Credit
Money that is borrowed but must be repaid later
What is Credit?
Friends, family, and social media
What is Social influence?
Items that are a basic for survival
What are Needs?
What influenced the creation of new household items
Electricity
Money owed to someone or a bank
What is Debt?
Seeing items promoted by influencers
What is social media marketing?
Items that promote comfort
What are Wants?
This monthly cost will increase when devices are left funning
What factors can affect whether someone is approved for credit
What is Income?
Buying items that shows status
What is Status consumption?
Buying items because their popular
What is consumerism?
Higher electricity bill can limit the spending on these
What are Wants vs. Needs
Payday loans are risky because they often have this
What are High interest rates?
A factor that affects what consumers can afford
What is Income?
Advertising that blurs the line between these to categories
What is Wants and needs?
What is Electricity?
A ratio that shows how much credit you use and how much you have available
What is Credit utilization?
This strategy makes them feel like they need the product immediately
What is scarcity marketing?
Understanding wants vs. needs can help a consumer avoid this financial problem
What is debt or overspending?
Energy efficient appliances may cost more upfront but save this over time
What is Money?