We Americans are a funny lot. In another era, we valued thrift and fiscal conservatism. But no longer. These days we're all living La Vida Loca in the consumer economy.
Yep. We love to spend. And although there are some ominous signs on the horizon that the party may be coming to a close, the party ain't over yet. In the spirit of fun, AOL has a new feature celebrating the vices that represent the best ways to part with your hard-earned dollars. I couldn't help but agree with many of them. I opine on some additional money-wasters below:
Bottled Water
It's water. And last year we spent more on it than on iPods and movie tickets. This Fast Company piece says it all. Thirty years ago, the article says, bottled water was a blip on the business screen in this country. But tastes change, apparently. Last year, Americans spent some $15 billion on bottled water, from Poland Spring to upscale Fiji Water. The Coca-Cola Co.'s (NYSE: KO) Dasani and PepsiCo's (NYSE: PEP) Aquafina, the top-two bottled waters in the country, are admittedly just purified - and nicely-packaged tap water!
Cable - You're paying how much for cable each month? And you're getting....2,000 channels of crap, plus maybe some decent sports now and then. The cable companies promise something for everyone, but you still have to wade through somebody else's definition of entertainment to find your own. There's no bigger waste of time or money. You might be amazed at how much entertainment you can rent cheaply on DVDs, or even download from the internets. Try going to your favorite sports bar for the ESPN offerings you feel you can't miss, and enjoy them with like-minded buddies. Even more un-American? Try getting rid of your cable and availing yourself of all that sudden free time.
New Cars
Yeah, yeah we all love that new car smell, but that's about all you're getting when you plunk down your cash for a brand new vehicle. According to Edmunds.com, the average new care loses 12.2% of its value in the first year. Some cars depreciate even faster. A one or two-year-old vehicle can cost thousands less and still offer low mileage and reliability. It'll look good, too. And nobody ever needs to know you didn't buy it new off the lot. Now breath deep: Smell that? It's the scent of a good deal.
Email providers: You're still paying Earthlink $20 a month for what? Two words for you: Google Mail.
Free. On the web. And it's Google (NASDAQ: GOOG) which ain't going away anytime soon.
Newspaper subscriptions: Hard for a former newspaper reporter to admit, but do you really need to get yesterday's news tomorrow... waiting for you in a plastic wrapper in a puddle on the lawn? No. That's what the internets are here for. Instant news as it happens 24/7. Most papers, even the very local ones, now have their content available for free on the internet. Online classified ad forums such as Craigslist.org have helped sound the newspaper industry's death knell. True, there are still subscription firewalls in place at some of the major publications like the Wall Street Journal and the New York Times, but the blogosphere is taking care of that, too. Wait an hour or so, and somebody out there will be writing about it for you... and for free.
Kids' toys and clothes: The progeny market is huge. Naturally parents want to buy the best for their little darling. But experienced parents will tell you: There's no shame in hand-me-downs. There is literally not one baby item (save for baby) you can't buy second-hand or even get free from relatives or friends. Even though crib and car-seat companies like to parrot the dangers of older models (there are new safety standards being proclaimed from on high every year), if a product is "gently used," then chances are it's perfectly safe for the newest generation.
These are just a few ways we spend money we don't need to. What are some others? C'mon. I know you've got a few faves to rant about. Let's hear them. Give me fodder for a follow-up post here on BloggingStocks.
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Reader Comments (Page 2 of 2)
8-04-2007 @ 1:43PM
Stephen said...
I am amazed and amused by your article as well as all of the responses (albeit one response was off topic - Investment??). I found it most interesting that the 2 seemingly "closest to our hearts" items got no mention whatsoever, "New cars and Kids items". As I was reading (article and responses) one overwhelming question constantly came to mind. How, as a society throughout history in any country in the world, did we ever manage to live until now, long before any of these items were even available. Have we become so spoiled that we truly require all of these? Our lifespans have increased dramatically over the last thousand years or so.
I also offer a tiny extra concept regarding a healthy and "sanitary" life. As the human race moves on we do more and more to be safe and kill bacteria in the interest of "sanitary practices" yet we seem to be less and less healthy. From birth, our bodies create antibodies to protect us naturally from most bacteria and illnesses and the more we "insulate" ourselves from life and normal exposure to dirt and day to day contact with others the less our bodies are prepared when something more serious "jumps" us. Obviously, I wouldn't recommend walking into a Tuberculosis ward or something similarly dangerous unprepared and unprotected. However, day to day activities, including playing in the mud as a kid and drinking from a water fountain (dehydration will kill ya long before the bacteria do), all prepare our bodies to protect themselves when the need arises. Again, I enjoyed the article and the responses and I'm going to the store in a few minutes to buy a replacement refrigerator water filter. Oh, just realized, no one mentioned that as a viable alternative to bottled water...oops!
8-04-2007 @ 10:42PM
JAMIE said...
I WORK OUTSIDE ,ALL DAY, EVERY DAY. IN A DIFFERENT TOWN, EVERY WEEK. I AM NOT CLOSE TO ANY FLOWING WATER. I HAVE NO ACCESS TO FAUCETS. I THINK THAT BOTTLED WATER IS THE BEST THING THAT EVER HAPPENED TO PEOPLE THAT ACTUALLY WORK FOR A LIVING TRY IT SOME DAY. ALL DAY IN A STRANGE TOWN ASK FOR A GLASS OF WATER. KNOCK ON SOMEBODYS DOOR. SEE HOW THAT WORKS OUT FOR YOU. BEST OF LUCK JAMIE
8-10-2007 @ 8:04PM
jen said...
I'm surprised no one mentioned all the expensive miracle weight loss products on the market. Not only are they misleading but most end up being a big waste of money. Everybody knows the only safe effective weight loss method is "everything in moderation" and of course exercise. As stated earlier; exercise doesn't have to be a costly expense, ie:gym or health club membership either. Walking is usually something people of all ages & abilities can do. And simple isometric exercises at home or aerobics for those who desire something more energetic and challenging. Save your hard-earned money for fun things instead.
8-13-2007 @ 6:58PM
tricia said...
Couldn't be more right