We know that sometimes money seems to evaporate. Sometimes we spend money on items we don’t really need but realize that only later, or we purchase a lot of money on supposedly high-quality products. I know for my part, that I always at least stop when I see ‘SALE’ written down somewhere, and often I spend a lot of energy into actually resisting to buy products.
Marketing is “the total of activities involved in the transfer of goods from the producer or seller to the consumer or buyer, including advertising, shipping, storing, and selling” (Dictionary.com). Although this definition seems very scientific, marketing is all around us. Especially when it comes to the transfer of goods from the seller to the buyer, marketing has its ways of creating strong emotions in us, which is targeted at spending more money on more products.
Although marketing has its positive sides, and it informs us about all the possibilities and products out there, it can also lead to a lot of buying of items people don’t need. Marketers have therefore developed an array of techniques, to make us purchase products. Four of these techniques are presented below.
1. Shelf placement
How products are placed on a shelf is not a coincidence, but pure mathematics. For example, when doing grocery shopping, the high brand products are usually placed at eye level, so that it immediately catches the intention of consumers. Often, there are cheaper products with the similar quality available, which are placed either at the bottom or at the top shelf. But these cheaper products get noticed less. For this reason, it is always a good idea to check the bottom and the top shelves, to see if there are cheaper alternatives to the product you need.
2. Time limits
Many companies have discovered the introduction of limited editions. A limited edition is a something, which is available only for a limited amount of time. The short amount of time available to purchase a product suggests, that the product is scarce and high in demand, and therefore it has a big value. Limited editions are targeted to an increase in the overall sales, but also at a higher average price per sale.
3. Bargain items
Sale can be a good thing, as it allows you to purchase expensive items at a lower price. Also, when clothing is concerned, you can buy the remainders of a collection at a less expensive price, before the new collection is introduced. There are, however, many black sheep in the industry, which offer so-called bargain items to convince consumers that they are making a bargain. The reason why they are black sheep, is because often these are not at all bargains, but the suggestion that it is a bargain makes consumers more willing to purchase the product.
It is remarkable, that often during the sale season, many consumers start purchasing products they do not need, and they buy quantities they do not need.
4. Suggestive moods
Ever wonder why everyone in commercials is happy and smiling? The reason is, that marketeers want to get across an emotion, or something that will happen, when you buy their product. It could be the fact that you will become a magnet to women when you use a certain aftershave, or that you will look 15 years younger when you wear a particular jeans. Such suggestions have a very strong impact on the human brain, which stimulates spending behavior.
There are many ways to stimulate consumer spending behavior. Marketing in itself is not a bad thing, as it has a strong informative function, to inform us about all the possibilities and options out there. What many people have forgotten, is to listen to their inner self, and to make decisions for themselves, based on what they think what will enhance their lives, and what their budget allows.