Hi Mari. As you can see, I'm hoping to go back through your Happy Wanderer articles that I've read in the past, and catch up on the ones I haven't read. Whenever I have a meaningful comment to offer, I'll do that as well.
Today I remembered an example of a perverse incentive.
Rich and I have gotten into collecting fragrance bottles, which range from $30 to $200 per bottle or more, depending on numerous factors. Of course we are very particular about being as frugal as possible with this hobby. Just as is often true with selecting quality bottles of wine, we've researched and found quality bottles of fragrance that are on the affordable end of the price spectrum.
Occasionally we've decided to purchase pricier fragrance bottles. Here's where the perverse incentive comes in. We could drive nearby to a local department store and purchase these high end fragrances. But if we did, we would pay $50 or more per bottle... than if we order them online, and have them flown over the Atlantic Ocean to be sent directly to our house. I'm embarrassed to say this. Ugh.
Here's why these high-end fragrance bottles cost at least 25% less, when we buy them from online European fragrance stores:
[A] we do not have to pay the European Value Added Tax (VAT), as American customers, that European customers would have to pay;
[B] we do not have to pay the import taxes that American retail stores pay and pass on to American customers via retail pricing; and
[C] we usually bypass additional delivery charges, because the total we spend at the European online store qualifies us to do so. Of course the actual delivery charge was included in their retail price in the first place... but it's still an additional charge we bypass.
So all of this adds up. We rarely buy bottles of fragrance that are at the $200 price point. When we do, we'd rather pay $150 than $200. But it really bugs me. I'd much rather we be rewarded to drive five minutes from home to purchase the same product that was already delivered locally, presumably at a more energy efficient bulk rate. Man... I'm not Catholic, but this feels like confession to me. Ugh.
This is a good example, and I can relate to wanting to avoid spending so much extra money, even though it makes you feel guilty. I would guess that if the surcharge were only $20, you would buy from the local store. But $50 is a lot to ask!
And thank you for reading my old posts and sharing your insightful comments!
Regarding the shopping cart dilemma, I have had this same conversation with people on Facebook. At my local ShopRite they employ mentally disabled and /or older citizens to collect the shopping carts and return them to the store front, they do not have corrals available to the shopper. So we are actively encouraged to abandon our carts and somebody is employed that might otherwise have difficulty finding a job. However I do take care to leave mine at the front of my car allowing the next person to park easily. When I visit any grocery store that has a cart corral I always use it.
I also agree with your “why pay twice” a different example from my household: if a meal that I have spent time making turns out meh my son and I will say so and find an alternative. Meanwhile my husband plows through the meal despite the unappetizing result. Tim and I are of the opinion that calories consumed should be palatable! My husband will even eat burnt or undercooked (usually pastry or cakes) food!!!
Hi Mari. As you can see, I'm hoping to go back through your Happy Wanderer articles that I've read in the past, and catch up on the ones I haven't read. Whenever I have a meaningful comment to offer, I'll do that as well.
Today I remembered an example of a perverse incentive.
Rich and I have gotten into collecting fragrance bottles, which range from $30 to $200 per bottle or more, depending on numerous factors. Of course we are very particular about being as frugal as possible with this hobby. Just as is often true with selecting quality bottles of wine, we've researched and found quality bottles of fragrance that are on the affordable end of the price spectrum.
Occasionally we've decided to purchase pricier fragrance bottles. Here's where the perverse incentive comes in. We could drive nearby to a local department store and purchase these high end fragrances. But if we did, we would pay $50 or more per bottle... than if we order them online, and have them flown over the Atlantic Ocean to be sent directly to our house. I'm embarrassed to say this. Ugh.
Here's why these high-end fragrance bottles cost at least 25% less, when we buy them from online European fragrance stores:
[A] we do not have to pay the European Value Added Tax (VAT), as American customers, that European customers would have to pay;
[B] we do not have to pay the import taxes that American retail stores pay and pass on to American customers via retail pricing; and
[C] we usually bypass additional delivery charges, because the total we spend at the European online store qualifies us to do so. Of course the actual delivery charge was included in their retail price in the first place... but it's still an additional charge we bypass.
So all of this adds up. We rarely buy bottles of fragrance that are at the $200 price point. When we do, we'd rather pay $150 than $200. But it really bugs me. I'd much rather we be rewarded to drive five minutes from home to purchase the same product that was already delivered locally, presumably at a more energy efficient bulk rate. Man... I'm not Catholic, but this feels like confession to me. Ugh.
This is a good example, and I can relate to wanting to avoid spending so much extra money, even though it makes you feel guilty. I would guess that if the surcharge were only $20, you would buy from the local store. But $50 is a lot to ask!
And thank you for reading my old posts and sharing your insightful comments!
Love the airline bag idea!!!!!
Regarding the shopping cart dilemma, I have had this same conversation with people on Facebook. At my local ShopRite they employ mentally disabled and /or older citizens to collect the shopping carts and return them to the store front, they do not have corrals available to the shopper. So we are actively encouraged to abandon our carts and somebody is employed that might otherwise have difficulty finding a job. However I do take care to leave mine at the front of my car allowing the next person to park easily. When I visit any grocery store that has a cart corral I always use it.
I also agree with your “why pay twice” a different example from my household: if a meal that I have spent time making turns out meh my son and I will say so and find an alternative. Meanwhile my husband plows through the meal despite the unappetizing result. Tim and I are of the opinion that calories consumed should be palatable! My husband will even eat burnt or undercooked (usually pastry or cakes) food!!!
And I in turn love ShopRite's idea of using mentally disabled people and seniors to return the carts! That's a win-win!
Send this on to the airlines or airport authorities! Great ideas!
Thanks! I wish I could wave a magic wand!