Who affects our choices of what we buy? Bountiful High School Financial Literacy Course

Alice making decisions… yRPY&feature=related

Types of Influences Cultural Language, the way someone is raised, geographic location Social Peer pressure, fads, marketing, advertising Emotional Binge spending, comfort shopping, fear of making a decision

Peer Pressure The influence others have on an individual’s personal decisions.

Forms of Peer Pressure as it Relates to Purchasing Decisions Friends Newspapers Magazines Telephone Directories Direct Mail Commercials Catalogs Radio Advertisements

Psychology and Advertising

Emotional Factors Related to Peer Pressure Gossip Acceptance Disapproval Insecurities Boyfriend/Girlfriend Sarcasm Fear Clubs Athletics Cliques Rich/Poor

Limited Financial Resources Tommy is 17 and lives with his single mother who is unemployed. Tommy works at the video store after school and on weekends to help her pay rent. Prom is in three weeks and he really wants to take his girlfriend. However, his paycheck is barely enough to cover the necessities for him and his mother. What are the sources of pressure that Tommy is feeling? What would you advise Tommy to do? What would you do?

Scarcity “ Scarcity is an economic principle stating that because of limited resources, an economic system cannot possibly produce all the goods and services that people want; therefore, choices must be made about how the limited resources will be used.” -Consumer Economics & Education

Marketing, Advertising and Sales Strategies/Techniques People who sell products and services are fishing for customers. They lure them in with sales, coupons, and other enticements. Unlike fish, consumers can benefit in this situation – if they know how to take advantage of special purchasing opportunities.

WHO SAID IT? 1. Breakfast of Champions. Wheaties 2. Eat Fresh. Subway 3. Eat Mor Chikin! Chick-fil-a 4. Every kiss begins with Kay, Kay Jewelers 5. Give me a break, give me a break; break me off a piece of that Kit Kat Bar.

6. Get the door, it's Dominos 7. Got Milk? 8. I'm lovin' it. McDonalds 9. If it doesn't get all over the place, it doesn't belong in your face. Carls Jr. 10. It's finger lickin' good. KFC

11. Just Do It. Nike 12. Like a good neighbor, State Farm is there. 13. Think outside the bun. Taco Time 14. M'm! M'm! Good! Campbell’s Soup 15. Maybe she's born with it. Maybe it's Maybelline

16. Melts in your mouth, not in your hands. M&M’s 17. More saving. More doing. Home Depot 18. It keeps going and going and going. Energizer 19. Obey your thirst. Sprite 20. So easy a caveman can do it. Geico

21. Sometimes you feel like a nut, sometimes you don't. Almond Joy 22. There's always room for Jell Where a kid can be a kid. Chuck-E-Cheese 24. You're in good hands with Allstate 25. The greatest fun spot you’ll ever know. Cherry Hill

26. Anytime is Taco Time 27. It’s what fun is! Lagoon 28. Pop-pop, fiz-fiz, oh what a relief it is! Alka-seltzer 29. The happiest place on earth! Disneyland 30. Life elevated. Utah

Science of persuasion Advertising Techniques eature=related eature=related Advertiser vs. Consumer tfIk&feature=related tfIk&feature=related

a. ____________ b. ____________ c. ____________ d. ____________ e. ____________ f. ____________ g. ____________ h. ____________ i. ____________ j. ____________k. ____________ l. ____________ m. ____________ r. ____________ n. ____________ o. ____________ q. ____________ p. ____________ s. ____________

a. ___Sprite___ b. ___Ore Ida____ c. ___Kellogg's___ d. KFC e. ___Lay’s____ f. ___Adidas___ g. ___Honda___ h. Western Family i. General Mills j. Betty Crockerk. _Chevrolet_l. _Ocean Spray_ m. _Smucker’s_ r. American Express n. ____Sony____ n. ___Google___ o. __Staples___ q. ___Kleenex___ p. _Coca Cola_s. ___NBA___

Examples of Marketing, Advertising and Sales Strategies Clearance Sales Holiday Sales Coupons Rebates Sweepstakes Contests Sales People Attractive Décor Background Music Items purchased most often are in back of store (bread/milk) Most profitable items are given prominent positions

Opportunity Cost Refers to what a person gives up when a decision is made. This cost, often called a trade-off, may involve one or more of your resources: Time Money Effort

Commercial Break In your group, you are to come up with an commercial for your product You will include assigned advertising technique You will act out a commercial or come up with a jingle and sing it Each group member must participate Creativity is a must!

Thinking Critically About Ads In what ways is this ad trying to influence me? How is it trying to reach my emotions? Am I being given all of the facts? What does the advertisement NOT tell me about the product? What does the fine print say? Does this advertisement sound too good to be true? Where are ads found?

Advertisements Example

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