New Want Theory?

[CoryWM]

I've been thinkinga bout this the last couple of days, anyone have any articles that relate to what I'm thinking. I'm sure theres some fancy name for it already.

Basically, I bought an Ipod this weekend. To use this for the example. But really, I think this theory would go towards any item that isnt a "need".

With any new want item, I think theres a period of time where you're satisfied with your purcahse, and still enjoy the item, and it feels like an indulgence. Then lets say, two weeks later, your want item, is just another item you own, and you want something else now.

Lets say there is an average shelf life of the new want item of 1-4 weeks. After this time is up, you'll start thinking about other things you want.

Now to my point, I'm sure everyone is saying duh, stuff gets old. If I was to save up for the ipod, over the coarse of lets say 2 months. I think the new shelf life would have been 9-12 weeks. Because when someone wants something, working towards that goal is still keeping your interest in the item.

I've seen this happen to friend's also. They buy a new car, and a month later, they want something else new. Be it a part for the car or a new computer etc.

Now, I paid cash for my Ipod, but apon further reflection, the always pay cash policy that people and books refer to maybe isnt enough. If I saved for it, not only would it, make sure i want the item, but also hold my interest in the item for a longer period of time. Thus saving me money.

Anyone else have any thoughts on this? I'm generally interested in the financial theory part of finances. So I can educate myself, and hopefully retrain the 24 years of big bisuness marketing tactics.

[Hez]

If I can remember back to my Intro to Psych textbook from when I was in school, what you're talking about sounds a lot like the "hedonic treadmill" concept. Basically, people adjust to new things quickly, which keeps their happiness levels fairly constant.

So buying more and more stuff doesn't make you happier and happier--which makes sense, because if it did make you happier and happier, we'd all be some pretty ecstatic old people! Haha.

Edited to add the Wikipedia link.

[Scanner]

If you want to talk psyche theory, one psyche theory that doctors use everyday in their office (ask DisneySteve) is gosh, I think it's Maslov's Hierchey of Need.

(I think it was Maslov)

He said for humans to "self-actualize" that basic needs have to be met first. That is, you dont' get a Mahatma Gandhi or a Jesus walking the earth who is just trying to survive for food. That is, it's no accident Jesus was a carpenter and Gandhi a lawyer (I think that was Gandhi's chosen profession)>

I forget - he then has a list of what needs take primary need.

(it's an psycho-economic theory)

Anyway, doctors, at least the good busienssmen, know this and ask for the copay at the time of the visit.

Why? Because it has been researched that doctors are #16 on list of importance to pay. People have mortages, utilities, even Ipods are probably more important than the doctor.

So, if you don't get that money at the time of service, there's a good chance you are S.O.O.L when the bill arrives.

I always say to my staff to think of me as a prostitute and even though I"ve never used one, I understand their business acumen is to collect the money upfront. Why? Because after their act of healing is over, people get rather indignant of why you would ask for money.

As if by seeing you, they are doing you a favor, not the other way around.

The same thing with doctors. In American healthcare, we have to think like prostitutes.

[tinapbeana]

it's Maslow's hierarchy of needs, which basically says people take care of the basics before taking care of the 'etherial' so to speak, and most psychologists will tell you that while nice in theory it doens't particularly pan out in real life (otherwise there would never be a starving artist).

otherwise, i think scanner makes a good point that most people forget: anyone working for pay giving their time and skill for a dollar amount, whether it's a prostitute or a doctor. people are usually willing to pay for the time and skill beforehand because they need (or, um, feel they need!) the service in question. after the fact, people no longer feel the need for the service and are much less likely to feel an urgent need to pay for it.

kind of like the credit card epidemic. there's no real rush for the bulk of the population to pay off money they owe for things they've already bought, played with, and possibly even gotten rid of.

[lgslgs]

My personal way of dealing with wants is to put them on a list and wait at least 30 days (and often up to 3 months) before buying. Most things fall off the list by then.

1 - 3 months lets the initial excitement wear off and allows time to figure out ways to make do with what I already have. This works very nicely in that it keeps me from cluttering up my house with things that I don't use very often.

Lynda

[tinapbeana]

lynda, we do something similar in my house. i put a 'wish list' up on the refrigerator: there's a column for me, for DH, and for the house. i specifically included the house because there are items that the household wanted (like a freezer) that i didn't want to risk getting for my birthday or anniversary!

this has been really helpful because it gives us something to focus upon, one item at a time. plus, there's a ready made list of gifts for holidays, birthdays, anniversaries, etc.

[PrincessPerky]

I do the list thing, only I do it in my head...because if I forget it, I prolly didn't really want it that bad.

While some people think I am crazy to ask for a ricer for my anniversary (or worse that I always ask for my Christmas gift) I find it is soooo nice to know most of what I get I use, love and keep.

Anyway, it is now May....I have to come up with my Christmas gift soon or I will be in trouble with mom...gives me 7 months to anticipate (and well 7 months to change my mind) So far I have never returned moms requested gifts (the same can not be said of surprises) and I use them, frequently.

On the other hand that thing I found the other day that was oh so cute....no idea what it was, but I just had to subtract that amount from my checking balance...........(kidding, actually, haven't bought in weeks, but it has happened that way)