Money - What Money Means To You And Your Customers

"The ultimate aim of consumer research is to encourage people to spend money on your particular product or series of products. Therefore it is important to understand how people feel about money and to look at differences in spending patterns. In modern civilization, goods or services are traded in the exchange of money in the form of coins, notes, cheques and credit cards. You should note that money means different things to different people. Here are 7 factors that determine the relationship between your customer and their attitudes towards money.

1. The Employed - Those who are employed may see it as a good thing whilst the unemployed see it as a source of worry and its absence as shameful. Males associate money with competence, financial risk-taking and management whereas females see it as a means of obtaining goods and enjoyable experiences.

2. The True Value - The worth of different types of money may not be accurately interpreted. A coin will be seen as having less value than a note of the same denomination. Credit cards are seen as less 'real' than cash.

3. Symbol And Status - Money has a symbolic value presenting power, security, happiness and satisfaction. It is not generally acceptable as a gift since it symbolises status and seniority.

4. Employment And Income - People are more likely to spend on expensive cars and appliances if they feel good about their future finances. However our expenditure on food and other consumables is influenced by our income.

5. Spenders And Savers - 'Spenders' are generally healthier, happier and more optimistic than self-deniers. The money-troubled are dissatisfied with life, themselves and their relationships.

6. Pricing - A fair exchange is expected when purchases are made. People generally have an idea about a product's 'worth' and which price range it will fall into. They have a reference price which is the price they expect to pay for a particular product based on fairness or past price.

7. Quality - For many products price is also considered to be an indicator of the quality of the goods. The higher the price, the more valuable the product. This may not always be the case but presents a perceived value for the product that your customers will question.

What is important to understand is that the subjective value that money has for your customers. If you want to persuade them to make purchases they must feel that they are getting value for money. Offering your product that is too low and people will not take you seriously. Sales can be adversely affected as it raises doubts about the quality."

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