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MY
WEALTH
Avoiding Marketing Traps
Posted: Sep 2008
Most
of the people do not understand
the real nature of the today's
marketing. Marketing sounds like
service that has intention to
connect manufacturers and
retailers with customers, to
provide information and
education to the customers.
In
essence that is true, at least
it was. The problem appeared
when profit driven companies
faced the ceiling, regarding
sales, revenue and profit. Since
the rules of engagement in the
business are merciless,
companies needed to grow
further. Since the population of
some market is usually more or
less stabile in short term, as
well the needs, there was the
need to expand the
"demand" of consumers.
"OK,
if we can not clone our
population, we will make them to
buy and consume more, even if
they do not need too much".
Well, this is what is the
ultimate goal of growth driven
companies. They will try
whatever is needed to obtain
growth. They will say, promise,
offer, or even lie to you
anything, just to make you buy
more and more, even when you
really do not need some product.
So
where are we in this story?
Simply, if we "bite"
every trick served by marketing,
we will buy more than we need,
we will eat more than we need,
we will travel more than we
need, we will compete with other
people in shopping, we will
produce more garbage and, yes,
we will spend much more money
than we really need to spend.
And as the result we will be
financially poor, and probably
will not be satisfied.
What
is the solution for this? First
thing you need to be aware that
marketing is not a friend to you
as a consumer. Marketing is
there to push you over the
limits of necessary shopping,
consumption and spending.
Understanding this is the first
step of self-defense from
marketing invaders. Next step is
to develop a feeling what is
excessive marketing and what is
your real need. To bring you the
picture that will make things
more clear, pay attention to the
following facts.
- The
goal of marketing is
to make you consume
more than you need, in
order to achieve
business target. If
you consume 0,5l of
beer daily, while the
goal of a brewery is
to grow 12% annually,
they will try anything
to make you to consume
more, from year to
year. They will serve
any kind of commercial
messages, they will
produce new bottle
shape, they will try
with big packs and
multi-packs, promotions, etc.
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- Special
offers, like +20%
gratis. Gratis offers
is the way to attract
and addict consumers.
The trick is too hook
you with gratis offer
and to keep you as
loyal consumer. Gratis
offer is usually sign
of desperation, since
they are willing to
give you more, just to
grow sales. While
companies have planned
growth achieved, they usually
do not give gratis
offers. But if they
have the sales lower
than planned they will
come up with gratis
offers.
Solution: Be
careful with
"gratis"
offers, since it might
not be gratis in some
cases.
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- Discount,
like –50%. This type
of offer is really
tricky, since it
easily make you buy
all kind of
unnecessary things,
that you wouldn't buy
otherwise. And
remember, the one who
is giving you –50%
or so is still making
money on you, so
imagine what is the
margin that they
operate with. Giving
discount is usually
indication that the
company is
having the high stock
and they are trying to
get rid of it.
Solution: Check
for expiry date and
product quality.
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- Prestige
prices. This is nasty
trick. This is a
really low blow. Very
low. This is the one
of the dirtiest
marketing tricks. They
offer you a regular
product with very high
price. They are
counting on
someone’s need for
"exclusivity".
So there is nothing
special between
expensive product and
the regular one,
simply they are
charging you extra for
making you feel
exclusive. Expensive
product is not
necessarily more
quality than the
regular product. Dull.
Solution: Buy
product with the best
"value for
money" ratio.
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- Big
pack Syndrome is very
deceptive trap. With
this deception,
marketing tries to
make you buy and
consume more. OK, you
might think that you
get a large size pack
at good price. But the
fact is that the big
pack will make you
consume more in the
same period of time.
Marketing is calling
this phenomenon the
expansive consumption
– more you buy, more
you consume. I call it
buy more, be fat, be poor.
Solution: Do
not buy food big
packs, since you will
eat more in the same
period of time. For non-food products
check the net
content/price ratio
with different packs.
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- Fashion
is the special
marketing technique
that will hypnotically
order you to throw a
fully functional piece
of clothing and to buy
a new one. Also, brand
new fashion lines are
always charged extra.
Solution:
Choose practical, not
fashion clothing. It
lasts at least double
times more for at
least double money
less.
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- Pharmacies.
You couldn't imagine
what these guys are
ready to do. You might
imagine them as nice
guys that give
medications to people,
to make them be
healthy. In fact, they
are selling over
expensive products,
with margins that are
equal to drugs,
weapons and similar
contrabands. They
justify this with
researching costs. On
top of this, when they
felt that they are not
taking enough from the
sick people, they
target on healthy
people, by trying to
sell them vitamins,
preventive and
rejuvenative
medications.
Solution: Do
not buy the most
expensive medications,
use supplements,
because branded
medications are
overpriced.
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- Car
Industry is trying to
increase pace of
launching of new cars.
This exercise is very
expensive and that
reflect through retail
price of the vehicle.
The new cars are
overpriced, especially
when the model is new.
Also new models
usually have technical
problems, especially
in the first year.
This is caused by
manufacturers' rush to
launch a new model, so
they do not have
enough time to test a
car.
Solution:
Buy a young used
car, that has shown to
be reliable, unless
you are a rich and do
not care where you
throw the money.
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Remember,
you are constantly bombarded
with marketing messages all the
time, while watching TV, while
driving, reading papers or
browsing Internet; you are
receiving messages. Regardless
are you paying intention to that
or not, you are being
influenced. These messages will
penetrate deep into your
subconscious gradually.
Finally
you are becoming obedient to
your Masters. You will be one
who is blind fully subordinating
to the command – Obey!
Unless
if you start with active
management of of your needs. Try
to manage your needs, do not let
the "needs" manage
with you.
It
is true that you still need to
shop when you have a need for
some commodity. But still you
can train yourself to distinct a
really necessary shopping from
impulse shopping, driven by
marketing messages.
Just
a little attention while
shopping will make you shopping
less, getting less fat, throwing
less garbage and finally it will
make you more wealthy and
healthy. I am aware that I was
harsh with my comments, but the
modern marketing is so rude and
merciless toward consumers,
while they are too brainwashed
to understand the big picture.
Buy
what you need, do not buy what
you can. Do not buy what they
tell you to buy. Do not buy,
because somebody else bought
that. Buy what you really need.
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