The Story of Stuff - Consumerism vs Thrift

The Story of Stuff (hat tip to Garr Reynolds from Presentation Zen) is a good presentation you should have a look at (you can also read the transcript). You may not agree with everything Annie said (I don't), but the visuals are compelling and she tells a good story. Incidentally, my favorite part is also Garr's favorite part of the presentation:

Marketers and advertisers are very good at motivating us to buy their products and services. They make us feel bad, then tell us we will feel better if we buy their products or services. In addition, television programs and movies often equate a lavish lifestyle to a happy life. Anthony Robbin says pain and pleasure are the strongest forces in life, so the pain-pleasure combination strongly motivate us to shop and spend. What should we do to avoid the urge to spend as they wish us to?

Turn off your television: If you don't watch television, you won't see the advertisements. You will also receive the additional benefit of having more time for productive endeavors. I do not have a television at home. I believe we should learn and improve ourselves constantly, but very few programs on televisions do much more than entertain us. Given that we all have only 24 hours a day, I would rather devote more time to reading and learning. By learning and improving ourselves, we may even increase our income!

Do what advertisers do, in reverse: Clean out all the things you bought but never, or seldom, used and make yourself feel bad for making those purchases. When you throw them out, imagine throwing away cash. Next time when you want to buy things, think long and hard about whether you will find yourself throwing away the cash next time you clean out your "stuff".

Don't succumb to fashion and peer pressure: When certain things are in fashion, remember that fashion go out of style very quickly. There was a time when Japanese digital pet toy was the craze in Taiwan - every child, boy or girl, had it - and I wanted one. I got my wish. After a month or two, everyone lost interest. If someone had wanted my "used" digital pet, I would have given it away for free. Incidentally, the buyer could reset it and it would play as if it was new! I have since realized it is a waste of money to buy into fashion and peer pressure.

Don't fall into the "on sales" trap: When people see the "sales" sign and the 50% off, they think they have a bargain they must buy immediately. But do you absolutely need and will you regularly use the products or services? Don't buy things just because it's a bargain - it's still money you're spending away.

I recall Guy Kawasaki's talk to entrepreneurs: It is your money in the customer's pocket. How do you get your money out of the customer's pocket and into your pocket? Remember that every dollar you spend, whether to buy products or services at a discount or not, is money out of your pocket and into the pocket of the seller. It is your job, as responsible steward of your money, to keep your own money firmly in your own pocket.

Be thrifty, save your money, and you might just help save the world at the same time!

Related posts:

• Minimize expenses: Be thrifty (frugal).
• Minimize expenses (revisited).
• Maximize income.

References:

• The Story of Stuff (Transcript).
  
• Garr Reynolds - Presentation Zen: The Story of Stuff (and the stuff of story).
  
• Guy Kawasaki - How to Change the World: The Art of the Start Video.

This post was featured in the Festival of Frugality #123 at Sound Money Matters.