Excuses to Shop

My wife received some credit card spam that started as follows:
“The year is almost over, but you can still build your January rebate! Use your [brand of credit card] to earn cash back on special gifts, last-minute holiday purchases and everything in between.”
She laughed and showed it to me. My first thought was who would spend an extra $1000 now just to get $20 more back in January? Most people aren’t great at math but they’re not this bad. This message seems like it shouldn’t work on anyone. But credit card marketers can’t be this dumb. There has to be more to this than I saw at first.

One possibility is they are aiming this message at people with multiple credit cards in an attempt to get them to use this particular card more often for things they were going to buy anyway. But I think there is a better explanation.

I think this message is mainly aimed at shopaholics. Addicts will latch onto any excuse to scratch their itch. Compulsive shoppers need an excuse to shop for things they don’t really need or want and will latch onto just about any idea no matter how nonsensical: rebates, points, Black Friday, Cyber Monday, and Boxing Day/Week/Month.

So this message wasn’t meant for me or my wife. It was meant for more profitable customers who need excuses to compulsively overspend.

Comments

  1. BethDecember 7, 2015 at 7:03 AM

    Last year, I received a credit card offer that went something like this: "With x low interest rate, you can finally afford that winter vacation your family deserves!"

    I'm not sure which is scarier -- that people think a new credit card allows them to "afford" a big ticket item, or the sense of entitlement that they DESERVE it.

    ReplyDelete
    Replies
    1. Michael JamesDecember 7, 2015 at 8:17 AM

      @Beth: I try not to ever underestimate people's capacity for believing things just because they want them to be true.

      Delete
  2. Big Cajun Man (aw)December 7, 2015 at 8:19 AM

    This letter is sent to so many folks, all they need is a "pick up rate" of about 0.1% to increase their bottom line. The fact that you laughed at it, doesn't mean that in a few years you might heed their warning (sarcasm).

    ReplyDelete
    Replies
    1. Michael JamesDecember 7, 2015 at 8:31 AM

      @Big Cajun Man: It's true that the cost of sending the email is low and few people need to be influenced to make it worthwhile for the credit card company. What I'm trying to figure out is what goes on in the minds of people who are influenced.

      Delete
  3. SSTDecember 7, 2015 at 10:26 AM

    Studies have shown that if you use a credit card, you are highly susceptible to spend more than you would using other forms of payment.

    My all-time favourite slogan is, "Spend/buy more, Save more!" Huh?! That's some funky accounting!

    ReplyDelete
    Replies
    1. Michael JamesDecember 7, 2015 at 11:35 AM

      @SST: Usually it puzzles me why this stuff works on people, but I think I understand why it's easier to spend with a credit card. If I'm spending cash, I have to part with some of it in a very visual way. A credit cards doesn't look any different after I've used it. My lizard brain doesn't perceive any loss.

      Delete
  4. AnonymousDecember 7, 2015 at 10:57 AM

    Anyone who doesn't immediately laugh at stuff like this probably would have no clue how to find this great website in the first place.

    ReplyDelete
    Replies
    1. Michael JamesDecember 7, 2015 at 11:38 AM

      @Anonymous: Thanks for the compliment on my web site. You may be right that I reach few people directly to make them think about these nonsense credit card messages. However, I'm hopeful that I might prompt some of my readers to pass along the message to those who could use it.

      Delete
  5. paulDecember 7, 2015 at 1:51 PM

    I think its great.
    Anything that helps my visa shares go up in value is fine with me.

    ReplyDelete

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