Gift-giving --my best friends' wedding shower

Gift-giving is an economic, symbolic, exchange and social expression. As we discussed and learned in class, gestation is when the giver is motivated by a certain event. Gestation can be seen in two different lights, there is either structural or emergent. Structural is when the culture has an effect on the gift-giving and that would be on a holiday such as Christmas. Emergent is seen as a personal exchange.  Over the last few weeks, I have really taken these different aspects of gift-giving into consideration when picking out the perfect Bridal Shower gift for my best friend, Fran.  I believe it is a combination of both structural and emergent. Our culture has made it a big ordeal to throw a shower for the bride-to-be, which I completely agree with. I am having an issue with the traditional things that are expected to be bought for this bridal shower. I do find it fun to partake in buying appliances and things of the such. I want to spend my money on the fun decorative items that I know Fran will like and get great use of. I love giving unique gifts and I feel that the culture's gift-giving expectations on bridal shower prevents me from doing so! 

The structural gift-giving is all about the culture's views and I do not find that unique in the least bit. Therefore, I am going to follow the emergent gift-giving and give on a more personal level. Because I am so close with the Fran I feel that I can do so; although, if I were not close with the bride-to-be I would refrain from buying a gift in this manner. I intend on buying a special picture frame and putting Fran's favorite picture of her and her fiance, Aaron in it. Fran and Aaron are moving down south and are planning to live in an apartment that is not furnished. With this said, I also plan on buying a few decorative items that I know Fran and Aaron will love to put in their first home and their homes to come.  The final thing that I want to do for Fran is not a traditional gift at all and that is why I am very hesitant in purchasing it. I know she has been incredibly busy and stressed with finishing up college and planning her wedding so I want to buy her a massage. I know she would really enjoy it and I thought it would be fun if it would be a two person massage so that we could enjoy that quality time before we graduate and move away for each other. I have yet to decide on if I will actually buy it or not but there is a good possibility that I will. 

On a different note, I have enjoyed taking the time out of my days to reflect on what is going on in our country today. I have benefited from taking this consumer behavior class because I am more aware of what is going on financially in our nation today. I have also found this very enlightening in that it provided me with the resources of how to find and how to reflect my thoughts on what is occurring in America today.

Consumer Spending Fell in April

New York Times-nytimes.com

By THE ASSOCIATED PRESS

According to the article, "The government said Monday that consumers cut spending 0.1 percent in April, half the 0.2 percent reduction that economists were expecting" (nytimes.com). It is apparent that consumers today are realizing more and more that it is a must that they reduce their spending in order to provide for themselves and their family in the future. In addition to the nation's spending decreasing, our nation's income has been in creasing. In fact Americans' income is the best it has been in over a year. Not only is America's income growing, but America's savings is as well. "The savings rate, which rose to 5.7 percent, was the highest since February 1995, and the level of savings — $620 billion — was the most on records dating back to January 1959" (nytimes.com). This recession has opened the eyes of our nation. Although this recession is seen as a bad thing, I believe it is almost a blessing in disguise. Consumers are aware they are spending way too much and are cutting back which is increasing their savings accounts. They are being more conservative with their money and buying what their families need rather than footing the bill for their wants. It might seem as if I am saying this because I am just a college student and it has not really affected me; however, that is not the case in the least bit! In fact, my hard working father was laid off from work about a month ago. This of course, has taken a toll on my family and our financial needs. Despite the fact that my father is currently unemployed, my family is doing okay. We as a family are strong believers and have faith in our Lord God. We believe He gives us trials and tribulations so that we can learn from them and we know He closes one door to open another. With this said, I believe our Lord is teaching America a lesson and it is up to us to listen and learn from this lesson so that we do not end up in this pecuniary situation in the future.

Consumers are spending, but on used goods, debt payments

By John Waggoner, USA TODAY

In this article, Waggoner expressed how consumers are currently dealing with the recession. It is apparent that people today are being more frugal with their hard earned money as they should be. Consumers would love to be able to stop buying and save our money; however, that is not feasible with our lifestyles today. People obviously have to continue to buy the necessities for ourselves and those people with families have to buy for their family's needs. This recession has had an impact on consumers they are realizing it is smarter to buy used rather than new in order to help their bank accounts. They are not only watching their spending, they are also repaying their debt. They are making it a point to get a handle on what they owe now rather than putting it off as future duties. According to Waggoner, "Money that might otherwise go to local restaurants or department stores is also being used to pay down debt. Consumer borrowing fell 2% in the first quarter, according to data released last week by the Federal Reserve. Resolving credit fell at a 6.5.% annual rate.  Repaying debt is a relatively simple way to increase disposable income and shore up finances. Overall, Waggoner's article provides a great deal of wisdom on how to get a handle on things during this recession and we can learn a lot from it. 

Sold! Bargain-hunters buying groceries at auction

By Michael Rubinkam, Associated Press Writer

In a recent article in USAToday.com, Rubinkam makes it clear that people are taking their bargain shopping to a whole different level. Shoppers are skipping the supermarket aisles for a far more cheaper method, auction circuiting.  The consumers do not mind if the items are past the sell-by date. According to the article, "Consumers seek relief from the recession and spiraling food prices, grocery auctions are gaining in popularity as an easy way to cut costs. The sales operate like regular auctions, but with bidders buying for dry goods and frozen foods instead of antiques and collectibles. Some auctioneers even accept food stamps." It is apparent that the auctioneers are taking advantage of this unique opportunity to rake in the money. The article provided different people who have held auctions and have had taken part in the bidding process. In particular, Kirk Williams from Pennsylvania had his first auction and was surprised at the turnout of 300 people. A lady who benefited from Williams auction was Cherish Francik and her statement was, "Most of my life, I've been a brand-name shopper. It was  a real quick change whose haul from the Williams auction included trail mix, honey-barbecue chicken nuggets and a spiral-cut ham. I guess it's sort of a thrill now to find something that tastes good and is the right price." Francik's short statement reminded me of the thrill I spoke about in one of my previous blogs. 

There is just something that draws you in about the thrill, the hunt of finding something for less. It is almost as if you have accomplished something that you were not sure that you could at the beginning of your shopping process. In reality, it is hard for someone to explain that feeling you get in words. I guess if you have yet to experienced it, then I challenge you to do so this week! 

Source Derogation

Source Derogation is a thought process that simply takes place in your mind. You put down the source being advertised. You do not give the product a chance; you do not believe in it at all. This term reminds me of the infomercial that I see daily, the "Bump It" Infomercial! If you have yet to see it (which does not seem possible) it is a commercial that does everything and more to make you believe that you need a small hair thing that is designed to give you the bump that everyone so desires now a days. By the end of the commercial they have the viewers thinking that they can no longer take a comb and tease your own hair to make the bump yourself. It is evident that throughout the commercial their goal is to make the viewers believe this homemade object is a necessity. I however, did not fall in to this trap of theirs...I instead have and continue to make fun of this infomercial every time I see it! It is clear evidence that people will go to any length to make money these days. 

The sleeper effect

The term we discussed a few weeks ago in class, the sleeper effect is incredibly true. The sleeper effect is when a person views a source and develops a dislike for the product; however, the message the advertisement is conveying still gets across to the person effectively. This term is the perfect example illustrating how an annoying commercial still gets its message delivered. It just goes to show that just because someone does not like something does not mean that they do not remember the message. In fact, the commercials that irritate me tend to stay on my mind the longest. For example, the Burger King Commercials with the guy dressed up in the king costume with the big ugly face mask annoys me so much! I will take a minute to show this strange looking king of burgers... 

The mask is not only weird, but it is freaky as well!l Every time the commercial comes on I want to turn the channel. However, I do not change the channel, rather I fantasize about a whopper for the rest of the day! Most of the time I do not run to Burger King; though, sometimes I will  give i and purchase one of those big juicy burgers! 

The thrill of the hunt!

I mentioned a few blogs ago how my best friend Holly and I took a trip to West Virginia to go shopping. I stated how my experience reminded me of a certain term we covered in class, impulsive buying. Holly and I's shopping experience at Gabriel Brothers (also known as Gabes) also reminded me of another thing we discussed in class. I never realized how much I enjoy the thrill of the hunt until that unique shopping experience. I have in the past gone to Gabes before to see if they had any good deals going on. However, that fateful Friday, I had a whole different experience with Gabes! From the moment we walked in to the minute we walked out of the store, I was on a hunt. I wanted to find the best deals no matter how long it took me. I got such a thrill from going around the store looking through each rack of clothes looking for things that looked cute or I thought I had to have. The best part of it all  was looking at the price tag and seeing $4.99 or $6.99! However, those small bargains added up rather quickly and I soon realized that once I got to the register. I convinced myself that I was still saving money because I would have spent so much more if we would have went to one of our favorite stores, Forever 21.  With that said, I did spend a lot, but I also got a lot too!

Recession? Pass the Spam and chocolate

BY DEB RIECHMANN ASSOCIATED PRESS WASHINGTON

Although this recession has taken a toll on many things, it has also assisted in the increasing of sales of certain products. People are being more cautious shoppers in hopes they will save more. They are not avoiding their shopping altogether, rather they are seeking discounted items. Instead of going into the typical department stores they once shopped at they are making it a point to shop at Wal-Mart and Dollar Stores. They are doing this so they can save their money while still being able to provide for their family's needs and wants. With this being said, I have to admit I am also jumping on this bandwagon. I have found myself going to Big Lots to not only pick up items here and there but also to pick up groceries as well. I have found that it does do less damage to my bank account. In addition to shopping at Discounted Stores, I have found that when I have to go to Kroger or Wal-Mart for certain items, I look for the best deals. I was so proud of myself for going grocery shopping at Krogers this past Sunday and only spending $30! Again, it was all because I went up and down the aisles hunting down the bargains. 

Monster Cable lowers prices during recession

By Jefferson Graham, USA TODAY

The economy has not only taken a toll on consumers, but it has affected stores across the country as well. Of course, that is expected dealing with the circumstances...once the consumers realize they can no longer afford what they once were capable of buying, the stores become aware that sales are quickly decreasing! With sales going down hard and fast, certain stores are closing just as fast as those sales are declining. For example, Graham stated in his article, "Consumers snapped up premium cables for $100 and more when purchasing expensive new flat-panel TV sets and home audio equipment. Then the recession hits. TV sales stalled. Monster lost one of its top retailers---Circuit City, which closed 567 stores."  The founder, Noel Lee has made the executive decision to reduce the prices on top-of-the-line cables for high-definition TVs. I fully agree with Lee's choice regarding the cables for TVs. If people see stores adapting to the economic changes then they may be more susceptible to go along with them and purchase from the stores dealing with the change. 

Survey: Americans reclassifying luxury, necessity in recession

By Sharon Jayson in USA TODAY

As the economy is changing, so are the attitudes of consumers. It is evident that money is quickly becoming scarce in our nation today. Whether it be people being fired or being laid off, or companies not hiring because they no longer have the money to employ as many as they once did. Because money is running low today, people are quickly becoming aware that it is vital that they do not spend as much as they have in the past. For instance, people used to believe they had to have certain appliances before the recession and now they are changing their thoughts and their ways. In the article I read that A Pew Research Center did a survey of luxuries and necessities. Jayson said the results of the survey were, "68% said a microwave was a necessity, now that's 47 %. 52 % say a TV is a necessity today, down from 64 % in 2006."

In addition to the survey done by the Pew Research Center, Pew researchers requested that consumers would share their thoughts on the struggling economy. The following is what they said, "27% reported they or someone in their household had lost a job or been laid off in the past year, 80% have cut back, and 20 % said they're doing more work in and around their homes." Although consumers are cutting back more these days, they still strongly believe that the cellphone is a huge necessity along with the Internet. I fully agree with them because if you or one of your family members, or friends is laid off then it is incredibly important that you have access to a phone where you can be reached at at all times. If you are seeking employment, it is imperative that the potential employer be able to reach you at all times. Also, if you are currently searching for a job, there is no better way than to do that than on the Internet. Once you receive that next job, then you are well on your way to picking up where you left off.  Having financial stability will enable you to feel free to shop without worrying whether you can pay the bills. 

Impulse shopper vs. impulse buyer

Thanks to Chapter 10's Buying and Disposing, I have gained the knowledge that is  definitely needed when being a shopaholic  As they say, the first step to the problem is admitting it. After reading about consumer's behavior regarding the in-store decision making, I learned a great deal of information that I take with me every time I go shopping now. Take for instance, one of my best friends, Holly and I went to Parkersburg, WV on Friday. We had every intention on our journey there of going to as many stores as we could in the short time that we were going to be in town. However, we only made it to one store and that store was Gabriel Brothers. The minute we walked in there we knew we were going to be there for a while.  I did not imagine we would be there all day long, though that is exactly what happened. Holly and I were definitely partaking in what I like to call, impulse shopping. We did not intend on finding so many eye-catching items, but again that is what happened. As we walked through the store we picked up anything and everything that caught our eye and placed it in our carts. Once our carts became incredibly full, we made our way to the fitting rooms. We were praying that most of the items we picked would not fit so that it could prevent us from putting a huge dent into our bank accounts. Thankfully, I ended up being an impulse shopper rather than buyer! Before  I made my way to the cash register, I knew I had to give myself a limit and weed out the clothing items that I did not have to have. Because I made that decision, I walked out of the store with a clear conscience and knew with out a doubt that I had made the right decision. With that said, the moral of the story is, it is far better to be an impulse shopper than to actually go through with the purchase and be an impulse buyer!  

 

Wal-Mart, Target lead encouraging retail report

By Anne D'Innocenzio, AP Retail Writer

In USAToday.com, The month of April ended up being a lucrative month at many different store across the country. Some say that it could be the weather that is influencing consumers' behavior. I have to admit I fall into that category sometimes. There is something about the way my mood changes when the sun is shining and there is not a cloud in the sky. I cannot help but to want to be out and about and that means out shopping. When I shop it normally leads to some damage to my checking account, however living in Athens these last few years have been good for me. Because there is no real mall here in Athens, it is hard for me to do real damage to my bank account making that a good thing in disguise. 

Though, there is a Wal-Mart in Athens and I do tend to shop there a lot more than I want to. 

I consider Wal-Mart to be the store that best captures impulsive shoppers. This spontaneous shopping is so easy to do in Wal-Mart because Wal-Mart has everything! I find myself going in there for two items such as a gallon of milk and contact solution; however, I walk out with five more items. Once I start going down the aisles, I think to myself I need this or want that. It is apparent that I am not the only consumer falling into Wal-Mart's trap. According to the article, "Wal-Mart reported a stronger-than-expected 5% rise in sales at U.S. stores open at least a year." After learning about this in class, I am more aware of my behavior and how it is more about me partaking in unplanned buying which is when I am reminded to buy something. Unfortunately, this happens too often when I shop at Wal-Mart because Wal-Mart has food, clothing, shoes, and once again everything I need. 

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Recession finally hits online travel bookings

SHERMAN, Conn. (AP)

It was inevitable, we knew the day was coming sooner or later. The day the recession took a toll on online travel bookings. It has taken a toll on everything else so why not online travel bookings? According to the article, "PhoCusWright said the value of online leisure and unmanaged business travel bookings would drop 3% this year to $93 billion. The company said it was the first time since PhoCusWright began tracking the marketplace in 1998 that online travel has fallen year over year." Obviously online travel bookings has been affected by the downturn of the economy, but recently they have really taken a hit by it all. Although it is being hit right now, they say it is only going to get worse,"the company predicts an overall decline in all travel of 11% in 2009 to approximately $241 billion." It is evident that people are reducing their traveling because of the bad economy. People can no longer afford to take leisurely trips do to the hardships they are facing. I will be one of those persons wanting to take leisurely trips when I move to Georgia after graduation in June. I am currently trying to save money so that I can travel home to visit family and friends on the Holidays next year. It is important to me that I have the money so that I can fly home when I need to and I know in order for that to happen I need to start saving now. Yes, the recession is taking a toll on all of our lives. However, I believe that if we save money then we can take things into our own hands and do what we please with the money we have accumulated.  

T.G.I. Friday's joins the bargain dining $5-meal club

By Bruce Horovitz, USA TODAY

Who does not want a cheap meal? I know being a college student,  I appreciate an inexpensive meal as much as possible! With the recession today, this statement is not only true for college students. T.G.I. Friday's has come to the realization that in order to please the economy today they need to reduce their prices for the month of May. Just like the many other casual-dining chain, T.G.I. Fridays has suffered from the recession and is doing something to beat these hardships. According to Malcolm Knapp, a researcher who tracks casual-dining industry says $5 is a "magic number." He could not be any more right. When I hear $5, I think to myself, yes I am getting a deal! Subway's $5 campaign definitely caught my attention and I made it a point to stop in there and get my favorite sub because it was incredibly cheap. With that said, I plan to make it into T.G.I. Friday's for a $5 meal because one reason alone...how could you pass that up!?

Economic indicators and survey show recession easing

WASHINGTON (Reuters)

   In USAToday.com, an economist at the Conference Board,  Ken Goldstein, said the following promising comment regarding the economy's future "The recession may continue through the summer, but the intensity will ease." Is Goldstein giving us false hope? According to the National Association for Business Economics (NABE), Goldstein seems to be on the right track with his statement. Not only does Goldstein believe this to be true, but the lead analyst on the survey and an economist at IHS Global Insight, Sara Johnson, also agrees with him. She believes the recession is dwindling and the she believes this to be true because of the following statement she made "key indicators--industry demand, employment, capital spending, and profitability--are still declining, but the breadth of decline is narrowing."  With this being said, I believe it is appropriate to say that the light at the end of the tunnel may be a lot closer than I thought. After reading this article, I got excited because I am starting to believe there is hope for our economy again. In addition to this, I am optimistic for the job market as well especially since I am about to be a college graduate and am currently seeking employment. I have been going back and forth about whether to relocate to Atlanta, Georgia because I knew there would be a lot more job opportunities down there rather than in Ohio. After reading this article, I am not only hopeful for the economy, but also for the job market for myself and the rest of the people throughout the country seeking employment as well.  

Extreme cheapskates: Tightwads revel in frugality

By Anne D'Innocenzio, AP Retail Writer

 

  In USAToday.com, Jodi Furman, the mother of three from Lake Worth, Florida sums up this article in a nice manner with the following statement. "It you can't make more money, then you can spend less--and that's the equivalent of making more money.” Furman has the answer, the key to trounce this recession is to save, save, save! It is far easier to say than follow through with the action of going to the store and reducing what we spend. With the economy today, I strive to save; however, it is not an easy task. After reading this article, I have learned several different ways to spend less and make do with what you already have. Though, there is one certain approach that I intend on integrating into my lifestyle. The author of The Ultimate Cheapskate's Roadmap to True Riches, Jeff Yeager has made it a point to only dip into his bank account when absolutely necessary. He refuses to buy new clothes until he can no longer wear his old clothes. I could learn a thing or two from him because I have a problem with spontaneous shopping. For example, when grocery shopping in the infamous Wally World (Wal-Mart), I feel the need to pick up other items such as a shirt here and there. Unfortunately we all know ten dollars here and twenty dollars there adds up eventually, thus, making it very difficult to set aside money that I could make use of later down the road. Making this simple change in my life could indeed change the look of my savings account and therefore change the look of my future!

My thoughts on reference price

This past weekend I had the opportunity of going shopping with my sister at Easton Town Center in Columbus, Ohio.  My sister, Tabitha, and I enjoy taking trips there from time to time and we realized a trip to Easton was long past due! On the journey there we always tell ourselves we are going to only spend so much. Although, once I step foot into my favorite store, Forever 21, all those responsible thoughts seem to float away. I have come to the realization that this happens because of a very simple reason, the clothing there is cheaper than anywhere else. Not only does that factor play a vital part in my consumer behavior, but the wide variety of clothing and accessories Forever 21 provides to their customers does as well. From the time spent in the dressing room, to the minute I am standing infront of the cash register, I am debating with myself if I truly need or if I want the items in my hand. I am honest with myself most of the time and admit I do not need the clothing I am holding. However, the minute I decide that, my mind reminds me of the deals I am getting by purchasing these items at this time. I look down at the price tag and remind myself how much I am saving becacuse this particular item is indeed on sale! At this time in the purchasing process, I am taking into consideration the reference price.  Nontheless, if the item was still at its original price, I would not feel the need to purchase it. Nevertheless, before I know it, I am out the door and just another consumer buying into the sale prices...literally. 

Gas prices are budget busters for many

By Barbara Hagenbaugh

From USAToday.com: Barbara interviewed Esther Guzman and how the gas prices are affecting her and her family specificly. These insane prices not only have an affect on Esther, but because she drives her three children around to their jobs and school activities, it also takes a toll on the rest of her family as well. Esther makes it a point to provide gas money for these particular necessary activities, however, she has unfortunately had to cut back on the luxury activities such as: eating out as a family, going to the movies, and on top of it all she had to cut back visiting her very ill seventy-six year old father. It is one thing to reduce those additional activities; although, it is rather sad that because of the gas prices Esther feels she can no longer afford to make the trips to visit her dying father. It is heartening to know Esther has to have a priority list when it comes to how she utilizes her gasoline. However, it is incredibly sad that she cannot even put her sick father on her list because of the high prices of gasoline. In general it is preposterous that gasoline prices can fluctuate such a great amount in a matter of days, sometimes even hours, and the worst part is, Esther along with the rest of us Americans cannot do or say anything to change it. 

Cutting Ad Spending in Recession Hurts Brands Long Term

Following Boom/Bust Cycle Flirts With Danger

By Jack Neff

From AdAge.com: Neff expresses his thoughts on personal care. He believed that it was “recession-resistant” however, last year altered his stance on this specific topic. The personal care market contrary to Neff's first position on the issue; cut its ad spending more rapidly than the general market. Companies and brands that went along with the economy cut-backs concerning the ad spending were not as successful as those companies did not fluctuate according to the troubles of the economy and longer term. Needless to say the moral of this story would be it is not always the best thing to follow the economic trends, rather it is important to be brave and have confidence in your decisions and believe they will lead to success.  

Five Brands Doing It Right, Doing It Wrong

From Bounty to Wendy's, We Looked at 10 Case Studies to Offer Marketers ThesDos and Don'ts

By Natalie Zmuda 

The title says it all!  However, the title does not disclose the important part of the story.  The article described in detail the wide variety of goods that are being marketed in the recession today. The main idea of the article is stating what corporations are exemplifying the dos and the don'ts of the industry. Oddly enough, Zmuda identifies the different companies in alphabetical order. It would have been more beneficial for her readers to have had her put them in the order of who is making it work best to those who need a do-over.  For instance, Hyundai would have been at the top of my list.  During this recession, Hyundai Motor America came up with an inimitable Assurance program to assist with their sales. Their Assurance program has led to sales increasing 5% in January and February. This campaign has facilitated the fact that Hyundai is flourishing while other automobile industries are failing.