closets full of all kinds of clothing for similar situations. Is all that really necessary? We are just human creatures from the planet earth. Why would a creature possibly need 50 of the same style t-shirt? It's seems like madness to me. I am just as guilty as all the others. There are countless shirts hanging in my closet that I know I will never wear again, but yet I still haven't gotten rid of yet. We need to stop focusing so much on style and fashion and just buy clothing that fits certain situations and actually has a purpose; i.e. hunting, cycling, running gear etc. When the world goes into an Apocalypse are you really going to be happy you bought $300 worth of fancy underwear? I don't think so. And just to clarify I'm not a believer of any doomsday. That's not my style....YET!

EMERGENCY EXIT!

So I'm going to assume that everyone who is reading this knows what an emergency exit is. The signs for the exits are located at the end of every corridor in every public building and must be at least 6 inches in letter height and 3/4 inches in letter width. These signs direct you to the emergency exit that will usually have a posting that says "Emergency Exit Only: Alarm Will Sound". Everyone is nervous around these doors because most of us have had an occurrence of almost opening one of these doors by mistake. Because we realize that some crazy loud alarm will sound if we open the door, we stay far away from them. There is a set of doors at the Marga Hosaeus Fitness Center that lead you out to the running track on the west side of the gym. On these doors is posted "Emergency Exit" in big bold yellow letters on all four doors. I have watched numerous people stop and stare at these doors before they pass through them because they aren't sure if an alarm will sound or not. It has actually become comical to me and I admit that I have had the same reaction before. But why is it that we are so hesitant? Most of the people I have seen stop at those doors I have ran with on the track in the past. They know that there is a running track through those two sets of double doors and that it's still there. It's because when we see the words "Emergency Exit" our automatic system tells us that we should be cautions because an alarm may sound. Till this day I am still skeptical of what might happen if I open a door that is labeled emergency exit. There is a difference between an emergency exit and an "Emergency Exit Only", but sometimes it just doesn't click fast enough. That's probably a good thing though.

Door in the basement of Renne Library (see how they make it VERY obvious not to go through it).

The Purchase of Something Dangerous

Purchasing a firearm can be a very difficult thing to do. As I mentioned in class, I have a hard time not purchasing a firearm when I get my tax return back. I have gone through the process of purchasing a firearm more than once and it's never easy. Even though there are purchases of much higher monetary value that take less consideration, why do us uneducated gun purchasers take so much time to make our decision. It could be because we don't know who to ask for the right information. Company websites are a good source, but they're going to be biased toward their own products anyway.  Friends and family members are also a good place for information, but if they are older collectors than they are also biased to the brands they have been using for years and years. I've always found that the best source is the guy behind the gun counter at a prestigious retail location. Even though they will generally push you towards a more expensive purchase, I feel that they are usually good hearted and willing to help. But maybe I've just had good experiences myself.

The Wonderful World of Buy One, Get One Free!

The other day I was watching a movie at my house with some friends when part way through I was jonesing for some gas station candy. Because I live so close to the Holiday gas station I decided to walk there.  I'm generally broke as a joke, but today I had a couple bucks in my wallet so the candy now became necessary. As I was looking through all the candy on the abnormally large candy rack, I saw a sign that said "Two for $2.22". I thought about it for a minute and then said to myself "That's not even a good deal". To me, a good deal on a candy bar is $.99 and with these candy bars at the Holiday station having a retail price of $1.19 a piece, two for $2.22 didn't even look like a savings. The sale would coax you to buy two candy bars and save a whopping seventeen cents. What a rip off! The sad part is that marketers realize that the average person will see this as a good deal because they fail to look at the retail price. They also realize how catchy two for two twenty-two sounds. They bank on our lack of research, but now that my eyes have been opened in recent years to marketing ploys, these sneaky little tricks don't fool me anymore. In the end I bought a pack of gummy bears and a pack of sour worms for a "Two for $2.99" deal.  They retail at $1.99 a piece so I feel better about the $.99 savings. Does that mean that their marketing ploy tricked me? Maybe they purpously priced the candy bars at a small savings in order to get me to buy the more expensive gummy treats?......... I'de like to think I won that battle.

Name Brand or Private Label: Pick Your Poison

Why are so many consumers scared of the off brand products like Kroger, Kirkland Signature, Great Value, or Sam's Choice? I'm sure if you are reading this and you shop in America then you have most likely heard of one or more of these "Private Label" products. But why do some consumers stay away from private label products all together. I've certainly been guilty of buying the name brand products that have a catchier label and a reputation of excellence. But why am I doing this? Lets break it down to an analytical stand point.  If you read the back they have virtually the same ingredients, virtually the same nutrition facts, and in theory are the same in all aspect. Is it the label that gets us to buy name brand or is it their marketing strategy that has been ingrained in our minds from watching too much TV and listening to too many radio ads? Why would someone be willing to pay twice or even three times the fair value price for a product just because they've seen it advertised some place at some time? The consumer mind does unexplainable things. So answer me this scenario question.  You go to the doctor and you have a bad case of depression. The doctor tells you that its a very serious case and that it needs to be treated with medication.  He tells you that you need Abilify which can be up to $800 for a month supply. He also gives you the option of an off brand medication which will treat the exact same depression symptoms that you are suffering from at a third of the price. Which do you choose? Is your health worth paying a cheaper rate for? Sure, the off brand product will treat your symptoms, but will it give you the peace of mind that in this situation you so desperately need? Next time before you purchase the name brand product for a much higher rate ask yourself, why you are willing to pay the additional price for the same good?

Quick Weight Loss Supplements

I am a huge advocate of physical activity including running, hiking, and working out at the gym.  Because of this mindset I don't understand many of these commercials that want men and woman to take pills or some kind of crazy weight loss supplement everyday to lose weight.  I can't help but think that most of it is a hoax. There is no substitute for good old fashioned hard work. SlimQuick, for example, was one of the pills that I despised for their negative influences on the physical well beings of Americans and their cheesy commercials didn't help out either.  I'm not so ignorant to think that everyone has the same body type, but I think that we would be better off as a society to commercialize physical activity as a weight loss option rather than taking a pill and sitting on our butt's until we lose weight. Kim and Khloe Kardashian aren't fooling anyone when they say how they have lost TONS of weight with the QuickTrim supplement that they advertise. Give me a break! Don't be tricked by all of the mumbo jumbo that these companies commercialize to you. Work hard and be happy with the person you are.