tag:theconversation.com,2011:/uk/topics/shopping-1642/articlesShopping – The Conversation2024-01-05T13:46:13Ztag:theconversation.com,2011:article/2201812024-01-05T13:46:13Z2024-01-05T13:46:13ZThe US invented shopping malls, but China is writing their next chapter<figure><img src="https://images.theconversation.com/files/567756/original/file-20240103-29-8zgelg.jpg?ixlib=rb-1.1.0&rect=32%2C0%2C5449%2C3641&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">People walk under a light projection at a shopping mall in Beijing. </span> <span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/people-walk-under-a-light-projection-at-a-shopping-mall-in-news-photo/1782952230">(Photo by Jade Gao / AFPJade Gao/AFP via Getty Images)</a></span></figcaption></figure><p>On a recent research trip to China, I wandered through the Oasis Mall in suburban Shanghai. Like many Chinese shopping centers, this complex was filled with empty stores that reflected the <a href="https://www.bloomberg.com/news/features/2020-02-07/ghost-malls-in-china-s-once-teeming-megacities?embedded-checkout=true">end of China’s 30-year-long economic expansion</a>. But there also were surprises. </p>
<p>Along a stretch of the mall’s interior walkway, a cluster of parents and grandparents sat on chairs. They were looking through a plate glass window, watching a dozen 5- to 7-year-old girls practice ballet steps, carefully following their teacher’s choreography. A space initially designed for retail had been turned into a dance studio.</p>
<p>From 1990 through 2020, <a href="https://www.taylorfrancis.com/books/mono/10.4324/9781315609065/shopping-malls-public-space-modern-china-nicholas-jewell">large, shiny shopping malls</a> embodied China’s spectacular economic growth. They sprouted in cities large and small to meet consumer demand from an emerging middle class that was keen to express its newfound affluence. These centers look familiar to American eyes, which isn’t surprising: U.S. architectural firms <a href="https://doi.org/10.1080/13467581.2023.2182639">built 170 malls in China during this period</a>.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="A curved modern building labeled Oasis, with towers in the background." src="https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=232&fit=crop&dpr=1 600w, https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=232&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=232&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=291&fit=crop&dpr=1 754w, https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=291&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/567757/original/file-20240103-15-n9ojl6.JPG?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=291&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The Oasis (blue building) is one of some 6,700 shopping malls in Chinese cities. Hundreds of new centers open yearly.</span>
<span class="attribution"><span class="source">John Rennie Short</span>, <a class="license" href="http://creativecommons.org/licenses/by-nd/4.0/">CC BY-ND</a></span>
</figcaption>
</figure>
<p>Like their <a href="https://www.businessinsider.com/shopping-mall-rise-fall-timeline-1950s-to-today-2023-1">U.S. counterparts</a>, many Chinese malls have fallen on hard times. The COVID-19 pandemic and the rise of online shopping have devastated foot traffic, leaving the nation with a huge overhang of retail space. But many Chinese malls are being re-imagined by owners and users as palaces of experience – civic areas for communities to meet and interact, with new configurations of public and private space. </p>
<p>As a <a href="https://scholar.google.com/citations?user=oMPNYhQAAAAJ&hl=en">longtime urban policy scholar</a>, I was fascinated by the new uses I saw for malls in China. In my view, these experiments could become models for new, creative uses of retail space in the U.S., where the mall was invented. </p>
<h2>Serving a new consumer class</h2>
<p>China <a href="https://www.brookings.edu/books/how-china-opened-its-door/">opened up to foreign trade and investment</a> less than 50 years ago. Since then, it has become the <a href="https://www.forbesindia.com/article/explainers/top-10-largest-economies-in-the-world/86159/1">world’s second-largest economy</a>, surpassed only by the U.S. </p>
<p>Rising incomes and a massive population shift from rural areas to cities have created a <a href="https://www.goldmansachs.com/intelligence/macroeconomic-insights/growth-of-china/chinese-consumer/">growing middle class</a> with significant purchasing power. GDP per capita increased <a href="https://finance.yahoo.com/news/china-squandered-golden-opportunity-overtake-110000713.html">from US$293 in 1985 to $12,500 by 2021</a>. </p>
<p>Today, approximately 350 million Chinese – 25% of the total population – <a href="https://onlinelibrary.wiley.com/doi/epdf/10.1111/cwe.12400">can be considered middle class</a>. More recent economic growth has generated growing income inequality that now is <a href="https://sccei.fsi.stanford.edu/china-briefs/rise-wealth-private-property-and-income-inequality-china">equivalent to U.S. levels</a>.</p>
<p>Malls became a motif of modernity during the country’s economic expansion. They offered consumers year-round protection from heat, humidity, cold and frost, as well as from busy streets and polluting traffic. Malls were safe environments where the steadily increasing numbers of more affluent Chinese families could shop and eat, stroll and meet.</p>
<p>Over the past 30 years, China’s malls have <a href="https://discovery.ucl.ac.uk/id/eprint/10154812/">faced economic booms and slumps</a>. For example, the <a href="https://www.atlasobscura.com/places/new-south-china-mall">New South China Mall</a> in Dongguan – which is twice the size of Minnesota’s Mall of America, its largest U.S. counterpart – opened in 2005. But most of its 2,300 storefronts remained closed for over a decade as China <a href="https://www.imf.org/external/pubs/ft/fandd/2010/06/yueh.htm">fought off recession</a> after the 2008 world financial crisis. </p>
<figure>
<iframe width="440" height="260" src="https://www.youtube.com/embed/5zPkm2SU1DM?wmode=transparent&start=0" frameborder="0" allowfullscreen=""></iframe>
<figcaption><span class="caption">This 2013 news report takes viewers inside the then-deserted New South China Mall in Dongguan.</span></figcaption>
</figure>
<p>China weathered that downturn through <a href="https://insight.kellogg.northwestern.edu/article/china-credit-expansion-unintended-consequences">aggressive economic stimulus policies</a>, and within a decade it replaced the U.S. as the <a href="https://www.reuters.com/article/idUSKBN1XF218/">world’s top driver of economic growth</a>. This expansion buoyed its retail sector, including <a href="https://www.chinadaily.com.cn/a/201901/11/WS5c380388a3106c65c34e3e65.html">shopping centers</a>. By 2018, a renovated and modernized New South China Mall was <a href="https://theculturetrip.com/asia/china/articles/worlds-biggest-shopping-mall-china-no-longer-ghost-mall">near full occupancy</a>. </p>
<p>Then COVID-19 struck in 2020. The Chinese government adopted a rigid <a href="https://www.voanews.com/a/what-is-china-s-zero-covid-policy-/6854291.html">zero-COVID policy</a>, in which local governments could impose lockdowns after detecting just a few cases. Hundreds of millions of people were restricted to their homes for weeks or months at a stretch. </p>
<p>This policy was lifted only <a href="https://publichealth.jhu.edu/2023/no-more-lockdowns-chinas-new-covid-landscape">in late 2022</a>. China’s economy has yet to fully recover, and many experts argue that it <a href="https://www.wsj.com/world/china/china-economy-debt-slowdown-recession-622a3be4">will never again reach its previous rates of growth</a>. An <a href="https://asia.nikkei.com/Spotlight/The-Big-Story/China-s-aging-population-threatens-a-Japan-style-lost-decade">aging population</a>, <a href="https://www.reuters.com/article/idUSKBN1ZF2YQ/">trade wars with the U.S.</a> and a government focused on centralizing power under the Communist Party are all acting as drags on the economy, and online shopping is drawing consumers away from stores. </p>
<p>As a result, Chinese media reports abound with stories about <a href="https://new.qq.com/rain/a/20230720A06YQI00">well-known stores</a> and <a href="https://www.jiemian.com/article/9356769.html">venerable malls</a> closing. In China, as in the U.S., what scholars once described as the “<a href="https://doi.org/10.1111/j.1467-8306.1993.tb01921.x">magic of the mall</a>” has become an “<a href="https://www.discoursemagazine.com/p/the-allure-of-ruins">allure of ruins</a>.” </p>
<h2>Malls with Chinese characteristics</h2>
<p>But the Chinese are making creative use of excess mall space. New users are filling nonretail areas, such as indoor walkways and atriums that now house café tables. Others have become children’s play spaces filled with giant inflatable figures. The <a href="https://www.capitaland.com/en/find-a-property/global-property-listing/retail/raffles-city-shenzhen.html">Raffles City Mall</a> in Shenzen has a rooftop pet playground, a stage, an art display area and a sun-shaded lawn. </p>
<p>China’s informal economy of food stalls and sidewalk merchants is also filling the void. Although street vending has a long history in China, government officials sought to suppress it in recent years, calling it <a href="https://epaper.chinadaily.com.cn/a/202009/18/WS5f63fbf0a31099a2343506f3.html">unsanitary and a throwback to pre-modern times</a>. Now, however, they are encouraging it as a way to reduce growing unemployment, especially among young people, which <a href="https://theconversation.com/chinas-youth-unemployment-problem-has-become-a-crisis-we-can-no-longer-ignore-213751">currently exceeds 20%</a>. </p>
<p>During my trip, I saw small-scale entrepreneurs selling produce, street food and crafts in mall parking lots and around public entrances. The <a href="https://www.routledge.com/Pseudo-Public-Spaces-in-Chinese-Shopping-Malls-Rise-Publicness-and-Consequences/Wang/p/book/9781032177991">distinction between public and private spaces</a> is being reconfigured as vendors set up stalls in areas that once were open space. </p>
<p>Empty store spaces are also being repurposed. Some have been converted into <a href="https://www.bloomberg.com/news/articles/2021-03-08/luxury-malls-are-the-new-car-showrooms-for-chinese-ev-makers?sref=Hjm5biAW">electric vehicle showrooms</a>, <a href="https://doi.org/10.1080/14702029.2022.2061750">art museums</a> and <a href="https://doi.org/10.1080/14733285.2022.2050675">children’s play centers</a> with dance studios, paddling pools, small skating rinks, gyms and yoga centers. Others have been redesigned as sites for art or cooking classes, or for <a href="https://thebusinessofesports.com/2021/07/02/china-opens-countrys-first-esports-themed-shopping-mall/">multiplayer electronic gaming</a> and <a href="https://franchise.sandboxvr.com/what-u-s-franchisees-can-learn-from-the-chinese-mall-experience/">virtual reality experiences</a>. The Dream Time Mall in Wuhan contains <a href="https://indoorsnownews.com/2023/03/03/wuhan-opens-indoor-snow-centre-as-part-of-worlds-new-largest-mall/">an indoor snow center</a> that offers ski lessons, ice mazes and tubing.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="People crowd into a curved atrium around a giant screen." src="https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/567752/original/file-20240103-15-8btgm3.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">People at Joy City Shopping Complex in Yantai, China, watch a live broadcast of the 2023 League of Legends world championship final on Nov. 19, 2023. League of Legends is a multiplayer online battle arena video game.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/people-gather-at-joy-city-shopping-complex-to-watch-a-giant-news-photo/1802127612">Tang Ke/VCG via Getty Images</a></span>
</figcaption>
</figure>
<p>I see these experiments as a shift in the meaning of the mall. What began as a cathedral of retail consumerism is becoming a place where people can connect and enjoy individual and collective experiences that aren’t available online. </p>
<p>Some U.S. malls are <a href="https://www.retaildive.com/news/5-creative-ways-malls-are-repurposing-their-space/594580/">moving in this direction</a>, but China is doing it on a much larger scale. Just as former Chinese leader Deng Xiaoping once asserted that his government was pursuing <a href="https://www.cgtn.com/how-china-works/feature/What-does-path-of-socialism-with-Chinese-characteristics-mean.html">its own version of socialism, with “Chinese characteristics</a>,” the U.S.-designed mall is being rewritten with Chinese characters.</p><img src="https://counter.theconversation.com/content/220181/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>John Rennie Short does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>China has a lot of vacant retail space, including many underused shopping malls. An urban policy scholar describes how the Chinese are rethinking what the mall is for.John Rennie Short, Professor Emeritus of Public Policy, University of Maryland, Baltimore CountyLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2194772023-12-19T23:20:05Z2023-12-19T23:20:05ZSame-sex couples divide household chores more fairly – here’s what they told us works best<p>Who does which household chores – or who does the most – is a perennial source of tension for many couples. From cleaning the toilet to taking out the trash, it’s sometimes the little things that can cause the biggest trouble.</p>
<p>Not without reason, either. Research shows women still do the bulk of the <a href="https://theconversation.com/yet-again-the-census-shows-women-are-doing-more-housework-now-is-the-time-to-invest-in-interventions-185488">housework and caregiving</a> in most heterosexual couples. And this unequal labour can lead to <a href="https://www.theage.com.au/national/victoria/the-juggle-is-real-parents-want-greater-flexibility-in-return-to-office-20220325-p5a820.html">burnout, health problems and financial stress</a>. </p>
<p>We also know same-sex couples often have a far <a href="https://theconversation.com/dont-give-mum-chocolates-for-mothers-day-take-on-more-housework-share-the-mental-load-and-advocate-for-equality-instead-182330">more equitable division of labour</a> than heterosexual couples. But it’s not clear how same-sex couples manage to achieve this fairer split of household chores. </p>
<p>Our <a href="https://www.tandfonline.com/doi/full/10.1080/27703371.2023.2285276">recent research</a> aimed to shed some light on this. We surveyed same-sex couples in Aotearoa New Zealand and Australia, and identified three key factors that enabled them to share the chores in ways they both feel is fair. </p>
<p>The couples in our study focused on achieving a sense of fairness and equality over time, rather than a strict 50-50 split. They all had different patterns of dividing tasks. However, they shared some common strategies that offer valuable lessons for any couple, regardless of gender or sexual orientation. </p>
<h2>1. Keep changing things up</h2>
<p>We know that when couples negotiate roles based on their individual availability and what they like doing – or what they least despise – it contributes to a <a href="https://journals.sagepub.com/doi/full/10.1177/2378023120924805">sense of fairness and satisfaction</a>. </p>
<p>Same-sex couples we interviewed embraced flexibility when it comes to dividing housework. They negotiated chores based on their specific needs, preferences and availability. Flexibility is key – if the person who usually takes the children to swimming lessons has a lot on at work, the other partner would step in.</p>
<p>Beyond the day-to-day, same-sex couples often play the long game, balancing unpaid labour with each other’s career progression. Some couples in our study planned their working and family lives so both partners could progress at work by taking turns as the main caregiver when their children were born. </p>
<p>Others recognised that task specialisation – such as one person always doing the taxes, and the other always cooking – could lead to dependence and rigidity. So they consciously practised task sharing to avoid this. </p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/how-last-nights-fight-affects-the-way-couples-divide-housework-92582">How last night's fight affects the way couples divide housework</a>
</strong>
</em>
</p>
<hr>
<h2>2. Communicate</h2>
<p>Couples who engage in honest conversations about their labour responsibilities <a href="https://journals.sagepub.com/doi/10.1177/0959353510375869">tend to view</a> their household division as fair. On the flip side, negative communication – aggression, avoidance or criticism – <a href="https://link.springer.com/article/10.1007/s11199-023-01422-5">fosters a sense of unfairness</a>. </p>
<p>In our research, effective and open communication was key to achieving an equitable division of unpaid labour. But these conversations weren’t always easy. </p>
<p>Couples who felt guilty about not doing enough around the house, or frustration with their partner for not pulling their weight, found simple conversations could become emotionally intense. </p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/yet-again-the-census-shows-women-are-doing-more-housework-now-is-the-time-to-invest-in-interventions-185488">Yet again, the census shows women are doing more housework. Now is the time to invest in interventions</a>
</strong>
</em>
</p>
<hr>
<p>We all have different standards of cleanliness, gender socialisation and family background that shape how we approach housework. And this can also make it difficult to understand a partner’s perspective or expectations.</p>
<p>Couples in our survey navigated disagreements through candid conversations, transforming conflict into opportunities for greater mutual understanding and agreement. </p>
<p>It’s not just about talking, but also about regular “check-ins” to see how each person is feeling about the labour load, and renegotiating things when household circumstances or feelings change. </p>
<h2>3. Remember unpaid labour is valuable</h2>
<p>Housework is often devalued when compared with paid work. Previous research has shown how undervaluing housework <a href="https://link.springer.com/article/10.1007/s11199-022-01282-5">diminishes the quality</a> of relationships. </p>
<p>Same-sex couples in our research sought to revalue unpaid labour by assigning it equal worth to paid labour. As one person said: </p>
<blockquote>
<p>The domestic tasks, we might not enjoy them, but we both value them equally. We both think they are important. </p>
</blockquote>
<p>Some couples actively acknowledged and appreciated difficult and time-consuming tasks, such as their partner cleaning the bathroom. Participants also found value in unpaid labour beyond the chores themselves, viewing them as acts of love, and found joy in small tasks. </p>
<p>One couple even turned household chores into a game, writing tasks on slips of paper and randomly selecting them from a bag – including enjoyable activities like walks or coffee breaks as rewards. </p>
<p>This not only lightens the mood but is also a strategy for involving children with less fuss.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/why-married-mothers-end-up-doing-more-housework-when-they-start-out-earning-their-husbands-183256">Why married mothers end up doing more housework when they start out-earning their husbands</a>
</strong>
</em>
</p>
<hr>
<h2>4. Do a stocktake of the unpaid load</h2>
<p>We often fall into patterns of domestic labour without realising it. In our study, we found completing simple time-use surveys and discussing them can illuminate disparities in responsibilities. </p>
<p>Why not try it yourself? List down the household tasks done last week, including physical chores (like shopping or cleaning), emotional tasks (caring for children or pets), and mental tasks (planning meals, managing finances). </p>
<p>Estimate the time both you and your partner spent on each task. Then, have a heart-to-heart about who is doing what, how you both feel about it, and how it can be fairer.</p>
<h2>Lessons for all couples</h2>
<p>Adapting these strategies in heterosexual relationships isn’t easy. Deep-seated gender norms and societal expectations about the feminine “homemaker” and masculine “breadwinner” can be tough to shake. </p>
<p>And same-sex couples are <a href="https://www.census.gov/library/stories/2020/09/same-sex-married-people-more-likely-than-opposite-sex-counterparts-to-be-in-labor-force.html">more likely to both be working part-time</a> rather than having one partner at home and one working. </p>
<p>But that’s the challenge – to redefine and negotiate labour in a way that works for your unique relationship. Start by tossing out the old gender scripts about who should do what. Next, open a dialogue about chores. </p>
<p>Flexibility, communication and revaluing unpaid labour are strategies available to everyone.</p><img src="https://counter.theconversation.com/content/219477/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Who does what chore can be a major source of tension in many households. Our survey of same-sex couples and their routines revealed four key strategies that can help lighten the load for everyone.Alice Beban, Senior Lecturer in Sociology, Massey UniversityGlenda Roberts, Postgraduate Researcher/Project Manager, Massey UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2193802023-12-14T21:26:41Z2023-12-14T21:26:41Z4 strategies to keep you from overspending this holiday season<figure><img src="https://images.theconversation.com/files/565624/original/file-20231213-19-6iuxfv.jpg?ixlib=rb-1.1.0&rect=35%2C35%2C5955%2C3952&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">High prices for groceries, housing and entertainment are leaving shoppers with reduced funds as the holiday season descends upon us.</span> <span class="attribution"><span class="source">(Shutterstock)</span></span></figcaption></figure><p>The urge to spend money is present all year round, but during the gift-giving season, the temptation to splurge on loved ones can be particularly strong. For many, the desire to be generous during the holidays clashes with the need to conserve funds for essential expenses.</p>
<p>This year, money is tighter than ever, with <a href="https://www150.statcan.gc.ca/n1/daily-quotidien/231121/dq231121a-eng.htm?indid=3665-1&indgeo=0">high prices for groceries, housing and entertainment</a> leaving shoppers with reduced funds as the holiday season descends upon us. </p>
<p>A growing number of individuals are feeling the financial squeeze, with 40 per cent of Canadians <a href="https://www.bnnbloomberg.ca/financial-stress-is-impacting-the-mental-health-of-canadians-survey-1.1933491">citing money as their main source of stress</a>. <a href="https://newsroom.bmo.com/2023-11-08-78-Per-Cent-of-Canadians-Plan-to-Cut-Back-on-Holiday-Spending,-but-a-Third-Will-Still-Give-Back-to-Charitable-Causes-BMO-Survey">Seventy-eight per cent of Canadians</a> plan on buying fewer gifts this holiday season and 37 per cent are worried they won’t be able to afford all the items on their holiday shopping lists.</p>
<p>Given that <a href="https://doi.org/10.3389/fpsyg.2022.790434">pricier gifts are not necessarily more appreciated by the person receiving the gift</a>, what are some ways shoppers can resist the temptation of appealing, yet expensive, gift options that might strain their finances?</p>
<p>As a social psychologist who studies personal spending, I think it is worthwhile to remind ourselves of self-control strategies that can help us manage financial decisions during the holiday season. </p>
<figure class="align-center ">
<img alt="A man in a red shirt sitting with his head in his hand at a table covered in paperwork. A Christmas tree is visible in the background." src="https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=401&fit=crop&dpr=1 600w, https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=401&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=401&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/565626/original/file-20231213-29-szas63.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">The holidays should be about joy, not financial stress.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<h2>Strategies for resisting temptation</h2>
<p><a href="https://doi.org/10.1177/1745691615623">Self-control is not just suppressing temptation</a>; it also involves setting yourself up for success by creating situations that make resisting temptations easier. </p>
<p><strong>1. Avoid temptations</strong> </p>
<p>Perhaps the most obvious strategy is to avoid shopping temptations. This may include steering clear of places — both physical and online — that are out of your budget range. While this is easier said than done during gift shopping, it’s an effective way to manage temptations: People who report having an easier time with self-control <a href="https://doi.org/10.1016/j.paid.2014.09.031">tend to avoid rather than resist temptations</a>.</p>
<p><strong>2. Make a budget</strong></p>
<p>If you haven’t sat down to make a holiday budget yet, it’s never too late to make one. Considering one-quarter of Canadians are <a href="https://globalnews.ca/news/10087745/canadian-holiday-spending-debt/">still paying off last year’s holiday debts</a>, being as fiscally responsible as possible is a wise choice this year. </p>
<p>Setting spending limits ahead of time makes your financial goals clear and explicit. When setting budgets for gifts <a href="https://doi.org/10.1093/jcr/ucad011?">people tend to spend the entirety of the estimated amount (unlike budgets for personal purchases where they try to come in under the budget)</a>. It’s good to be realistic, rather than optimistic, when setting budgets.</p>
<figure class="align-center ">
<img alt="People walk down a cobble-lined street lined by vendor booths" src="https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=403&fit=crop&dpr=1 600w, https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=403&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=403&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=507&fit=crop&dpr=1 754w, https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=507&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/565880/original/file-20231214-23-mh3bd2.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=507&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Shoppers browse vendor booths at the Christmas Market in Toronto’s Distillery District in December 2022.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p><strong>3. Implementation intentions</strong></p>
<p>Anticipate any potential shopping temptations you are likely to encounter so you can develop strategies to resist them. One effective approach is <a href="https://kops.uni-konstanz.de/server/api/core/bitstreams/14cc2a36-5f01-4dc1-b9ca-f2d0ca0c8930/content">forming intentions</a> about how you will act once you encounter a temptation. </p>
<p>For example, you might consider what you will do when you see a gadget your friend would enjoy when you have already bought them something and have reached the limit of your budget. Instead of purchasing it and exceeding your budget, you could write down the gadget for next year’s gift.</p>
<p><strong>4. Write a list</strong></p>
<p>Finally, thinking ahead to the gifts you plan to buy and writing a shopping list rather than relying on being inspired in the store might help with sticking to a budget. <a href="http://dx.doi.org/10.1007/s11747-019-00670-w">Consumers spend thousands each year on impulse purchases</a>. Writing shopping lists, <a href="https://doi.org/10.1002/cb.1812">even for online shopping</a>, can reduce overall spending and shopping regret. </p>
<h2>The best strategy is the one that works</h2>
<p>The holidays should be about joy, not financial stress. Maintaining self-control allows you to celebrate without compromising your financial well-being.</p>
<p>There are of course many strategies beyond the four strategies listed here that can help create situations where resisting temptations is easier. The most effective strategies for maintaining financial self-control <a href="https://doi.org/10.1016/j.jesp.2021.104189">are the ones you are already using</a>, and the ones <em>you</em> find most effective. If you want to avoid giving in to shopping temptations, take a moment to think about the financial strategies you are already using and think about how you might use them in your holiday shopping. </p>
<p>If you haven’t yet found a strategy that works for you, now is a great opportunity for you to try some out and see which ones are effective. Using strategies to manage the cost of holiday spending can prevent gift-giving from becoming a financial stressor in an already stressful time.</p>
<p>Finally, while adhering to a budget is important, it shouldn’t be the sole or primary focus during holiday shopping. Keep in mind that the true spirit of the season is spending quality time with loved ones. The joy of the holidays doesn’t come from extravagant gifts, but from shared moments and meaningful connections.</p><img src="https://counter.theconversation.com/content/219380/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Johanna Peetz receives funding from the Social Sciences and Humanities Research Council of Canada and the Financial Consumer Agency of Canada. </span></em></p>There are a number of ways shoppers can resist the temptation of expensive gift options that might strain their budgets this holiday season.Johanna Peetz, Professor in Psychology, Carleton UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2175122023-12-10T14:30:57Z2023-12-10T14:30:57ZTight budgets are making tipping a thorny issue this holiday season — here’s how to manage it<figure><img src="https://images.theconversation.com/files/564373/original/file-20231207-31-bf2zcz.jpg?ixlib=rb-1.1.0&rect=71%2C26%2C5182%2C3341&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Due to the current affordability crisis, many Canadians can’t afford to tip extra this holiday season.</span> <span class="attribution"><span class="source">(Shutterstock)</span></span></figcaption></figure><iframe style="width: 100%; height: 100px; border: none; position: relative; z-index: 1;" allowtransparency="" allow="clipboard-read; clipboard-write" src="https://narrations.ad-auris.com/widget/the-conversation-canada/tight-budgets-are-making-tipping-a-thorny-issue-this-holiday-season-heres-how-to-manage-it" width="100%" height="400"></iframe>
<p>With the holiday season upon us, many Canadians are reassessing their spending habits in the face of the country’s <a href="https://globalnews.ca/news/10049369/rising-cost-of-living-unprecedented-pressure-food-banks-canada/">high cost of living</a>. </p>
<p>Canadians are <a href="https://www.theglobeandmail.com/business/article-canadian-holiday-spending">projected to spend 11 per cent less</a> this holiday season compared to 2022, according to Deloitte Canada. Nearly 80 per cent of Canadians expect <a href="https://globalnews.ca/news/10076040/holiday-spending-travel-poll-canada/">interest rates and inflation to impact their holiday budgets</a>.</p>
<p>In addition, some Canadians are still recovering from last year’s festivities. One-quarter of Canadians <a href="https://globalnews.ca/news/10087745/canadian-holiday-spending-debt/">still haven’t paid off their holiday spending debt from last year</a>, according to a survey commissioned by Global News.</p>
<p>As such, Canadians are being forced to be more discerning in their holiday spending. Restaurants are usually one of the <a href="https://www.pymnts.com/consumer-finance/2022/restaurants-first-to-go-when-shoppers-cut-holiday-spending">first things to be cut from spending budgets</a> — Restaurants Canada <a href="https://www.restaurantscanada.org/resources/real-foodservice-sales-drop-in-november-2022/">noted a decline in food service sales</a> throughout 2022 compared to 2019. Since restaurants <a href="https://www.marketwatch.com/story/eat-drink-and-be-merry-heres-where-shoppers-have-been-spending-the-most-money-this-holiday-season-11672072356">receive a big share of consumers’ holiday spending</a>, they are likely to be impacted by tightened budgets.</p>
<p>This, of course, extends to tipping — with the current affordability crisis and tip inflation, <a href="https://dailyhive.com/canada/holidays-tipping-extra">Canadians can’t afford to tip extra</a> this holiday season.</p>
<h2>Tip creep and inflation</h2>
<p>Many Canadians are frustrated with current tipping culture. A recent Angus Reid survey found <a href="https://angusreid.org/canada-tipping-service-hospitality-included-tipflation-tip-creep">three in five Canadians</a> are being asked to tip a higher percentage — ranging from 18 to 30 per cent — for a wider range of goods and services. </p>
<p>These two phenomena — known as tip creep and <a href="https://www.cbc.ca/radio/costofliving/tipflation-gratuities-1.6555135">tipflation</a> — have been hurting shoppers financially. In the context of the cost-of-living crisis, this is only worsening affordability issues.</p>
<p>The COVID-19 pandemic also exacerbated
tip creep and tipflation. A survey conducted by Restaurants Canada in April 2022 found that <a href="https://www.ctvnews.ca/business/here-s-what-the-average-restaurant-tip-percentage-is-across-canada-1.6040388">44 per cent of respondents tipped higher</a> when dining in-person, compared to before the pandemic. </p>
<p>While research has shown that <a href="https://doi.org/10.1177/0010880401421001">customers tip servers to reward them for good service</a>, 78 per cent of Canadians believe tipping no longer functions as a way to show appreciation for employees; instead, they feel it is expected of them, no matter the quality of service.</p>
<p>Tipping is so ubiquitous in Canada, that point-of-sale devices now default to including tip. Tipping makes sense if an employee helps a shopper, but <a href="https://www.theatlantic.com/technology/archive/2023/01/technology-pandemic-economy-gratuity-tipping-etiquette-square/672658/">a self-checkout kiosk asking the shopper to tip</a> is plainly ridiculous.</p>
<h2>Are no-tip models the future?</h2>
<p>Tip creep and tipflation have led to widespread <a href="https://theconversation.com/a-tip-too-far-why-tip-fatigue-may-be-setting-in-for-north-americans-189289">tipping fatigue</a> among Canadians, with more than half expressing a preference for a no-tip, service-included model that ensures higher base wages for employees.</p>
<p>However, not all Canadians support the service-included model. In <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4488280">my ongoing research</a>, I’ve discovered that some shoppers oppose this approach because they want to maintain control over how much they reward good service.</p>
<p>My co-researcher and I asked individuals to explain their reasons for avoiding restaurants with a no-tip policy. Almost 40 per cent of their responses related to losing control of rewarding or penalizing service quality.</p>
<p>A no-tip policy typically raises menu prices by a flat 20 per cent, which not only acts as a defacto tip, but also robs customers of the ability to personally reward excellent service and, by extension, penalize subpar service. </p>
<p>Our findings revealed that 30 per cent of the reasons given were tied to the price hike, while the remaining 30 per cent were associated with concerns about potential poor service from establishments adopting this policy. This means a no-tip model is not a likely solution. Instead, there are other ways tipping can be managed to promote Canadians’ financial well-being.</p>
<h2>Tipping during the holidays</h2>
<p>There are three ways Canadians can navigate the thorny issue of tipping this holiday season. First is reminding shoppers that tipping is discretionary. Canadians should not feel pressured into tipping unless they wish to reward workers for good service. </p>
<figure class="align-center ">
<img alt="A waiter, wearing a face mask, writes on a notepad while standing in front of two customers seated at a restaurant table" src="https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/564376/original/file-20231207-17-bmeqfc.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Consumers need to remember they always have free will in choosing what amount to tip workers, or whether to tip them at all.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p>Canadians must not feel that they need to tip employees to allow them liveable wages. Canada is not the United States, which has an abysmal <a href="https://www.dol.gov/agencies/whd/state/minimum-wage/tipped">minimum wage of US$2.87 for tipped workers</a>. In Canada, only <a href="https://www.quebec.ca/nouvelles/actualites/details/hausse-du-salaire-minimum-a-compter-du-1er-mai-2022-le-ministre-jean-boulet-annonce-une-hausse-du-taux-general-de-075-lheure-37361">Québec still maintains a tipped wage</a> — the other provinces have minimum wages ranging from $14 to $16.77 an hour. </p>
<p>These rates come much closer to the country’s <a href="https://www.livingwage.ca/rates">liveable wage</a> compared to the U.S. But, in any case, businesses should be the ones responsible for ensuring employees are paid appropriately, not the public.</p>
<p>Second, shoppers must remember they always have a choice in choosing what amount to tip workers. Business owners may choose default tip percentages on point-of-sale devices, but customers are always able to change them. Shoppers need to hold owners (not employees) responsible for their decisions. </p>
<p>Third, if an owner or their employees want to encourage tipping, they should disclose <a href="https://members.restaurantscanada.org/wp-content/uploads/2018/02/Current-Tipping-Rules-in-Canada_December-2017.pdf">how the tips are distributed</a> between owner and staff and among customer-facing and back-end staff. Such disclosures will make shoppers feel respected and allow staff to truly <a href="https://www.cbc.ca/news/business/no-tipping-model-restaurants-1.6755944">earn their tips</a>.</p><img src="https://counter.theconversation.com/content/217512/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Vivek Astvansh does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>With the current affordability crisis and tip inflation, many Canadians can’t afford to tip extra this holiday season.Vivek Astvansh, Associate Professor of Quantitative Marketing and Analytics, McGill UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2184152023-11-27T10:50:21Z2023-11-27T10:50:21ZBlack Friday is an environmental nightmare – the Victorians had a much more sustainable approach to fashion<p>Around 46 million people across the UK are <a href="https://www.vouchercodes.co.uk/savings-guides/guides-reports/shopping-for-christmas-report-2023-black-friday-weekend#how-much-will-be-spent-over-black-friday">expected</a> to have visited their local high street to go shopping over the last weekend in November, encouraged by so-called Black Friday sales. The projected spend in-store and online is forecast to reach close to £9 billion.</p>
<p>How much of a saving there is to be made on Black Friday <a href="https://www.independent.co.uk/news/uk/home-news/black-friday-deals-offers-amazon-b2451203.html">is debated</a>. But even if they are a way to get a head start on your Christmas shopping – and important for retail businesses – by encouraging people to buy things they don’t necessarily need Black Friday sales can have a detrimental impact on the environment. </p>
<p>In 2022, <a href="https://www.dw.com/en/the-environmental-impact-of-black-friday/a-63875495">research</a> estimated that 400,000 tons of CO₂ would be released into the atmosphere due to transportation associated with Black Friday in the UK that year. When considering the waste from packaging and the fact that <a href="https://phys.org/news/2019-11-black-friday.html">up to 80%</a> of Black Friday purchases end up in landfill after only one use, the damaging consequences of these mass sales become clear.</p>
<p>Clothes are, unsurprisingly, among the most popular items purchased during this period. Fashion is already the world’s second most polluting industry, accounting for up to <a href="https://www.bbc.co.uk/news/world-europe-58145465">8% of global carbon emissions</a>. On Black Friday, the carbon footprint of clothing sales is reportedly <a href="https://www.sustainability-beat.co.uk/2023/11/13/black-friday-emissions/">72% higher</a> than on any other day.</p>
<p>These statistics show that we need to consume more sustainably. The practices employed by the Victorians to mend, sell and reuse old clothing might offer us some valuable lessons this Black Friday.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="A clothing market in Victorian-era Manchester." src="https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=453&fit=crop&dpr=1 600w, https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=453&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=453&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=569&fit=crop&dpr=1 754w, https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=569&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/561517/original/file-20231124-20-8g45hy.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=569&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The Old Clothes Market, Camp Field, Manchester.</span>
<span class="attribution"><a class="source" href="https://data.fitzmuseum.cam.ac.uk/id/object/174852">The Fitzwilliam Museum (2023)</a>, <a class="license" href="http://creativecommons.org/licenses/by-nc-nd/4.0/">CC BY-NC-ND</a></span>
</figcaption>
</figure>
<h2>Mending, wearing again and buying second hand</h2>
<p>For the Victorians, clothes were much more economically and emotionally valuable than they are today. Before the introduction of the sewing machine in 1851 and the rise of the ready-to-wear industry, clothes were made by hand, often at home. </p>
<p>A basic knowledge of fabrics and textiles was therefore commonplace, especially among women, who would have undertaken the majority of the household work. Making and repairing clothing were important practices that women devoted much of their time to, and sewing was a valuable domestic skill. </p>
<p>In contrast to today’s “throwaway culture”, where clothes are produced cheaply and quickly before being bought and disposed of after only a few uses, the Victorians carefully extended the life cycles of their garments. Employers even often handed lightly used articles of clothing down to members of their household staff. </p>
<p>The trade in second-hand clothes also became increasingly widespread from the late 18th century. Except for the very wealthy, the majority of people living in the UK would have worn at least some second-hand clothing.</p>
<p>During this period, old clothes were routinely collected by itinerant hawkers whose job it was to exchange flowers, china or money for cast-off clothes. They would then deposit old clothes in second-hand markets in major cities, where they would be repaired and sold on again.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=756&fit=crop&dpr=1 600w, https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=756&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=756&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=950&fit=crop&dpr=1 754w, https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=950&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/561516/original/file-20231124-19-up779z.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=950&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Meditations in Monmouth Street, one of London’s busiest second-hand clothes markets.</span>
<span class="attribution"><a class="source" href="https://victorianweb.org/art/illustration/cruikshank/boz9.html">George Cruikshank (1836) / The Victorian Web</a>, <a class="license" href="http://creativecommons.org/licenses/by-nc-sa/4.0/">CC BY-NC-SA</a></span>
</figcaption>
</figure>
<h2>Recycling clothing</h2>
<p>Even when clothes were seemingly beyond repair, they were rarely thrown away. In 1865, an article that was published in The Leisure Hour, a Victorian era magazine, explained that “old clothes, after they have served their purposes of two or three classes of society, are yet far from closing their career.” </p>
<p>Rags could be collected and taken to papermills to be <a href="https://www.europenowjournal.org/2019/05/06/textile-recycling-in-victorian-literature-an-interview-with-deborah-wynne/">recycled into paper</a>, while woollen textile waste was ground in mills to produce “<a href="https://kirkleescousins.co.uk/shoddy-and-mungo/">shoddy</a>” – a type of recycled cloth. </p>
<p>Beyond that, rags were even used as manure for growing Hops, or as English poet and philosopher Edward Carpenter <a href="https://archive.org/details/englandsidealan01carpgoog/page/n102/mode/2up?q=coat">claimed</a> in 1887, for growing his potatoes:</p>
<p>“When my coat has worn … and got weather-stained out in the fields with sun and rain — then, faithful, it does not part from me, but getting itself cut up into shreds and patches descends to form a hearthrug for my feet. …when worn through, it goes into the kennel and keeps my dog warm, and so after lapse of years, retiring to the manure-heaps and passing out on to the land, returns to me in the form of potatoes for my dinner.”</p>
<p>The Victorians were not always motivated by environmental concerns in quite the same way that we are today. Nevertheless, they were driven to care for their clothes for reasons of thrift, economy and to prevent waste. </p>
<p>The European Commission <a href="https://environment.ec.europa.eu/strategy/circular-economy-action-plan_en">announced</a> in 2020 that it aims to achieve a circular economy by 2050. The initiative includes a vision to minimise textile waste and increase the recycling of garments. To bring this vision to fruition, there could be valuable lessons gleaned from the Victorians and their approach to handling old clothing.</p>
<hr>
<figure class="align-right ">
<img alt="Imagine weekly climate newsletter" src="https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=45&auto=format&w=237&fit=clip" srcset="https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=600&fit=crop&dpr=1 600w, https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=600&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=600&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=754&fit=crop&dpr=1 754w, https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=754&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/434988/original/file-20211201-21-13avx6y.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=754&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption"></span>
</figcaption>
</figure>
<p><strong><em>Don’t have time to read about climate change as much as you’d like?</em></strong>
<br><em><a href="https://theconversation.com/uk/newsletters/imagine-57?utm_source=TCUK&utm_medium=linkback&utm_campaign=Imagine&utm_content=DontHaveTimeTop">Get a weekly roundup in your inbox instead.</a> Every Wednesday, The Conversation’s environment editor writes Imagine, a short email that goes a little deeper into just one climate issue. <a href="https://theconversation.com/uk/newsletters/imagine-57?utm_source=TCUK&utm_medium=linkback&utm_campaign=Imagine&utm_content=DontHaveTimeBottom">Join the 20,000+ readers who’ve subscribed so far.</a></em></p>
<hr><img src="https://counter.theconversation.com/content/218415/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Danielle Mariann Dove does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>The Victorians were driven to care for their clothes for reasons of thrift, economy and to prevent waste.Danielle Mariann Dove, Surrey Future Fellow and Lecturer in English Literature, University of SurreyLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2168332023-11-23T00:48:52Z2023-11-23T00:48:52ZHow risky is it to give card details over the phone and how do I reduce the chance of fraud?<p>Paying for things digitally is so common, most of us think nothing of swiping or tapping our card, or using mobile payments. While doing so is second nature, we may be more reluctant to provide card details over the phone.</p>
<p>Merchants are allowed to ask us for credit card details over the phone – this is perfectly legal. But there are minimum standards they must comply with and safeguards to protect consumer data.</p>
<p>So is giving your card details over the phone any more risky than other transactions and how can you minimise the risks?</p>
<h2>How is my card data protected?</h2>
<p>For a merchant to process card transactions, they are expected to comply with the <a href="https://docs-prv.pcisecuritystandards.org/PCI%20DSS/Standard/PCI-DSS-v4_0.pdf">Payment Card Industry Data Security Standard</a>. This is a set of security requirements designed to protect cardholder data and the trillions of dollars of transactions each year.</p>
<p>Compliance involves various security measures (such as encryption and access controls) together with strong governance and regular security assessments.</p>
<p>If the information stored by the merchant is accessed by an unauthorised party, encryption ensures it is not readable. That means stealing the data would not let the criminals use the card details. Meanwhile, access controls ensure only authorised individuals have access to cardholder data.</p>
<p>Though all companies processing cards are expected to meet the compliance standards, only those processing large volumes are subject to mandatory regular audits. Should a subsequent data leak or misuse occur that can be attributed to a compliance failure, a <a href="https://www.csoonline.com/article/569591/pci-dss-explained-requirements-fines-and-steps-to-compliance.html">company can be penalised</a> at levels that can escalate into millions of dollars.</p>
<p>These requirements apply to all card transactions, whether in person, online or over the phone. Phone transactions are likely to involve a human collecting the card details and either entering them into computer systems, or processing the payment through paper forms. The payment card Security Standards Council has <a href="https://docs-prv.pcisecuritystandards.org/Guidance%20Document/Telephone-Based%20Payments/Protecting_Telephone_Based_Payment_Card_Data_v3-0_nov_2018.pdf">detailed guides for best practice</a>:</p>
<blockquote>
<p>A policy should be in place to ensure that payment card data is protected against unauthorised viewing, copying, or scanning, in particular on desks.</p>
</blockquote>
<p>Although these measures can help to protect your card data, there are still risks in case the details are misplaced or the person on the phone aren’t who they say they are.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/ai-scam-calls-imitating-familiar-voices-are-a-growing-problem-heres-how-they-work-208221">AI scam calls imitating familiar voices are a growing problem – here's how they work</a>
</strong>
</em>
</p>
<hr>
<h2>Basic tips for safe credit card use over the phone</h2>
<p>If you provide card details over the phone, there are steps you can take to minimise the chance you’ll become the victim of fraud, or get your details leaked.</p>
<p><strong>1. Verify the caller</strong></p>
<p>If you didn’t initiate the call, hang up and call the company directly using details you’ve verified yourself. Scammers will often masquerade as a well-known company (for example, an online retailer or a courier) and convince you a payment failed or payment is needed to release a delivery.</p>
<p>Before you provide any information, confirm the caller is legitimate and the purpose of the call is genuine.</p>
<p><strong>2. Be sceptical</strong></p>
<p>If you are being offered a deal that’s too good to be true, have concerns about the person you’re dealing with, or just feel something is not quite right, hang up. You can always call them back later if the caller turns out to be legitimate.</p>
<p><strong>3. Use secure payment methods</strong></p>
<p>If you’ve previously paid the company with other (more secure) methods, ask to use that same method.</p>
<p><strong>4. Keep records</strong></p>
<p>Make sure you record details of the company, the representative you are speaking to and the amount being charged. You should also ask for an order or transaction reference. Don’t forget to ask for the receipt to be sent to you.</p>
<p>Check the transaction against your card matches the receipt – use your banking app, don’t wait for the statement to come through.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="Close up of a hand entering pin code at an ATM" src="https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/560960/original/file-20231122-15-8f2rll.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Cancelling your card is a hassle, but it’s the best way to prevent further funds being stolen from your account.</span>
<span class="attribution"><a class="source" href="https://unsplash.com/photos/person-holding-white-and-red-card-utWyPB8_FU8">Eduardo Soares/Unsplash</a></span>
</figcaption>
</figure>
<h2>Virtual credit cards</h2>
<p>In addition to the safeguards mentioned above, a <a href="https://www.forbes.com/advisor/credit-cards/virtual-credit-card-numbers-guide/">virtual credit card</a> can help reduce the risk of card fraud. </p>
<p>You probably already have a form of virtual card if you’ve added a credit card to your phone for mobile payments. Depending on the financial institution, you can create a new credit card number linked to your physical card.</p>
<p>Some banks extend this functionality to allow you to generate unique card numbers and/or CVV numbers (the three digits at the back of your card). With this approach you can easily separate transactions and cancel a virtual card/number if you have any concerns.</p>
<h2>What to do if you think your card details have been compromised or stolen?</h2>
<p>It’s important not to panic, but quick action is essential: </p>
<figure class="align-right zoomable">
<a href="https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="Screenshot of on-line banking app showing card settings" src="https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=45&auto=format&w=237&fit=clip" srcset="https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=1068&fit=crop&dpr=1 600w, https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=1068&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=1068&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1342&fit=crop&dpr=1 754w, https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1342&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/557967/original/file-20231107-267416-uv1h9n.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1342&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Example credit card restrictions in a banking app.</span>
<span class="attribution"><span class="source">Author provided</span></span>
</figcaption>
</figure>
<ul>
<li><p>call your bank and get the card blocked so you won’t lose any more money. Depending on your situation, you can also block/cancel the card through your banking app or website</p></li>
<li><p>report the issue to the police or other relevant body</p></li>
<li><p>monitor your account(s) for any unusual transactions</p></li>
<li><p>explore card settings in your banking app or website – many providers allow you to limit transactions based on value, restrict transaction types or enable alerts</p></li>
<li><p>you may want to consider registering for <a href="https://theconversation.com/your-credit-report-is-a-key-part-of-your-privacy-heres-how-to-find-and-check-it-116999">credit monitoring services</a> and to enable fraud alerts.</p></li>
</ul>
<h2>So, should I give my card details over the phone?</h2>
<p>If you want to minimise risk, it’s best to avoid giving card details over the phone if you can. Providing your card details via a website still has risks, but at least it removes the human element. </p>
<p>The best solution currently available is to use virtual cards – if anything goes wrong you can cancel just that unique card identity, rather than your entire card.</p><img src="https://counter.theconversation.com/content/216833/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>It’s legal for a merchant to get your card details over the phone – but it can still be risky. Here’s what you need to know to stay safe.Paul Haskell-Dowland, Professor of Cyber Security Practice, Edith Cowan UniversityIsmini Vasileiou, Associate Professor, De Montfort UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2182412023-11-22T02:07:27Z2023-11-22T02:07:27ZReally need those new shoes? Why you might spend up big at the Black Friday sales<p>If you’re one of those people who line up for the <a href="https://www.history.com/news/black-friday-thanksgiving-origins-history">Black Friday</a> sales, jump online for <a href="https://www.reuters.com/world/china/what-is-chinas-singles-day-how-is-it-celebrated-2023-11-10/">Singles Day</a>, or are thinking you’ll queue outside the local department store on Boxing Day for the “real bargains”, rest assured, you are not alone.</p>
<p>Just like the thousands of people who line the harbour in Sydney to get a glimpse of the New Year’s Eve <a href="https://www.sydney.com/destinations/sydney/sydney-city/new-years-eve-sydney">fireworks</a>, one of those 30-somethings who are desperate for tickets for <a href="https://www.theguardian.com/music/2023/nov/09/taylor-swift-new-tickets-australia-eras-tour-2024-australian-shows-concerts-melbourne-sydney-ticket-resale">Taylor Swift’s Eras tour</a>, or the crazy Melburnians who sleep outside for days to get <a href="https://www.theage.com.au/sport/afl/how-the-afl-allocates-grand-final-tickets-and-why-so-many-die-hard-fans-miss-out-20230922-p5e6x4.html">AFL grand final tickets</a>, we’re all victims of some basic psychological factors. </p>
<p>These responses have evolved over millennia, even if the stimuli are very much contemporary.</p>
<h2>Scarcity and the need to belong</h2>
<p>When you succumb to the appeal “It’s finally here” or “get in before you miss out” or even “Hurry, these offers expire at midnight”, don’t be too hard on yourself. It’s an evolutionary thing and it’s actually quite useful.</p>
<p>As human beings, we assume if lots of people want something, then we should want it too. We also believe if something is rare, or <a href="https://link.springer.com/article/10.1007/s11747-018-0604-7">scarce</a>, it must be <a href="https://onlinelibrary.wiley.com/doi/abs/10.1002/mar.4220080105">desirable</a>. This is because everybody else seems to want it and they want it now. </p>
<p>Humans are social animals. Although we’d like to think we’re all independent thinkers, it is impossible to think about everything we do in isolation and on its merits. So, we look to others to help us decide.</p>
<p>If everyone in our “<a href="https://journals.sagepub.com/doi/abs/10.1177/1368430217690909?journalCode=gpia">in-group</a>” is buying the latest fashion, then we assume the group knows best, so we should do the same. Yes, we are all sheep. Well-dressed sheep, but sheep nonetheless. </p>
<p>But you shouldn’t be worried about that. We all do it, depending on the so-called <a href="https://study.com/academy/lesson/attitude-object-in-psychology-definition-lesson-quiz.html">attitude object</a>, that is, the item we form feelings about.</p>
<p>For example, adults criticising the “crazy” kids lining up to buy new sneakers or phones might be the same people who travel the world, spending thousands of dollars to see an <a href="https://www.nytimes.com/2009/09/20/travel/20Ring.html">opera</a>.</p>
<p>Funnily enough, we reconcile this process by assuring ourselves we are not followers, but have gone through an independent, rational process to justify our actions. We also tame our ego by <a href="https://psycnet.apa.org/record/2000-16701-001">believing</a> we are more sensible, rational and considered than the rest of the people in our group. It makes it easier to justify our sometimes irrational decisions.</p>
<p>When it comes sales, there is also another retail-specific factor at play.</p>
<h2>Ego Depletion</h2>
<p>When we walk into a shopping centre with lights, music, noise, hard surfaces, people and general overstimulation, we experience some form of ego depletion. It also plays out online, when we are confronted with huge amounts of information and pop-ups that say things like “four other people are looking at this product right now”</p>
<p><a href="https://pubmed.ncbi.nlm.nih.gov/27474142/">Ego depletion</a> doesn’t mean you instantly become a humble, thoughtful person. In psychology, we use this term to describe how people don’t always think through their decisions rationally when they are stressed. Although there’s some criticism of how researchers describe ego depletion, in general, too much stimulation leads to less rational decision making.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/what-you-need-to-know-about-compulsive-shopping-the-modern-addiction-no-ones-talking-about-89712">What you need to know about compulsive shopping — the modern addiction no one's talking about</a>
</strong>
</em>
</p>
<hr>
<p>So, all that noise, colour and movement isn’t just the shopping centre getting into the sales season, it’s also a technique to get you to respond to emotional cues, such as social norms, the fear of missing out and the ritual of the sale.</p>
<h2>Our inability to forecast and anticipated regret</h2>
<p>Psychological research tells us humans aren’t very good at predicting the future. Or perhaps we just have an overinflated sense of our accuracy in predicting the future — we rely on how we feel right now to predict how we might feel about something later. Psychologists call this “<a href="https://www.sciencedirect.com/science/article/abs/pii/S0749597801929826">affective forecasting</a>”.</p>
<p>So, when we are “in” the moment of the sale, we buy things we feel we need. But we discount all the other things that we’ve bought.</p>
<p>We’re also victims of a psychological phenomenon called “<a href="https://onlinelibrary.wiley.com/doi/10.1002/%28SICI%291099-0771%28199906%2912%3A2%3C93%3A%3AAID-BDM311%3E3.0.CO%3B2-S">anticipated regret</a>”. This occurs when we think about the future and see ourselves regretting having not taken the opportunity when it presented itself. When we think about the future, we not only anticipate events, we also experience the associated emotions of those events.</p>
<p>We also anticipate social effects. When other people might get what we are contemplating getting now, we may fall into anticipated envy, where we imagine them having the item and us wishing we had it.</p>
<p>Sales release a whole range of psychological responses and, for the most part (and in the short term), they work. When it comes to sales, we rarely plan, and so we are more susceptible to the gentle nudges of the marketers when we are stressed, in a hurry, and trying to do ten things at once.</p>
<h2>The importance of ritual</h2>
<p>All of these responses have parallels with a whole bunch of other rituals that we participate in. </p>
<p>Christmas, Halloween, and Valentine’s Day are all examples of rituals humans are drawn to help them to participate in the social world. While there is material consumption with these events, there is also a sense of community.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/drawn-to-bustling-markets-shops-or-malls-this-holiday-season-good-vibes-could-explain-it-193188">Drawn to bustling markets, shops or malls this holiday season? Good vibes could explain it</a>
</strong>
</em>
</p>
<hr>
<p>As human beings, we look for rituals, we look for community through the things we do, and as other community rituals and institutions such as churches or strong familial and neighbourhood linkages break down, we look for ways to replace that. </p>
<p>The same basic principle is playing out with the Black Friday sales. What the sales are doing is playing upon our need to participate in rituals, but with a different objective. Sales are purely transactional and their goal is to sell us something, rather than giving us the opportunity to participate in perhaps the more rewarding rituals of Christmas or even <a href="https://www.3aw.com.au/halloween-continues-to-grow-in-popularity-with-australians-expected-to-spend-hundreds-of-millions/">Halloween</a>.</p>
<h2>So what can we do?</h2>
<p>There are ways to avoid giving into these psychological tendencies:</p>
<p><strong>1. Slow down</strong></p>
<p>The best advice I can give is to slow down the process. Giving yourself time to think (as opposed to respond) may help you to make a better decision. The marketers want you to move through the decision-making process as quickly as possible so that you are responding to your feelings, not your thoughts. </p>
<p><strong>2. Talk it through</strong></p>
<p>Before you buy, talk your purchase over with a friend (preferably one who doesn’t enable you too much). This is connected with the first piece of advice, it leads you to think a bit more. </p>
<p><strong>3. Make a list</strong></p>
<p>I know it’s boring, but if your motivation for attending the sale is to save money, making a list of what you want and giving yourself a budget is the best way to approach sales. And be prepared to walk away if it isn’t right.</p>
<p><strong>4. Calm down</strong></p>
<p>Try listening to music that calms you or simply take some deep breaths — a calm state is more likely to result in a more rational decision.</p>
<p><strong>5. Remember a sales person is not your friend</strong></p>
<p>Remind yourself the sales person is not your friend. They may be lovely, but their main role is to get you to buy. <a href="https://www.tandfonline.com/doi/abs/10.1080/08853134.2001.10754256">Reciprocity</a> theory tells us one of the best techniques of sales is to blur the line between social interactions and business interactions. A salesperson being nice to you (or offering you a discount) doesn’t mean that you have to buy their product (but do be nice back to them).</p>
<p><strong>6. Walk away</strong></p>
<p>A trick for the online world, is to put the item in your basket, then (virtually) walk away. Many online algorithms will send you an even better discount later on (although if it is connected with Black Friday sales this isn’t guaranteed).</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/why-do-black-friday-shoppers-throw-punches-over-bargains-a-marketing-expert-explains-psychological-ownership-106673">Why do Black Friday shoppers throw punches over bargains? A marketing expert explains 'psychological ownership'</a>
</strong>
</em>
</p>
<hr>
<img src="https://counter.theconversation.com/content/218241/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Paul Harrison does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>A fear of missing out and a need to belong are strong motivators when it comes to scooping up goods at bargain prices.Paul Harrison, Director, Master of Business Administration (MBA); Co-Director, Better Consumption Lab, Deakin University, Deakin UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2152152023-11-09T13:32:53Z2023-11-09T13:32:53ZWhy more food, toiletry and beauty companies are switching to minimalist package designs<figure><img src="https://images.theconversation.com/files/557927/original/file-20231107-21-bfmyl4.jpg?ixlib=rb-1.1.0&rect=14%2C611%2C4167%2C2840&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Siggi's Dairy keeps its yogurts simple with white packaging, black text and a dab of color to indicate the flavor.</span> <span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/siggis-yogurt-is-seen-on-during-day-1-of-the-new-york-news-photo/482897027?adppopup=true">Neilson Barnard/Getty Images</a></span></figcaption></figure><p>For decades, marketers of consumer goods designed highly adorned packages, deploying bold colors, snazzy text, cartoons and illustrations <a href="https://doi.org/10.1509/jmkg.68.4.60.42736">to seize the attention of shoppers</a>. Conventional wisdom held that with thousands of products competing against one another in the aisles of big box stores and supermarkets, companies needed to do everything in their power to make their products stand out.</p>
<p>But recently, there’s been a move toward simplicity. The stripped-down packaging you’ll often see is reminiscent of <a href="https://doi.org/10.1086/504138">the minimalist art</a> that flourished in the 1960s. A reaction against overly complex, representative works, the art that emerged in this period was characterized by spareness and abstraction. Any elements deemed unnecessary were removed.</p>
<p>What’s behind the move toward elegant but uncluttered packaging designs? <a href="https://doi.org/10.1177/00222429231192049">Recent research</a> <a href="https://scholar.google.com/citations?user=m9Q0XUIAAAAJ&hl=en">I conducted</a> with marketing professors <a href="https://scholar.google.com/citations?user=uwoILXsAAAAJ&hl=en">Rosanna K. Smith</a> and <a href="https://scholar.google.com/citations?user=pjmIeGMAAAAJ&hl=en">Julio Sevilla</a> explored whether shoppers actually prefer this packaging – and, if so, why.</p>
<h2>When less is more</h2>
<p>First, we wanted to see if shoppers were willing to pay more for products in these packages. So we analyzed over 1,000 consumer goods, such as shampoo, deodorant, crackers and cereal, from the largest supermarket chain in the U.S.</p>
<figure class="align-center ">
<img alt="A shopping cart filled with colorfully packaged food products." src="https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=547&fit=crop&dpr=1 600w, https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=547&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=547&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=687&fit=crop&dpr=1 754w, https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=687&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/558085/original/file-20231107-17-uxqwi1.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=687&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">For decades, eye-popping packaging was the modus operandi for food brands.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/1960s-grocery-shopping-cart-full-of-groceries-news-photo/658540867?adppopup=true">H. Armstrong Roberts/ClassicStock via Getty Images</a></span>
</figcaption>
</figure>
<p>We had two research assistants code for the extent to which the packaging design was simple or complex. We then averaged their ratings to create a measure of packaging design simplicity. From this data, we found that products in simple packaging generally had higher retail prices than similar products that didn’t. The higher retail prices indicate that shoppers are <a href="https://online.hbs.edu/blog/post/willingness-to-pay">willing to pay more</a> for products in this packaging.</p>
<p>Next, across a series of experiments, we recruited students from a public university. We asked them to look at different packaged products, tell us how much they were willing to pay for those products, how many ingredients they thought the products might have, and how pure they perceived the products to be. </p>
<p>We found that the preference for simple packaging was due to the fact that pared-down designs sent a subtle yet powerful signal: purity. This happened because the simplicity of the product package made participants more likely to assume that the product contained fewer ingredients, along with fewer preservatives, added colors or artificial flavors.</p>
<p>People will pay a premium for products that don’t have additives or chemicals, <a href="https://foodinsight.org/ific-survey-from-chemical-sounding-to-clean-consumer-perspectives-on-food-ingredients/">whether it’s food</a>, <a href="https://www.insider.com/guides/home/natural-cleaning-brands">cleaning supplies or soaps</a>. And this may explain why the study’s participants were willing to fork over more cash for products that appear in simple packages – regardless of whether they actually contain fewer ingredients. </p>
<p>Several brands illustrate the ability of simple packaging to attract shoppers. </p>
<p>Kashi’s cereal boxes employ a muted color scheme and avoid overloading the package with claims or extensive product descriptions. <a href="https://hips.hearstapps.com/vader-prod.s3.amazonaws.com/1623175502-51dmC1s4bL._SL500_.jpg?crop=0.976xw:1.00xh;0.0100xw,0&resize=980:*">Siggi’s yogurt containers</a> embrace white spaces, muted colors and straightforward imagery, highlighting only the crucial product details. </p>
<p><a href="https://s.yimg.com/ny/api/res/1.2/W.ITDLpkkRQz9sPVOfXx2A--/YXBwaWQ9aGlnaGxhbmRlcjt3PTEyMDA7aD02OTI-/https://s.yimg.com/os/creatr-uploaded-images/2020-03/3956a6c0-6166-11ea-a77e-77ee9a27b3d3">Native deodorant</a> <a href="https://www.nativecos.com/cdn/shop/products/Classic_BW18_C_M_prod_02_f8125d26-5e2f-48c2-b5bc-e5a558f64747_600x.jpg?v=1639156861">and body wash packaging</a> stands out with its clear background paired with concise typography. And hair care brands <a href="https://www.gettyimages.com/detail/news-photo/view-of-ouai-products-during-celebrity-hair-stylist-jen-news-photo/623051656?adppopup=true">such as OUAI</a> <a href="https://cloudinary.forhims.com/image/upload/Hims/hair/power-pack/Hims-HairPowerPack-Share">and Hims</a> often use muted colors and simplistic typography to succinctly present information about their products.</p>
<figure class="align-center ">
<img alt="A row of silver bottles of hair spray with a white label and black text." src="https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=432&fit=crop&dpr=1 600w, https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=432&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=432&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=543&fit=crop&dpr=1 754w, https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=543&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/558080/original/file-20231107-20-s6vdjg.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=543&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">OUAI hair spray bottles feature a minimalist design.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/view-of-ouai-products-during-celebrity-hair-stylist-jen-news-photo/623051656?adppopup=true">Rachel Murray/Getty Images</a></span>
</figcaption>
</figure>
<h2>When less is less</h2>
<p>However, simple packaging design is not always effective. We found that products from <a href="https://thedinnerdaily.com/generic-vs-name-brand-foods-is-there-really-a-difference/">generic brands</a> fail to reap the same premiums from minimalist packaging. A product from a generic brand is one that does not have a brand name and is typically sold at a lower price than name brand equivalents. </p>
<p>In the case of these products, the simplicity of the packaging seems to align with <a href="https://www.investopedia.com/terms/g/generic-brand.asp#:%7E:text=The%20term%20generic%20brand%20refers,of%20a%20good%20or%20service.">customers’ beliefs</a> that generic brands invest less in the quality of their products. So it’s possible that the simplicity of generic product packaging signals a lack of investment in the product rather than fewer chemicals or food additives.</p>
<figure>
<iframe width="440" height="260" src="https://www.youtube.com/embed/3_BZVHjce_Q?wmode=transparent&start=0" frameborder="0" allowfullscreen=""></iframe>
<figcaption><span class="caption">A 1981 TV advertisement for generic brands at Jewel, a regional supermarket chain in the Chicago area.</span></figcaption>
</figure>
<p>The desires of shoppers can also influence the preference for simple packaging. When people seek healthier options, we found that they’ll pay more for products with simple packaging. However, when consumers want to indulge in junk food, they’ll be more inclined to purchase products with complex packaging, which signals many ingredients and lower purity – <a href="https://doi.org/10.1509/jmkg.70.4.170">qualities associated with more flavor</a>.</p>
<p>So when it comes to minimalist aesthetics, less can often be more. But in some cases, less is simply less.</p><img src="https://counter.theconversation.com/content/215215/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Lan Anh Nu Ton does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Pared-down packaging designs send a subtle yet powerful message of purity to shoppers – and they’re willing to fork over more cash for these goods, regardless of the actual number of additives.Lan Anh Nu Ton, Assistant Professor of Marketing, Texas Christian UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2159722023-11-07T22:04:12Z2023-11-07T22:04:12ZWhat drives people to panic buy during times of crisis: A new study sheds light on the psychology of consumers<iframe style="width: 100%; height: 100px; border: none; position: relative; z-index: 1;" allowtransparency="" allow="clipboard-read; clipboard-write" src="https://narrations.ad-auris.com/widget/the-conversation-canada/what-drives-people-to-panic-buy-during-times-of-crisis-a-new-study-sheds-light-on-the-psychology-of-consumers" width="100%" height="400"></iframe>
<p>Fear can cause people to behave irrationally in times of uncertainty. During the pandemic, this took the form of <a href="https://doi.org/10.1016/j.npbr.2020.07.002">panic buying</a> as people flocked to stores to stock up on essential goods. Some even sought to profit off of shortages by price gouging <a href="https://www.theguardian.com/uk-news/2020/mar/16/ebay-urged-to-clamp-down-on-coronavirus-profiteering">toilet paper</a> and <a href="https://www.independent.co.uk/news/world/americas/coronavirus-hand-sanitiser-sell-amazon-ebay-profit-price-gouge-donate-a9404031.html">hand sanitizer</a>.</p>
<p>This phenomenon wasn’t just limited to a few countries or communities, either; it was a <a href="https://www.statista.com/statistics/1105603/coronavirus-cause-grocery-store-food-and-supply-shortages-worldwide/">global occurrence</a> that emptied supermarket shelves and caused significant disruptions in supply chains.</p>
<p>But what drives people to behave in such ways during times of crisis? Is it a basic survival instinct, a herd mentality influenced by social pressures or something more complex? </p>
<p>During the onset of the pandemic, we <a href="https://doi.org/10.1080/21639159.2022.2033132">conducted a study</a> aimed at understanding the complex web of factors that compel us to act or overreact in the face of uncertainty.</p>
<h2>Psychological traits of consumers</h2>
<p>We examined the following factors in our study: narcissism, psychological entitlement, status consumption, fear of embarrassment, and fear of missing out. <a href="https://doi.org/10.1080/00223891.2012.685907">Narcissism</a> is a trait characterized by a heightened sense of self-importance and a lack of empathy for others. </p>
<p><a href="https://doi.org/10.1207/s15327752jpa8301_04">Psychological entitlement</a> refers to the belief that one is inherently deserving of special treatment or privileges. <a href="https://doi.org/10.1080/10696679.1999.11501839">Status consumption</a> is the tendency to purchase items that confer social prestige or dominance. </p>
<p><a href="https://doi.org/10.1016/j.paid.2011.10.029">Fear of embarrassment</a> is anxiety about being negatively judged by others. <a href="https://www.brain.edusoft.ro/index.php/brain/article/view/950/1117">Fear of missing out</a> is the worry over missing out on rewarding experiences that others are taking part in. </p>
<h2>Unique types of consumers</h2>
<p>Our study identified four distinct consumer groups, each with unique psychological traits that drove their purchasing habits.</p>
<p><strong>1. Egalitarians.</strong> Egalitarians displayed low levels of narcissism and psychological entitlement compared to the other groups. They tend to have a more community-oriented and balanced approach to life. They likely have a strong belief in communal responsibility and fairness. Egalitarians are the type of individuals who volunteer at local food banks or participate in community clean-up events.</p>
<p>In terms of purchasing, egalitarians did not hoard as much as other groups. While others might hoard hand sanitizers, for example, an egalitarian might buy just one or two bottles and leave the rest for others in the community.</p>
<p><strong>2. Conformists.</strong> Conformists are influenced by a moderate fear of missing out and a high fear of embarrassment. Conformists are the type of people who follow dress codes and rarely question authority.</p>
<p>When it comes to purchasing, conformists prioritized items that aligned with public health guidelines, like disposable masks. They are usually the first to buy masks in bulk when a new public health advisory is released.</p>
<p><strong>3. Communal egoists.</strong> Communal egoists display moderate levels of narcissism and psychological entitlement. For example, this kind of person might organize a community event, but will insist on being the centre of attention during the event.</p>
<p>This group is particularly interested in food-related items like bottled water and snacks. A communal egoist might stock up on these products, not only for themselves, but with the intention of sharing with their neighbours in an effort to stand out.</p>
<p><strong>4. Agentic egoists.</strong> Agentic egoists are characterized by high levels of narcissism and psychological entitlement. For example, an agentic egoist might cut in line because they believe their time is more valuable than others. </p>
<p>In terms of purchasing, agentic egoists are willing to spend more on items that directly benefit them. For instance, they might buy the last three bottles of an expensive, brand-name cough syrup, without considering that others might need it, too.</p>
<h2>What this means for consumers</h2>
<p>A significant lesson we’ve learned from the COVID-19 pandemic, and the subsequent global turmoil, is the importance of being ready for the unexpected.</p>
<p>If you’ve ever found yourself filling your shopping cart to the brim in a moment of panic, you’re not alone. But understanding who we are, why we make certain decisions and how we can be more considerate is the first step toward making better consumer choices. </p>
<p>Are you an egalitarian, thinking of the community while only buying what you need? Or perhaps you identify as a conformist, sticking strictly to items advised by health authorities? Recognizing these traits in ourselves can be a wake-up call, encouraging us to shop more responsibly, especially in times of fear and panic.</p>
<figure class="align-center ">
<img alt="A sign that says '1 packet per person' taped to a shelf of water bottles" src="https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=407&fit=crop&dpr=1 600w, https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=407&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=407&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=511&fit=crop&dpr=1 754w, https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=511&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/557363/original/file-20231102-15-fqwrmq.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=511&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Understanding our motivations and behaviours as consumers can help us make wiser decisions.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<h2>What this means for retailers</h2>
<p>Understanding the traits of different customer groups isn’t just about boosting profits. It’s a way to guide businesses in serving communities ethically and effectively, especially in times of crisis.</p>
<p>For example, if most of your customers tend to follow the crowd (conformists), consider offering reliable public health information in your stores. If your clientele leans towards fairness (egalitarians), make fair distribution of essential items a core part of your community support strategy.</p>
<p>If you cater to individuals who focus on their self-interest (agentic egoists), think about the long-term impact of promoting high consumption and how to encourage responsible buying. If a large portion of your customers are community-focused (communal egoists), think about setting up ongoing community-sharing programs or donation drives.</p>
<p>As we reflect on the challenges we’ve faced, retailers have an opportunity to plan for a future where their actions benefit not only their business, but society as a whole. Enhancing our self-awareness enables us to handle chaotic circumstances more gracefully and make decisions that are advantageous for everyone in our vicinity.</p><img src="https://counter.theconversation.com/content/215972/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Understanding the traits of different customer groups can help shoppers and businesses serve their communities more ethically and effectively, especially in times of crisis.Seung Hwan (Mark) Lee, Professor and Associate Dean of Engagement & Inclusion, Ted Rogers School of Management, Toronto Metropolitan UniversityOmar H. Fares, Lecturer in the Ted Rogers School of Retail Management, Toronto Metropolitan UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2145542023-11-01T19:24:51Z2023-11-01T19:24:51ZWhat makes an ideal main street? This is what shoppers told us<figure><img src="https://images.theconversation.com/files/551115/original/file-20230929-19-vfuzaw.jpg?ixlib=rb-1.1.0&rect=8%2C0%2C5639%2C3759&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">
</span> <span class="attribution"><span class="source">Irina Grotkjaer/Unsplash</span></span></figcaption></figure><p>A lot of dedication and effort goes into making main streets attractive. Local governments, planners, place makers, economic development managers, trade associations and retailers work hard to design, improve and revitalise main streets. The goal is to make them attractive places to increase shopper numbers, provide pleasant places for communities, and boost local economies.</p>
<p>Despite the efforts that go into planning, maintaining and marketing local shopping areas, the people who use these places are often not consulted about what they actually want and need on their main street. <a href="https://www.shopology.com.au/resources">Our research</a> is the only-known Australian study to ask shoppers about the key elements, and shops and services, they regard as contributing to the ideal main street. </p>
<p>So what types of stores and services do they want?</p>
<p>Pharmacies are the top choice. Intriguingly, four types of stores/services that are disappearing from main streets around Australia – the post office, bank, department store and newsagent – are in the top ten (out of 45 choices in our survey). </p>
<p><div data-react-class="Tweet" data-react-props="{"tweetId":"1715480716900012399"}"></div></p>
<h2>What are the key shops and services?</h2>
<p>We wanted to find out what consumers see as their ideal local shopping street. What kinds of shops and services matter most for them? Which other elements of local shopping places do they want?</p>
<p>Curiously, users are often not asked these questions. Yet their answers are essential if we are to design new towns, suburbs and regional centres, and improve existing ones, so more people want to work, shop and visit them.</p>
<p>We surveyed a representative sample of 655 shoppers from around Australia about their local shopping preferences. </p>
<p>We provided a list of 45 different stores and services. Participants were asked to rank them in order of importance from one to 45.</p>
<p>Overwhelmingly, participants considered the <a href="https://drugstorenews.com/study-consumers-shop-drug-stores-grocery-household-items-much-pharmacy">pharmacy the most important store or service</a> for an ideal main street. Across gender, age and location, pharmacies were consistently number one.</p>
<p>Similarly, four types of stores and services – the <a href="https://www.afr.com/policy/economy/australia-post-risks-death-spiral-without-urgent-change-ceo-20230427-p5d3nh">post office</a>, <a href="https://www.abc.net.au/news/2023-10-06/regional-bank-branches-at-risk-of-closing-population-analysis/102937120">bank</a>, <a href="https://www.abc.net.au/news/2023-03-16/qld-myer-to-close-brisbanes-queen-street-mall/102106162">department store</a> and <a href="https://thewest.com.au/politics/state-politics/wa-government-to-provide-39m-to-aid-500-newsagents-as-industry-battles-the-internet-c-10085316">newsagent</a> – appeared in the top ten most important, regardless of demographics. </p>
<figure class="align-center ">
<img alt="" src="https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=849&fit=crop&dpr=1 600w, https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=849&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=849&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1066&fit=crop&dpr=1 754w, https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1066&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/551133/original/file-20230929-29-q50xs9.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1066&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">The top ten stores and services in an ideal main street.</span>
<span class="attribution"><span class="source">Louise Grimmer</span></span>
</figcaption>
</figure>
<h2>What other key elements are important?</h2>
<p>We then asked participants about the importance of different elements of main streets. We provided 21 elements and participants were asked to rate each on a <a href="https://www.simplypsychology.org/likert-scale.html">Likert scale</a> from 1, “not at all important”, to 7, “extremely important”. </p>
<p>Shoppers rated “cleanliness” as the most important element for their ideal shopping area. It was followed by “safety and security” and “parking”. </p>
<p>Aside from the “retail mix”, in most areas local councils have control over nine of the ten top elements. “Safety and security” also involves police and individual security services that centres and some stores employ.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=849&fit=crop&dpr=1 600w, https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=849&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=849&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1066&fit=crop&dpr=1 754w, https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1066&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/552684/original/file-20231009-31-adta9o.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1066&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The top ten elements of an ideal main street.</span>
<span class="attribution"><span class="source">Louise Grimmer</span></span>
</figcaption>
</figure>
<h2>Motivation for shopping affects choices</h2>
<p>We also tested for shoppers’ levels of hedonic and utilitarian orientation. <a href="https://www.sciencedirect.com/science/article/pii/S0022435903000071">Hedonic</a> shoppers really enjoy the act of shopping. They experience euphoria and pleasure and they buy so they can go shopping, rather than shopping so they can buy.</p>
<p><a href="https://www.jstor.org/stable/2489765">Utilitarian shoppers</a>, on the other hand, are rational and cognitive and they view shopping as a task or chore. Buying products they need is simply a “means to an end”. They get no great satisfaction from the activity. </p>
<p>Hedonic shoppers are more often <a href="https://www.tandfonline.com/doi/full/10.1080/09593960802113877">women</a>. Men tend to be more utilitarian. We tend to become more utilitarian as we get older.</p>
<p>We were interested to find out if people’s responses to our questions were different depending on whether they were hedonic (shop for pleasure) or utlilitarian (shop for practical needs) shoppers. </p>
<p>For the most important store or service, hedonic and utilitarian shoppers both rated a pharmacy as number one. And they ranked similar stores and services in their top ten. </p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=849&fit=crop&dpr=1 600w, https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=849&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=849&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1066&fit=crop&dpr=1 754w, https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1066&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/552679/original/file-20231009-20-n4119g.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1066&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Top ten stores and services for hedonic shoppers.</span>
<span class="attribution"><span class="source">Louise Grimmer</span></span>
</figcaption>
</figure>
<p>But there were some differences. Hedonic shoppers included a lifestyle/gift store and department store in their top ten. Utilitarian shoppers did not. Instead they rated the post office and the newsagent as important. </p>
<p>This finding makes sense. Lifestyle stores, gift shops and department stores offer the hedonic shopper the chance to browse and enjoy quality surroundings and service. The post office and newsagent allow the utilitarian shopper to complete tasks quickly and easily – no browsing required.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=849&fit=crop&dpr=1 600w, https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=849&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=849&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1066&fit=crop&dpr=1 754w, https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1066&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/552681/original/file-20231009-31-k7gykf.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1066&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Top ten stores and services for utilitarian shoppers.</span>
<span class="attribution"><span class="source">Louise Grimmer</span></span>
</figcaption>
</figure>
<p>Despite similarities in their top-ranked shops and services, hedonic and utilitarian shoppers’ rankings of the most important elements of local shopping areas were starkly different.</p>
<p>For hedonic shoppers, the complete visitor experience, including the surroundings and atmosphere, is an important aspect of their ideal shopping area. Their top ten elements reflected this. They selected a combination of tangible elements, including public art, aesthetics, greenery and lighting, to complement the more ephemeral such as events and activities, night-time economy, sustainability and history and culture. </p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=849&fit=crop&dpr=1 600w, https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=849&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=849&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1066&fit=crop&dpr=1 754w, https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1066&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/552682/original/file-20231009-17-5u8syd.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1066&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The top ten elements for hedonic shoppers.</span>
<span class="attribution"><span class="source">Louise Grimmer</span></span>
</figcaption>
</figure>
<p>Utilitarian shoppers rated elements that help make a task-oriented shopping trip easier. <a href="https://wayfoundvictoria.vic.gov.au/what-is-wayfinding/">Wayfinding</a> (all the ways to help people navigate a space), signage and information, walkability, retail mix, and services and amenities were important for them. </p>
<p>The only two elements both groups agreed should be in the top ten were lighting, and seating and tables.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=849&fit=crop&dpr=1 600w, https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=849&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=849&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1066&fit=crop&dpr=1 754w, https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1066&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/552686/original/file-20231009-24-2cbsrx.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1066&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The top ten elements for utilitarian shoppers.</span>
<span class="attribution"><span class="source">Louise Grimmer</span></span>
</figcaption>
</figure>
<h2>Making main streets the best they can be</h2>
<p>There is an increasing understanding that retailing will not continue to be the main or sole reason people visit town centres. While still important, retail will more often complement services, attractions and “experiences” as the major factors that entice visitors. </p>
<p>This requires local councils, chambers of commerce and marketing organisations to perform a juggling act. They need to market shopping precincts as being attractive for shoppers while showcasing a range of services and attractions in these areas that appeal to other types of visitors.</p>
<p>Making shopping areas the best they can be is challenging work. Different people want different things from main streets. </p>
<p>Our findings provides insights for local councils, which have a primary policy responsibility for main streets, as well as developers, investors and individual store owners. This knowledge can help them better plan and improve the retail and service mix for everyone.</p><img src="https://counter.theconversation.com/content/214554/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Different shoppers have different priorities, but some shops and services are ranked as important across the board.Louise Grimmer, Retail Scholar, University of TasmaniaMartin Grimmer, Pro Vice-Chancellor and Professor of Marketing, University of TasmaniaPaul J. Maginn, Interim Director, UWA Public Policy Institute; Associate Professor & Programme co-ordinator (Masters of Public Policy), The University of Western AustraliaLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2154212023-10-15T12:27:45Z2023-10-15T12:27:45ZThe hidden risks of buy now, pay later: What shoppers need to know<figure><img src="https://images.theconversation.com/files/553377/original/file-20231011-25-bvjczk.jpg?ixlib=rb-1.1.0&rect=50%2C70%2C6659%2C4396&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Buy now, pay later loans target low-income, tech-savvy Gen Z and millennial consumers under the guise of improving financial inclusion for these groups.</span> <span class="attribution"><span class="source">(Shutterstock)</span></span></figcaption></figure><iframe style="width: 100%; height: 100px; border: none; position: relative; z-index: 1;" allowtransparency="" allow="clipboard-read; clipboard-write" src="https://narrations.ad-auris.com/widget/the-conversation-canada/the-hidden-risks-of-buy-now-pay-later-what-shoppers-need-to-know" width="100%" height="400"></iframe>
<p><a href="https://www.canada.ca/en/financial-consumer-agency/services/loans/buy-now-pay-later.html">Buy now, pay later</a> is a relatively new form of financial technology that allows consumers to purchase an item immediately and repay the balance at a later time in instalments.</p>
<p>Unlike applying for a credit card, buy now, pay later <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4591446">doesn’t require a credit check</a>. Instead, <a href="https://doi.org/10.1108/EJM-11-2021-0923">these programs use algorithms</a> to perform <a href="https://www.investopedia.com/terms/s/soft-inquiry.asp">“soft” credit checks</a> to determine <a href="https://theconversation.com/if-it-looks-like-debt-lets-treat-it-like-debt-buy-now-pay-later-schemes-need-firmer-regulation-in-nz-211820">a shopper’s eligibility</a>. </p>
<p>This means buy now, pay later loans target <a href="https://www.theguardian.com/money/2022/jan/27/buy-now-pay-later-schemes-entice-consumers-spend-more">low-income, tech-savvy</a> <a href="https://www.cnbc.com/2022/10/27/gen-z-and-millennials-prefer-buy-now-pay-later-services.html">millennials and Gen Z shoppers</a> in an effort to <a href="https://libertystreeteconomics.newyorkfed.org/2023/09/who-uses-buy-now-pay-later/">supposedly improve financial inclusion</a> for these groups.</p>
<p>However, the newness of buy now, pay later programs means existing <a href="https://doi.org/10.1111/acfi.13100">consumer credit laws don’t cover it</a>. This lack of regulation puts shoppers at financial risk of accumulating higher levels of debt.</p>
<h2>Credit cards versus buy now, pay later</h2>
<p>There are three key differences between credit cards and buy now, pay later loans. First, while buy now, pay later loans are a line of credit like credit cards are, <a href="https://www.cnbc.com/2022/05/04/klarna-to-report-buy-now-pay-later-data-to-uk-credit-bureaus.html">they don’t impact credit reports</a>. Because of this, shoppers might be less cautious when using buy now, pay later services. </p>
<p>Credit cards typically have annual interest rates ranging from <a href="https://www.bankrate.com/finance/credit-cards/what-is-credit-card-apr/#credit-card-apr-vs-credit-card-interest">15 to 26 per cent</a>. While most buy now, pay later loans have no interest, longer term loans have <a href="https://www.cbsnews.com/news/buy-now-pay-later-loans-interest-rate-fees-tips-what-to-know/">annual interest rates of about 37 per cent</a>. </p>
<p>Shoppers are <a href="https://hbswk.hbs.edu/item/buy-now-pay-later-how-retails-hot-feature-hurts-lower-income-shoppers">at risk of overusing buy now, pay later programs</a> and accumulating more debt than they can manage. In addition, formal lenders, such as banks, currently have no way of knowing what buy now, pay later debt a person is carrying. The lender, therefore, likely incurs more risk than they are aware of.</p>
<figure class="align-center ">
<img alt="A close-up of a pair of hands using a credit card reader in a store" src="https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/553391/original/file-20231011-17-d7tii0.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Unlike applying for a credit card, buy now, pay later services don’t require consumers to get a credit check.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p>Second, credit cards typically provide <a href="https://doi.org/10.1080/1369118X.2022.2161830">an interest-free period</a>, after which <a href="https://doi.org/10.1177/03128962211032448">borrowers must pay interest</a>. In contrast, buy now, pay later users typically don’t have interest fees, but can incur <a href="https://doi.org/10.1108/IJBM-07-2022-0324">late fees for missed or late payments</a>. </p>
<p>Falling behind on payment terms <a href="https://www.forbes.com/sites/andriacheng/2020/12/16/why-retailers-are-embracing-buy-now-pay-later-service-this-holiday-season/">can result in charges</a> that exceed <a href="https://stateline.org/2022/02/02/regulators-scrutinize-buy-now-pay-later-plans/">typical credit card interest rates</a>, causing more harm than interest payments. Low-income buy now, pay later users are <a href="https://hbswk.hbs.edu/item/buy-now-pay-later-how-retails-hot-feature-hurts-lower-income-shoppers">particularly vulnerable</a> to <a href="https://www.consumerfinance.gov/data-research/research-reports/consumer-use-of-buy-now-pay-later-insights-from-the-cfpb-making-ends-meet-survey/">using overdrafts to cover their buy now, pay later payments</a>.</p>
<p>Third, people typically have just a few credit cards, making it easier to keep track of payments. Buy now, pay later users, on the other hand, usually engage with multiple buy now, pay later lenders through retailers. As a result, it’s difficult for them to keep track of all the buy now, pay later lenders and retailers they made purchases from.</p>
<h2>What are the Canadian governments doing?</h2>
<p>Canada classifies buy now, pay later as an unsecured instalment loan, which means lenders are subject to laws at the federal and provincial levels.</p>
<p>Under federal law, there is an <a href="https://www.sec.gov/Archives/edgar/data/1711291/000171129122000011/curo-20211231.htm">annual interest rate cap of 60 per cent</a>. Provincial laws require buy now, pay later lenders to disclose the cost of credit and extend consumer protection rights to buy now, pay later shoppers. </p>
<p>At the provincial level, <a href="https://www.canada.ca/en/financial-consumer-agency/services/loans/buy-now-pay-later.html">specific laws come into play</a>. Manitoba, Alberta, Québec, and Ontario have passed laws that require lenders to be licensed before they offer these products and be subject to regulatory oversight. </p>
<p>These laws regulate high-cost credit products that have annual rates of 32 per cent or higher. This means buy now, pay later services <em>should</em> fall under this category. However, I found no evidence of buy now, pay later lenders being licensed in Canada. This means either lenders are not aware they fall under these laws, or no one is enforcing them.</p>
<p>This ambiguity over whether or not buy now, pay later lenders are subject to regulatory oversight could be a hindrance for banks like the <a href="https://financialpost.com/fp-finance/fintech/why-higher-interest-rates-threaten-the-buy-now-pay-later-bubble">Bank of Nova Scotia and the Canadian Imperial Bank of Commerce</a>, as it deters them from entering the buy now, pay later market despite its profitability.</p>
<h2>Questions to ask before using buy now, pay later</h2>
<p>Before signing up for a buy now, pay later loan, shoppers should consider the following six questions.</p>
<p><strong>1. Payment structure.</strong> How much of the invoice amount needs to be paid upfront? The norm is typically 25 per cent. What is the number of remaining instalments? The answer to this is usually four. Lastly, what is the frequency of instalments? The norm is biweekly.</p>
<p><strong>2. Sensitive information.</strong> Does the lender require you to provide information about your chequing account? This is sensitive information to give away and puts you at risk of data breaches. Most buy now, pay later lenders withdraw instalment amounts from chequing accounts or debit cards, potentially exposing shoppers to greater risks than credit cards.</p>
<p><strong>3. Interest charges</strong> Does the buy now, pay later lender charge interest on instalment payments? The norm is no.</p>
<p><strong>4. Late fees</strong> How much is the late fee, when does it apply and what is the maximum amount of the late fee? Typically, late fees don’t exceed $8 or one-quarter of the invoice amount. Late fees usually kick in if your scheduled payment remains unpaid after 10 days.</p>
<p><strong>5. Data responsibility.</strong> Who is responsible for your data? Whether it’s the retailer, the buy now, pay later lender or a company whose cloud storage the provider may be using, you should know. In general, the buy now, pay later lender holds this responsibility.</p>
<p><strong>6. Licensing.</strong> Is the buy now, pay later lender licensed to sell the loan? Usually, the <a href="https://dfpi.ca.gov/wp-content/uploads/sites/337/2020/03/afterpay-settlement.pdf">answer to this question is no</a>.</p>
<h2>Buy now, pay later regulation</h2>
<p>Two sets of laws and regulations should be implemented to address some of these issues. The first set of regulations focuses on how buy now, pay later lenders interact with consumers. These lenders should clearly communicate <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4359956">all terms and conditions of their loans</a>, including late charges, interest charges and payment schedules, on their platforms to ensure shoppers are fully informed of their financial obligations.</p>
<p>The Financial Conduct Authority in the United Kingdom recently issued guidelines allowing buy now, pay later lenders to <a href="https://www.ft.com/content/ca428bc8-65c3-49ed-8ba6-0d6f206098aa">terminate, suspend or restrict access to shopper accounts</a> for any reason without notice. Effective September 2024, New Zealand will require buy now, pay later lenders to <a href="https://theconversation.com/if-it-looks-like-debt-lets-treat-it-like-debt-buy-now-pay-later-schemes-need-firmer-regulation-in-nz-211820">check a shopper’s credit</a> before providing them a buy now, pay later loan.</p>
<p>The second set of regulations defines the scope and boundaries of buy now, pay later lenders. On Dec. 9, 2022, California became the first American state to <a href="https://dfpi.ca.gov/2022/12/09/buy-now-pay-later-protect-yourself-before-you-check-out/">classify buy now, pay later as a loan</a>. Such classifications allowed California regulators to <a href="https://stateline.org/2022/02/02/regulators-scrutinize-buy-now-pay-later-plans/">question lenders about their transparency in disclosing the terms of their offerings</a>.</p>
<p>The hope is that these laws and regulations will facilitate microlending and not impede the existence of buy now, pay later services, but rather make it safer and more secure for both lenders and users.</p><img src="https://counter.theconversation.com/content/215421/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Vivek Astvansh has been a member of a team that received funding from the U.S. Environmental Protection Agency.</span></em></p><p class="fine-print"><em><span>Chandan Kumar Behera does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Are buy now, pay later services truly a new way to boost financial inclusion, or just another type of predatory loan?Vivek Astvansh, Associate Professor of Quantitative Marketing and Analytics, McGill UniversityChandan Kumar Behera, PhD Student in Marketing, Indian Institute of Management LucknowLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2125692023-09-06T21:48:14Z2023-09-06T21:48:14ZThe price of love: Why millennials and Gen Zs are running up major dating debt<figure><img src="https://images.theconversation.com/files/546762/original/file-20230906-40532-qq86zj.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Are you looking for love in all the wrong places?</span> <span class="attribution"><span class="source">(Shutterstock)</span></span></figcaption></figure><iframe style="width: 100%; height: 100px; border: none; position: relative; z-index: 1;" allowtransparency="" allow="clipboard-read; clipboard-write" src="https://narrations.ad-auris.com/widget/the-conversation-canada/the-price-of-love-why-millennials-and-gen-zs-are-running-up-major-dating-debt" width="100%" height="400"></iframe>
<p><a href="https://nypost.com/2019/09/12/heres-how-much-money-the-average-american-spends-on-dating/">The average American invests US$120,000 throughout their lifetime in pursuit of love</a>, spending significant money on romantic dinners, movie outings and thoughtful gifts, not to mention personal grooming and cosmetic products. </p>
<p>As a result, according to <a href="https://www.lendingtree.com/credit-cards/study/dating-money-inflation/">a survey by LendingTree</a>, 22 per cent of millennials and 19 per cent of Gen Z have begun to incur “dating debt.”</p>
<p>Another study by <a href="https://www.creditkarma.com/insights/i/dating-debt-young-adults-survey">Credit Karma</a> found that 29 per cent of people aged 18–34 have accrued debt for a date, with 21 per cent exceeding $500 in dating debt in a year. Reasons include accidental overspending (29 per cent), an attempt to impress dates (28 per cent) and seeking intimacy (19 per cent).</p>
<p>But another survey <a href="https://www.finder.com/unacceptable-partner-debt">by Finder</a> also reveals that 44 per cent of Gen Zs consider debt a romantic deal-breaker when considering a partner. </p>
<p>This highlights potential ties between accumulating <a href="https://doi.org/10.1111/j.1741-3729.2012.00715.x">dating-related debt and barriers to the chances of success</a> in forming meaningful romantic connections.</p>
<figure class="align-center ">
<img alt="A man sits on a picnic blanket and opens a bottle of champagne." src="https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=429&fit=crop&dpr=1 600w, https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=429&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=429&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=539&fit=crop&dpr=1 754w, https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=539&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/546426/original/file-20230905-25-1rh7hy.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=539&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Luxury dates are leading to debt for millennials and Gen Zs.</span>
<span class="attribution"><span class="source">(Jelleke Vanooteghem/Unsplash)</span></span>
</figcaption>
</figure>
<p>This conundrum is a problem for younger generations, where the pursuit of love and connection is intricately tied to an appetite for luxury, ultimately leading to debt accumulation. </p>
<p>The trend has implications for financial stability, emotional well-being and the very essence of modern relationships.</p>
<p>There are a few issues fuelling it, including the desire to signal status and the persuasive retail marketing of luxury as being synonymous with love, creating that false sense of connection between luxury and love.</p>
<h2>‘Costly signalling’</h2>
<p>Accumulating debt for romantic engagements has its roots in an innate human desire — namely, the urge to signal status. In a digital age where social media and online dating platforms are the norm, <a href="https://doi.org/10.1007/s11621-012-0108-7">standing out in a crowd has never been more challenging</a>, yet it’s also crucial.</p>
<p><a href="https://doi.org/10.1007/978-3-319-16999-6_3483-1">The “costly signalling” theory</a> may explain why such habits develop. It argues that humans and animals use resource-intensive or risky behaviours as genuine, hard-to-fake signals indicating their desirable traits and availability. </p>
<p>This is related to <a href="https://doi.org/10.4324/9780203936993">conspicuous consumption</a>, which is driven by a desire for status and the clear signalling of this status to onlookers. </p>
<p><a href="https://www.psychologytoday.com/ca/blog/after-service/202102/what-your-social-signals-reveal">Signalling status in relationships or social circles isn’t uncommon</a>, but it’s found a financial expression in younger generations. Young adults are increasingly associating luxury experiences and goods with a <a href="https://doi.org/10.1057/palgrave.bm.2540194">unique form of personal expression</a>. </p>
<p>Whether it’s a lavish dinner at a high-end restaurant or gifting a designer handbag, these actions become <a href="https://doi.org/10.1080/21639159.2022.2033132">markers of distinction and status</a>. While these acts add a layer of individuality to a relationship, they come with the risk of potential financial instability.</p>
<h2>Retail marketing</h2>
<p>Retailers often <a href="https://doi.org/10.1093/jcr/ucac034">employ strategic marketing tactics to link luxury with love</a>, capitalizing on the emotional connection between these two powerful concepts to entice consumers into purchasing high-end goods. </p>
<p>For instance, luxury brands often release limited-edition Valentine’s Day collections, adorned with romantic motifs and themes, ranging from heart-shaped jewellery to high-end designer fragrances. </p>
<p>Additionally, retailers leverage the allure of love in their advertisements. They often showcase couples exchanging luxury gifts in opulent settings, fostering an aspirational connection between luxury products and romantic ideals. </p>
<figure class="align-right ">
<img alt="A diamond engagement ring on a Tiffany blue background." src="https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=237&fit=clip" srcset="https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=353&fit=crop&dpr=1 600w, https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=353&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=353&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=444&fit=crop&dpr=1 754w, https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=444&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/546439/original/file-20230905-19-g0bd2x.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=444&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">The Tiffany ‘Believe in Love’ campaign featured links to engagement ring offerings.</span>
<span class="attribution"><span class="source">(Unsplash)</span></span>
</figcaption>
</figure>
<p>For example, <a href="https://www.tiffany.ca/engagement/love-stories/">Tiffany & Co. released a “Believe in Love”</a> campaign featuring stories of seven couples at different stages of their relationships, and how Tiffany has played a part in their love journey.</p>
<p>Retailers create an <a href="https://doi.org/10.1093/jcr/ucac034">ambience of indulgence and luxury</a>, presenting their offerings as tokens of affection and devotion. </p>
<p>Personalized engraving services on luxury items, such as monogrammed initials or special dates, further enhance the sentimentality and connection between the product and the act of gifting, convincing consumers to spend money on these high-end, emotionally charged offerings. </p>
<p>For example, Gucci’s “<a href="https://www.lofficielbaltic.com/en/fashion/apple-of-my-eye-gucci-s-apple-print-collection-comes-in-time-for-chinese-valentine-s-day">apple of my eye</a>” limited-edition collection shows two interlocking red letter Gs that are meant to signify romantic love.</p>
<p>These strategic marketing tactics linking luxury with love contribute to more debt by enticing consumers to overspend on high-end goods with premium price tags. They promote impulse buying through limited-edition collections, foster unrealistic desires through aspirational advertising, encourage additional spending on personalized services and compel people to prioritize romantic gestures over financial responsibility.</p>
<p>This ultimately leads to the accumulation of debt as consumers strive to express their love through emotionally charged purchases.</p>
<h2>False sense of connection</h2>
<p>But there seems to be an intriguing paradox when it comes to luxury goods and their ties to social relationships. </p>
<p>While luxury items can enhance someone’s social image and boost self-perception, <a href="https://doi.org/10.1108/JCM-09-2014-1161">people also tend to view themselves more positively when they possess or experience luxury — even though they often hold a less favourable view of others who do the same</a>. </p>
<p>This sheds light on a fascinating discrepancy in self-versus-other evaluations when it comes to luxury consumption. </p>
<p>In a dating context, a person boasting about the purchase of an expensive wine on a dinner date, for example, may over-estimate whether it will actually impress their date.</p>
<figure class="align-center ">
<img alt="A glass of white wine sits in front of a woman at a table in a restaurant." src="https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/546516/original/file-20230905-31392-5c4cul.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Ordering an expensive bottle of wine on a date isn’t necessarily impressive.</span>
<span class="attribution"><span class="source">(JP Valery/Unsplash)</span></span>
</figcaption>
</figure>
<p>Gift-givers often believe that more expensive gifts are more appreciated, assuming they convey greater thoughtfulness. But gift recipients don’t necessarily share this belief because they don’t consistently link gift price to their level of appreciation.</p>
<p><a href="https://doi.org/10.1016/j.jesp.2008.11.003">This suggests that gift-givers may not accurately predict what gifts will be meaningful to others</a>. And because they personally may connect expensive gifts with something meaningful, it may lead them to spend more, ultimately contributing to greater dating debt.</p>
<p>Interestingly, while it’s known that people use luxury items to signal their social status and earning capacity, the reactions to such gifts may be complex. Indeed, <a href="https://doi.org/10.1016/j.jesp.2019.103945">many people prioritize their independence and question the giver’s motives behind such gifts, fearing power imbalances and expectations</a>. </p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/an-essential-piece-in-every-wardrobe-young-people-are-shopping-for-luxury-like-never-before-184536">'An essential piece in every wardrobe': Young people are shopping for luxury like never before</a>
</strong>
</em>
</p>
<hr>
<p>Instead, they may value personal connections over materialistic displays and be cautious in the early stages of a relationship. </p>
<p>Ultimately, open and honest communication about expectations is crucial for navigating these complexities, ensuring that gift-giving aligns with the relationship’s goals and mutual desires.</p>
<p>The concept of luxury often gets mixed up with our quest for love, creating a captivating but misleading link between the two. In the realm of romantic relationships, luxury goods or indulging in extravagant experiences can sometimes make us feel closer to our partners than we really are.</p>
<p>But the ties between luxury and love can be deceiving. While luxury can certainly add to the romance, it’s important for younger generations to see the difference between flashy things and the deep, lasting connections that bring us closer to love.</p><img src="https://counter.theconversation.com/content/212569/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Genuine love holds immeasurable value, yet discovering it can pose challenges — and come with a significant price tag.Omar H. Fares, Lecturer in the Ted Rogers School of Retail Management, Toronto Metropolitan UniversitySeung Hwan (Mark) Lee, Professor and Associate Dean of Engagement & Inclusion, Ted Rogers School of Management, Toronto Metropolitan UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2117802023-08-30T15:07:28Z2023-08-30T15:07:28Z‘Girl math’ may not be smart financial advice, but it could help women feel more empowered with money<figure><img src="https://images.theconversation.com/files/545299/original/file-20230829-17-3qvkjp.jpg?ixlib=rb-1.1.0&rect=321%2C111%2C7922%2C5376&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">
</span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/photo-crazy-positive-girl-spend-waste-1798808335">Roman Samborskyi/Shutterstock</a></span></figcaption></figure><p>If you’ve ever calculated cost per wear to justify the price of an expensive dress, or felt like you’ve made a profit after returning an ill-fitting pair of jeans, you might be an expert in <a href="https://www.standard.co.uk/news/world/girl-maths-tiktok-trend-its-basically-free-b1100504.html">“girl math”</a>. With videos about the topic going viral on social media, girl math might seem like a silly (<a href="https://www.glamourmagazine.co.uk/article/girl-math-womens-spending-taken-seriously">or even sexist</a>) trend, but it actually tells us a lot about the relationship between gender, money and emotions. </p>
<p>Girl math introduces a spend classification system: purchases below a certain value, or made in cash, don’t “count”. Psychologically, this makes low-value spending feel safe and emphasises the importance of the long-term value derived from more expensive items. For example, girl math tells us that buying an expensive dress is only “worth it” if you can wear it to multiple events.</p>
<p>This approach has similarities to <a href="https://www.investopedia.com/terms/m/modernportfoliotheory.asp">portfolio theory</a> – a method of choosing investments to maximise expected returns and minimise risk. By evaluating how each purchase contributes to the shopping portfolio, girl math shoppers essentially become shopping portfolio managers.</p>
<h2>Money and emotions</h2>
<p>People of all genders, rich or poor, feel anxious when dealing with their personal finances. Many people in the UK do not understand pensions or saving enough to <a href="https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/workplacepensions/articles/pensionparticipationatrecordhighbutcontributionsclusteratminimumlevels/2018-05-04">afford their retirement</a>. Without motivation to learn, people avoid dealing with money altogether. One way to find this motivation, as girl math shows, is by having an emotional and tangible connection to our finances.</p>
<hr>
<figure class="align-right ">
<img alt="Quarter life, a series by The Conversation" src="https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=45&auto=format&w=237&fit=clip" srcset="https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=600&fit=crop&dpr=1 600w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=600&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=600&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=754&fit=crop&dpr=1 754w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=754&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=754&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption"></span>
</figcaption>
</figure>
<p><em><strong><a href="https://theconversation.com/uk/topics/quarter-life-117947?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">This article is part of Quarter Life</a></strong>, a series about issues affecting those of us in our twenties and thirties. From the challenges of beginning a career and taking care of our mental health, to the excitement of starting a family, adopting a pet or just making friends as an adult. The articles in this series explore the questions and bring answers as we navigate this turbulent period of life.</em></p>
<p><em>You may be interested in:</em></p>
<p><em><a href="https://theconversation.com/treat-culture-why-indulging-in-small-affordable-pleasures-can-help-you-cope-with-tough-times-207957?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">Treat culture: why indulging in small, affordable pleasures can help you cope with tough times</a></em></p>
<p><em><a href="https://theconversation.com/bed-rotting-the-social-media-trend-the-victorians-would-love-especially-writer-elizabeth-gaskell-209725?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">Bed rotting: the social media trend the Victorians would love, especially writer Elizabeth Gaskell</a></em></p>
<p><em><a href="https://theconversation.com/why-its-so-difficult-to-figure-out-what-to-do-with-your-life-and-three-steps-to-take-209266?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">Why it’s so difficult to figure out what to do with your life – and three steps to take</a></em></p>
<hr>
<p>On the surface, it may seem that women are being ridiculed and encouraged to overspend by using girl math. From a different perspective, it hints at something critical: for a person to really care about something as seemingly abstract as personal finance, they need to feel that they can relate to it.</p>
<p>Thinking about money in terms of the value of purchases can help create an <a href="https://www.thetimes.co.uk/article/every-time-i-use-my-card-my-phone-buzzes-and-that-stops-me-shopping-ps0fjx6nj">emotional relationship</a> to finance, making it something people want to look after.</p>
<figure>
<iframe width="440" height="260" src="https://www.youtube.com/embed/GPzA7B6dcxc?wmode=transparent&start=0" frameborder="0" allowfullscreen=""></iframe>
</figure>
<h2>The girl math we need</h2>
<p>Women are a consumer force to be reckoned with, controlling <a href="https://www.forbes.com/sites/bridgetbrennan/2015/01/21/top-10-things-everyone-should-know-about-women-consumers/#7679f9d6a8b4">up to 80%</a> of consumer spending globally. The girl math trend is a demonstration of women’s mastery at applying portfolio theory to their shopping, making them investment powerhouses whose potential is overlooked by the financial services industry.</p>
<p><a href="https://www.theguardian.com/world/2019/oct/28/women-paid-less-than-men-over-careers-gender-pay-gap-report">Women are disadvantaged</a> when it comes to money and finance. Women in the UK earn on average £260,000 less than men during their careers and the retirement income of men is twice as high as women’s. </p>
<p>As I’ve found in <a href="https://www.routledge.com/Gender-and-Finance-Addressing-Inequality-in-the-Financial-Services-Industry/Baeckstrom/p/book/9781032055572">my research</a> on gender and finance, women have lower financial self-efficacy (belief in their own abilities) compared to men. This is not helped by women feeling patronised when seeking financial advice.</p>
<p>Because the world of finance was created by men for men, its language and culture are <a href="https://www.routledge.com/Gender-and-Finance-Addressing-Inequality-in-the-Financial-Services-Industry/Baeckstrom/p/book/9781032055572">intrinsically male</a>. Only in the mid-1970s did women in the UK gain the legal right to open a bank account without a male signature and it was not until 1980 that they could apply for credit independently. With the law now more (<a href="https://www.worldbank.org/en/news/press-release/2023/03/02/pace-of-reform-toward-equal-rights-for-women-falls-to-20-year-low">but not fully</a>) gender equal, the financial services industry has failed to connect with women. </p>
<p>Studies show that 49% of women are <a href="https://www.ellevest.com/magazine/disrupt-money/ellevest-financial-wellness-survey">anxious about their finances</a>. However they have not bought into patronising offers and <a href="https://www.fa-mag.com/news/gender-roles-block-female-financial-experience--ubs-says-73531.html">mansplaining by financial advisers</a>. This outdated approach suggests that it is women, rather than the malfunctioning financial system, <a href="https://www.theguardian.com/commentisfree/2020/sep/16/women-are-not-financially-illiterate-they-need-more-than-condescending-advice">who need fixing</a>. </p>
<p>Women continue to feel that they do not belong to or are able to trust the world of finance. And why would women trust an industry with a <a href="https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/earningsandworkinghours/bulletins/genderpaygapintheuk/2019">gender pay gap</a> of up to 59% and a severe lack of women in senior positions?</p>
<p>Girl math on its own isn’t necessarily good financial advice, but if it helps even a handful of women feel more empowered to manage and understand their finances, it should not be dismissed.</p>
<hr>
<p><em>Have a question about girl math, finances or other issues you’re facing in your 20s and 30s? Text us at +44 7360 272494 (or <a href="https://joinsubtext.com/sundayscaries">click here</a> if outside the UK).</em></p><img src="https://counter.theconversation.com/content/211780/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Ylva Baeckstrom does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Girl math shoppers are showing mastery of portfolio management.Ylva Baeckstrom, Senior Lecturer in Finance, King's College LondonLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2119032023-08-27T20:04:32Z2023-08-27T20:04:32Z#GirlMaths: a seemingly innocent and fun way to justify expenses that can have serious financial consequences<p>These shoes are perfect, made for me! I have to get them! But really, I should be paying off my car loan instead. I can’t justify this purchase. Or can I …?</p>
<p>We all know this feeling, this tension between what you really want to do and what you really should, or shouldn’t, do. What you are experiencing is <a href="https://www.britannica.com/biography/Leon-Festinger/Cognitive-dissonance">cognitive dissonance</a>.</p>
<p>It’s a psychological discomfort we feel when our behaviours and our values or beliefs do not match. Not to worry, we can make that discomfort simply disappear with a good dose of #GirlMaths! </p>
<h2>So what is #GirlMaths?</h2>
<p>GirlMaths recently became a viral phenomenon on TikTok after New Zealand FVHZM radio hosts Fletch, Vaughan and Hayley used #GirlMaths to justify one host’s mother’s expensive dress purchase as basically free because the dress was going to be worn at least four times.</p>
<p><iframe id="tc-infographic-904" class="tc-infographic" height="400px" src="https://cdn.theconversation.com/infographics/904/f0b5e215a804bb450e609c397b96c7fcbf46172f/site/index.html" width="100%" style="border: none" frameborder="0"></iframe></p>
<p>Since then, influencers have added to the #GirlMaths trend with gems such as “If I buy it for $100, wear it, and then resell it for $80 then I basically wore it for free”, “If I pay with cash, it means it’s free”, and “If I just returned something, then purchase something new for the same amount of money, then it’s free”. </p>
<p>The reason #GirlMaths resonates so well with everyone and allows it to go viral is that we are very familiar with this type of thinking. The mental gymnastics of #GirlMaths needed to justify cost-per-wear or cash-is-free is a perfect display of behavioural biases and heuristics, such as confirmation bias and denomination bias, being applied to everyday consumption decisions. </p>
<h2>The psychology of decision-making</h2>
<p>Behavioural biases and heuristics are shortcuts in our thinking that help us make decisions quicker and easier, and are great for reducing the cognitive dissonance we sometimes experience.</p>
<p>Our brain has a lot of decisions to make in a day and simply doesn’t have the power to scrutinise every little detail of every <a href="https://theconversation.com/what-shall-we-have-for-dinner-choice-overload-is-a-real-problem-but-these-tips-will-make-your-life-easier-193317">decision</a>. These shortcuts in our thinking may facilitate the decision making process, but they don’t always mean we make the most optimal decisions.</p>
<p>Confirmation bias is a bias where you justify your decisions by considering only the evidence that supports what you want and ignore the evidence that would mean you’d have to make a different decision. Cost-per-wear does sound quite financially savvy. It is just like bulk-buying pantry essentials, right?</p>
<p>The issue is you are ignoring the facts such as: 1) your disposable income does not match this expense in light of your utility bills, 2) you could rewear a cheaper dress all the same, and 3) by spending money on a fancy dress, you lose the opportunity to spend the money on other better investments for wealth accumulation, or to pay off your car loan.</p>
<h2>The financial and social costs</h2>
<p>But it’s all a bit of innocent fun, right? Surely people won’t take #GirlMaths that seriously? We beg to differ. </p>
<p>First, the term is unnecessarily gendered. Gendered language operates to reinforce societal expectations with a particular gender and can promote stereotypes, biases and binary categories. </p>
<p>In this case, the term “girl maths” reinforces problematic stereotypes that equate women with consumption, frivolity and extravagant spending. When stereotypes are reinforced within our own social circles, we are more likely to <a href="https://journals.sagepub.com/doi/abs/10.1177/0146167299025007004?casa_token=dOhnQVtFwPsAAAAA:XSBdix5AB6bDfGjNgfbX9OIjstw4KE071GP0l60mAxvHJMaEwkyPERqHXf3z9PhctWJUl6h7TgTHg_U">internalise these as part of our identity</a>.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="Two women showing each other shirts in a shop" src="https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/544150/original/file-20230823-23-t4fl7p.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The term ‘girl maths’ reinforces the idea that women are frivolous with money.</span>
<span class="attribution"><a class="source" href="https://www.shutterstock.com/search/fashion-shopping?image_type=photo">Shutterstock</a></span>
</figcaption>
</figure>
<p>By representing women in a less favourable way, the term operates to both demean and discriminate on a gendered basis. This is heightened by the use of “girl” as opposed to “woman”, which implies someone is childlike or lacking in knowledge or experience. It also begs the question what “boy maths” - set up as something opposing and different - might connote. </p>
<p>Second, the #GirlMaths trend reminds us of the power of “<a href="https://theconversation.com/fintok-and-finfluencers-are-on-the-rise-3-tips-to-assess-if-their-advice-has-value-161406">finfluencers</a>” – social media content creators amassing huge online followings by sharing advice on anything from budgeting to buying a house, to investing.</p>
<p>These online gurus appeal to Gen Z and millennials, simplifying complex financial concepts into digestible nuggets, much like #GirlMaths simplifies purchases based on cost-per-wear or cash-as-free.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/are-you-financially-literate-here-are-7-signs-youre-on-the-right-track-202331">Are you financially literate? Here are 7 signs you're on the right track</a>
</strong>
</em>
</p>
<hr>
<p>Just as regulators such as <a href="https://moneysmart.gov.au/other-ways-to-borrow/buy-now-pay-later-services">ASIC</a> repeatedly warn us of the dangers of buy-now-pay-later services, we must caution the #GirlMaths trend as a dangerous cocktail for young women who are susceptible to the “advice” of finfluencers.</p>
<p>The trend resembles BNPL by breaking down expenses into smaller, more palatable portions, making purchases seem justifiable and affordable at the moment.</p>
<p>Denomination bias describes this tendency to spend more money when it is denominated in small amounts rather than large amounts. We find it much easier to spend $50 four times than $200 all at once. </p>
<p>However, the convenience of these shortcuts in our thinking can obscure the hidden financial risks. You may overlook the bigger picture of your financial health, and spend more than what you can afford. That’s why a large number of BNPL users find themselves ending up in a <a href="https://www.choice.com.au/money/credit-cards-and-loans/personal-loans/articles/bnpl-submission-to-treasury">modern debt trap</a>.</p>
<h2>The perils of #GirlMaths</h2>
<p>The danger of #GirlMaths to young women lies in the cocktail of feeling oddly familiar and reinforced in this biased thinking, the problematic stereotypes that shape identities, and the power of finfluencers, who wield increasing influence over the financial choices and decision-making of young women.</p>
<p>While the term may initially come across as innocent fun, it’s crucial not to underestimate its potential harms. Instead, let’s champion the use of inclusive language in finance that doesn’t perpetuate gender biases.</p>
<p>And if you’re a staunch supporter of #GirlMaths, we strongly urge you to take into account the possible adverse financial consequences of these quick-fix spending habits.</p><img src="https://counter.theconversation.com/content/211903/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Justifying purchases can make parting with money easier but a viral TikTok trend could leave girls spending more than they have.Janneke Blijlevens, Senior Lecturer in Marketing, RMIT UniversityAngel Zhong, Associate Professor of Finance, RMIT UniversityLauren Gurrieri, Associate Professor in Marketing, RMIT UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2111612023-08-08T13:42:46Z2023-08-08T13:42:46ZWilko is the latest shop to be edged out by competition but it doesn’t have to mean the end for the budget retailer<figure><img src="https://images.theconversation.com/files/541707/original/file-20230808-25-voz4jb.jpg?ixlib=rb-1.1.0&rect=54%2C48%2C4000%2C2974&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">A Wilko branch in Kingston, Surrey.</span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/kingston-surrey-uk-march-2023-shop-2280497075">Abdul N Quraishi - Abs/Shutterstock</a></span></figcaption></figure><p>By selling pick ‘n’ mix, stationery, garden tools and bird boxes, Wilko has spent <a href="https://www.wilko.com/en-uk/corporate/our-history">the last 90 years</a> transforming from a one-store business into one of the UK’s major budget retail players. It now has <a href="https://uk.style.yahoo.com/list-wilko-stores-close-retailer-110635636.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAK3HWr0ZFmy82Gqbc4XcmRBzKRsZecgOYZhp8ckmsrAEkeeXj78loWi5j5Ku8tzOrcbuyBmlHjaEYhMXLXJm1zL5UEKRF_cwa4vAgdKz6rMeGEpD667Do_rCpRHnC_4cAG7eEs1eqcZJimKn4idSIaKL_7UwcomxZj02zInKj7X1#:%7E:text=So%20far%2C%20a%20rival%20discount,through%20a%20company%20voluntary%20arrangement.">around 400 stores</a>, but it has also become the latest high street shop to face serious financial troubles.<br>
The decline of Wilko has been gradual and <a href="https://www.ft.com/content/d548b6ea-e4bd-4427-baae-eacae255a8d4">predicted</a>. It reported <a href="https://find-and-update.company-information.service.gov.uk/company/00365335/filing-history">losses over the last four years</a>, and closed <a href="https://www.theguardian.com/business/2022/jan/10/wilko-to-close-up-to-15-stores-england-wales-high-street">15 stores</a> last year after attempts to restructure the business.</p>
<p>More changes to its business will now be needed, including <a href="https://www.independent.co.uk/news/business/wilko-closure-stores-jobs-where-b2387701.html">further store closures</a> and job losses as the company files for <a href="https://www.insolvencydirect.bis.gov.uk/freedomofinformationtechnical/technicalmanual/ch49-60/chapter%2056-1/Part%201/Part%201.htm">administration</a>. This doesn’t mean failure - yet. </p>
<p>Rather, this procedure will see Wilko’s financial future examined by insolvency specialists from accountancy firms who will assess if the company can be rescued as a going concern (PwC is reported to have been <a href="https://www.theguardian.com/business/2023/aug/03/budget-retailer-wilko-makes-administration-move-risking-12000-jobs">lined up for the job</a> after helping Wilko try to find a buyer in recent months).</p>
<p>It could reportedly take <a href="https://www.thetimes.co.uk/article/inside-wilkos-demise-and-why-a-rescue-could-cost-70m-g0bfm3qjp">£70 million</a> to rescue the company. Potential buyers include rival discount retailers and private equity firms that specialise in turning around struggling businesses. </p>
<p>The problems the chain has faced have not been unique to Wilko. When <a href="https://www.theguardian.com/business/2008/nov/26/woolworths-administration-high-street-retailers">Woolworths</a> entered administration in 2008, all 807 of its stores were eventually closed, resulting in 27,000 job losses. Like Wilko, Woolworths was a fixture on the high street for almost 100 years, but it fell victim to a significant spike in competition fuelled by other budget retailers – including Wilko. Now, it looks like Wilko is set to suffer the same fate.</p>
<p>This is a form of “<a href="https://www.e-elgar.com/shop/gbp/the-interpretation-and-value-of-corporate-rescue-9781839101397.html">creative destruction</a>” – when companies are naturally replaced by new, more efficient competitors over time. Woolworths replaced the need to shop at multiple smaller businesses, and then Wilko swooped in to take Woolworths’ core market share. Now, if it fails, Wilko could be replaced by other more streamlined businesses.</p>
<p>Just as the success of Wilko played its part in the demise of Woolworths, other budget retailers have expanded into Wilko’s core territory. Wilko’s decline has been more gradual, but The Range, Home Bargains, Poundland and B&M, as well as traditional supermarkets such as Tesco and Asda, have continued to increase their presence on Wilko’s patch. In particular, this includes DIY supplies, bathroom products and household wares. </p>
<p>Combined with the continued growth of internet companies such as Amazon, this competition has left Wilko without a unique selling point. Also, rising prices such as the UK has seen over the past year and a half forces people to cut spending but also undermines <a href="https://www.forbes.com/sites/jennmcmillen/2023/01/09/7-consumer-loyalty-trends-that-will-shape-retail-in-2023/">customer loyalty</a> as people shop around for the best bargains.</p>
<figure class="align-center ">
<img alt="Quiet cobbled street with blackboard in the foreground that says 'Closed' with an image of a virus." src="https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=338&fit=crop&dpr=1 600w, https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=338&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=338&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=424&fit=crop&dpr=1 754w, https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=424&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/541711/original/file-20230808-25-brvy37.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=424&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Many retailers lost business during the COVID pandemic.</span>
<span class="attribution"><span class="source">Corona Borealis Studio/Shutterstock</span></span>
</figcaption>
</figure>
<h2>Retail headwinds</h2>
<p>Of course, retailers have faced multiple challenges in recent years. The <a href="https://www.ons.gov.uk/economy/grossvalueaddedgva/articles/effectsofthecoronaviruscovid19pandemiconhighcontactindustries/2022-05-06">coronavirus pandemic</a> certainly did not help the retail sector, but some businesses were more adversely affected than others. Wilko, as a traditional store that relied on foot traffic, has previously said it experienced a <a href="https://www.theguardian.com/business/2022/jan/10/wilko-to-close-up-to-15-stores-england-wales-high-street">40% fall</a> in visitor numbers after the March 2020 lockdown. </p>
<p>Government <a href="https://www.gov.uk/government/collections/financial-support-for-businesses-during-coronavirus-covid-19">financial assistance</a>, which included business rates relief, tax holidays, and restrictions on landlord’s ability to call rents, provided some temporary relief. But once this assistance ended, Wilko was exposed to the post-pandemic world, which has seen its fair share of retail casualties since the start of the pandemic. </p>
<p>The demise of <a href="https://www.theguardian.com/business/2020/dec/01/debenhams-close-stores-jobs-department-store-jd-sports">Debenhams</a> shocked the high street in December 2020, as did the failure of the <a href="https://www.bbc.co.uk/news/business-55139369">Arcadia Group</a> (which included major high street brands like Topshop, Topman, Miss Selfridge, Dorothy Perkins, Evans and Burton) the month before. </p>
<p>In general, companies that have failed to address the cost of living crisis by cutting prices or offering better deals when compared to their competitors are struggling to survive. We saw this with the collapse of online furniture retailer Made.com last year. High street and online powerhouse Next bought the <a href="https://www.reuters.com/markets/deals/uks-next-buy-madecom-furniture-retailer-enters-administration-2022-11-09/">brand and website</a> in November 2022.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/how-made-com-went-from-a-pandemic-era-business-superstar-to-a-failed-company-in-just-18-months-194323">How Made.com went from a pandemic-era business superstar to a failed company in just 18 months</a>
</strong>
</em>
</p>
<hr>
<h2>Rethinking the future</h2>
<p>Wilko undoubtedly faces a dire situation, but unlike recent retail failures, it does have a future – it could just be in a different form. Sometimes brands are bought, which can cover intellectual property such as website domain and brand name, but not the stores or employees, as Next did with Made.com or <a href="https://www.ft.com/content/015699a2-bbb0-4fc5-a4f8-47028de35ba9">Asos did with Topshop</a>. </p>
<p>In other cases, the struggling company might reinvent itself, although this requires extensive restructuring, and may only prolong the misery. The latter was the fate of former high-street giants <a href="https://www.theguardian.com/business/2016/apr/25/bhs-heading-for-administration-as-rescue-deal-fails">BHS</a> and <a href="https://www.thisismoney.co.uk/money/markets/article-9147665/The-30-retailers-failed-2020.html#:%7E:text=the%20brand%20name-,Debenhams,-Department%20store%20chain">Debenhams</a>, and more recently the greeting cards retailer <a href="https://www.bbc.co.uk/news/business-66421173">Clintons</a>, who now plans to shut around 20% of its shops in an effort to stay in business.</p>
<p>In the case of Wilko, unfortunately this situation is likely to lead to the closure of many stores, and a reduction in staff and the range of products it sells. But it could also lead to new initiatives such as <a href="https://www.retailgazette.co.uk/blog/2022/11/wilko-trading/">developing its online presence</a> further and expanding its delivery options. </p>
<p>Change always risks alienating certain loyal customers, but in economic times like these, brands like Wilko need to put survival above all else.</p><img src="https://counter.theconversation.com/content/211161/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>John Wood does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>New competition often displaces older, less efficient business models but companies can survive these shifts.John Wood, Lecturer in Law, Lancaster UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2079572023-07-10T12:30:59Z2023-07-10T12:30:59ZTreat culture: why indulging in small, affordable pleasures can help you cope with tough times<figure><img src="https://images.theconversation.com/files/534628/original/file-20230628-19-bxir8u.jpg?ixlib=rb-1.1.0&rect=234%2C234%2C8440%2C5540&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">
</span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/outdoors-shot-young-women-toasting-ice-666621205">Jacob Lund/Shutterstock</a></span></figcaption></figure><p>Life today is stressful. Since the start of the pandemic, social media has been flooded with coping mechanisms and wellbeing trends to help people manage their emotions and worries about the state of the world. If you’ve tried <a href="https://theconversation.com/want-to-start-therapy-but-not-sure-what-type-will-be-right-for-you-here-are-four-to-consider-206524">therapy</a> and <a href="https://www.stylist.co.uk/fitness-health/workouts/hot-girl-walk-tiktok-trend/659913">“hot girl walks”</a>, you may also have heard of the latest life hack: buying yourself a <a href="https://fortune.com/2023/06/14/gen-z-millennials-treat-culture-coping-mechanism-rough-economy/">little treat</a>. </p>
<p>Inflation and high cost of living is putting holidays and luxury goods out of reach. In their place, indulgences like coffees, ice cream, lipstick or face masks can deliver pleasure in small doses. Treats are not expensive, nor are they a huge commitment. The ideal treat might be from a shop within walking distance of your home or office. You might even think of an episode of “guilty pleasure” television as a treat – a mid-afternoon Emily in Paris break, for example. </p>
<p>“Treat culture” is not an entirely new concept. You may have heard it called the “<a href="https://www.bbc.co.uk/news/uk-wales-63047913">lipstick index</a>”, the theory that consumers buy low-cost luxuries to boost their moods in difficult times. There is a wealth of research on <a href="https://www.cambridge.org/core/books/cambridge-handbook-of-consumer-psychology/compensatory-consumption/A51BE53B06D59DC1F6EE72471030BE90">“compensatory consumption”</a>, where people <a href="https://doi.org/10.1108/02634509710193172">spend money</a> to deal with perceived threats to their self-esteem, confidence or happiness. Treat culture is “retail therapy”, but with a focus on small, inexpensive purchases rather than a shopping spree.</p>
<hr>
<figure class="align-right ">
<img alt="Quarter life, a series by The Conversation" src="https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=45&auto=format&w=237&fit=clip" srcset="https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=600&fit=crop&dpr=1 600w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=600&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=600&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=754&fit=crop&dpr=1 754w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=754&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/451343/original/file-20220310-13-1bj6csd.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=754&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption"></span>
</figcaption>
</figure>
<p><em><strong><a href="https://theconversation.com/uk/topics/quarter-life-117947?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">This article is part of Quarter Life</a></strong>, a series about issues affecting those of us in our twenties and thirties. From the challenges of beginning a career and taking care of our mental health, to the excitement of starting a family, adopting a pet or just making friends as an adult. The articles in this series explore the questions and bring answers as we navigate this turbulent period of life.</em></p>
<p><em>You may be interested in:</em></p>
<p><em><a href="https://theconversation.com/cost-of-living-crisis-what-are-your-rights-if-your-landlord-wants-to-increase-your-rent-189089?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">Cost of living crisis: what are your rights if your landlord wants to increase your rent?</a></em></p>
<p><em><a href="https://theconversation.com/five-ways-to-be-a-good-housemate-to-your-parents-206300?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">Five ways to be a good ‘housemate’ to your parents</a></em></p>
<p><em><a href="https://theconversation.com/expert-advice-for-budding-uk-entrepreneurs-during-a-cost-of-living-crisis-202531?utm_source=TCUK&utm_medium=linkback&utm_campaign=UK+YP2022&utm_content=InArticleTop">Expert advice for budding UK entrepreneurs during a cost of living crisis</a></em></p>
<hr>
<p>In <a href="https://doi.org/https://doi.org/10.1016/j.jretconser.2021.102811">recent research</a>, I examined how consumers use shopping to cope with difficult times. During the pandemic, when people were restricted from dining out, they would instead buy higher-quality items at the grocery store. Eating better at home, even if the cost was higher than the usual shop, was a treat for people. </p>
<p>And in recent years, the popularity of novelty businesses like
the Danish variety store <a href="https://www.theguardian.com/lifeandstyle/2016/dec/18/shop-of-delights-tigers-retail-revolution">Flying Tiger</a> and <a href="https://www.vice.com/en/article/y3vkn5/bubble-tea-london-uk">bubble tea</a> shops has grown. These businesses are perfect for people to partake in treat culture. </p>
<h2>The experience of treats</h2>
<p>Treat culture isn’t just about the treat itself, it’s about the emotional experience – that is, how you feel about purchasing and having the treat. As one report <a href="https://www.michigandaily.com/arts/b-side/how-treat-culture-could-save-the-world/">pointed out</a>, the phrasing of buying yourself a “little” treat reflects an element of cuteness.</p>
<p>Cuteness can prompt powerful emotions of happiness, and remind us of <a href="https://www.psychologytoday.com/us/blog/unserious-psychology/202212/whats-cute-and-why-it-matters">nurturing and protective qualities</a>. In a way, partaking in treat culture is a way to nurture ourselves. There is also a connection between cuteness and consumption, for example in Japanese culture, where the popularity of <a href="https://journals.sagepub.com/doi/full/10.1177/14695405211013849"><em>kawaii</em> (cute) products</a> is driven by a consumer desire to cope with stress and reconnect with their childhood self. </p>
<p>Emotions are a key part of great consumer experiences. <a href="https://www.sciencedirect.com/science/article/abs/pii/S105774081400093X">Research shows</a> that experiential purchases, like meals out or concert tickets, deliver greater satisfaction and happiness to consumers than products.</p>
<p>Similarly, the <a href="https://www.youtube.com/watch?v=Mxw25NqX5wY">positive emotions</a> that come from buying a treat are not derived from the iced coffee or face mask itself. They stem from the consumption experience – taking a break from work, feeling you have earned the reward of a treat, and that you are doing something to care for your emotions.</p>
<figure class="align-center ">
<img alt="A woman holding a lipstick among a clothing rack of beige clothes" src="https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/534647/original/file-20230628-19-c6hyty.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Lipstick: a little treat.</span>
<span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/shocked-dark-haired-woman-wears-round-2299694057">WAYHOME studio/Shutterstock</a></span>
</figcaption>
</figure>
<h2>Treat responsibly</h2>
<p>Treat culture could easily be seen as a negative indulgence. It suggests frivolous spending, a lack of self-control and ignorance of financial risks like debt. Some commentators have argued that treat culture preys on young consumers’ insecurities, for example, <a href="https://www.wellandgood.com/treat-culture">about their skin</a>, perpetuating a cycle of needing to buy more skincare products in search of easy “fixes” for imperfections.</p>
<p>But treat culture, I believe, is a low-risk way to experience a morsel of happiness in dark times. The cost is usually minuscule (a bubble tea costs around £5), and you probably won’t be tempted to use a buy-now-pay-later scheme to finance it. To fully experience the satisfaction of treat culture, you should be able to purchase and consume the product in person, for optimal instant gratification. So, spending debt is unlikely and post-purchase remorse is unnecessary. </p>
<p>Treat culture certainly has psychological benefits, helping <a href="https://psycnet.apa.org/record/2017-11358-001?doi=1">uplift consumers’ emotions</a> during difficult times. So, go ahead – buy yourself a little treat.</p>
<hr>
<p>
<em>
<strong>
Read more:
<a href="https://theconversation.com/buy-now-pay-later-klarna-is-courting-young-shoppers-with-paris-hilton-and-tiktok-style-algorithms-heres-why-its-a-problem-202999">Buy now pay later: Klarna is courting young shoppers with Paris Hilton and TikTok-style algorithms – here's why it's a problem</a>
</strong>
</em>
</p>
<hr>
<img src="https://counter.theconversation.com/content/207957/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Kokho Jason Sit is affiliated with the Chartered Institute of Marketing.</span></em></p>An expert explains the positive psychology of indulging in small affordable pleasures.Kokho Jason Sit, Senior lecturer in Marketing; Associate Head (Global), University of PortsmouthLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2065712023-06-18T11:17:16Z2023-06-18T11:17:16ZDepartment stores survived the pandemic by being adaptable and innovative<figure><img src="https://images.theconversation.com/files/532059/original/file-20230614-20396-4u5otn.JPG?ixlib=rb-1.1.0&rect=13%2C35%2C2982%2C2011&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">A woman walks by a closed store in a shopping mall in Montréal, in January 2022, during the COVID-19 pandemic.</span> <span class="attribution"><span class="source">THE CANADIAN PRESS/Graham Hughes</span></span></figcaption></figure><p>The retail industry has experienced major upheavals over the past few years due to the rise of online retailing and the <a href="https://www.washingtonpost.com/business/2019/11/22/malls-are-dying-only-these-ones-have-figured-out-secrets-success-internet-age">decline of shopping malls</a>. One retail sector that has been hit especially hard is <a href="https://www.nytimes.com/2020/04/21/business/coronavirus-department-stores-neiman-marcus.html">department stores</a>. </p>
<p><a href="https://www.styledemocracy.com/canadian-retail-history/">Iconic Canadian brands, such as Eaton’s, Simpsons and Woodward’s</a>, have disappeared. American retail brands, including Nordstrom and Target, <a href="https://retail-insider.com/retail-insider/2023/03/why-so-many-american-retailers-have-failed-in-canada-feature-expert-interviews">have entered the Canadian market and then withdrawn</a>. </p>
<p>Only a few department store retailers, <a href="https://retail-insider.com/retail-insider/2021/08/hudsons-bay-shifting-canadian-department-store-model-by-separating-physical-stores-and-online-business">like The Bay</a>, still have a tenuous grip on the Canadian retail market. Similar upheavals have occurred in the United States, <a href="https://www.cnbc.com/2019/08/13/we-are-in-the-middle-of-the-great-american-department-store-shakeout.html">with many regional department store brands disappearing over the past 30 years</a>.</p>
<p>The challenges faced by retailers were made even worse by the COVID-19 pandemic. Retailers and department stores struggled to stay afloat during lockdowns. To survive the tough retail environment, they needed to be both resilient and innovative. </p>
<p>With this in mind, we gathered sales data from 17 department store chains in the U.S. <a href="https://doi.org/10.1108/IJPDLM-04-2022-0132">to investigate what strategies these stores used during the pandemic</a>.</p>
<h2>Curbside pickup</h2>
<p>The first strategy was the use of curbside pickup. This allowed customers to shop safely and conveniently by ordering online and collecting their purchases outside physical stores. </p>
<p>Although this strategy was used prior to the pandemic, <a href="https://www.digitalcommerce360.com/2020/04/30/retailers-adapt-fulfillment-operations-to-coronavirus/">it significantly increased during lockdowns</a>.</p>
<figure class="align-center ">
<img alt="A person wearing a medical face mask passes someone a grocery bag through their open car window" src="https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/532060/original/file-20230614-23865-l3cl7e.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">An employee brings a customer’s order to his car at Dick’s Sporting Goods in Paramus, N.J., in May 2020.</span>
<span class="attribution"><span class="source">(AP Photo/Seth Wenig)</span></span>
</figcaption>
</figure>
<p>In addition, another similar strategy — <a href="https://doi.org/10.1108/IJPDLM-06-2016-0161">buying online and picking an item up in-store</a> — was widely used prior to the pandemic, but the additional safety of parking lot deliveries made curbside pickup a welcome option for shoppers.</p>
<p>This strategy did more than just uphold operations during the pandemic — it also underscored the importance of prioritizing customers and their safety in the face of adversity. </p>
<h2>Product return windows</h2>
<p>The second strategy was extended product return windows. By giving customers more time to return products, <a href="https://doi.org/10.1016/j.jom.2004.10.012">department stores prioritized customer satisfaction and encouraged them to make future purchases</a>. </p>
<p>Giving customers more time to return an item — sometimes even up to a year — gave customers more time to test out items and return the ones they didn’t want.</p>
<p>Like curbside pickup, longer product return windows were also used prior to the pandemic, but health and safety restrictions accelerated its use.</p>
<h2>Virtual try-on technology</h2>
<p>A third approach — the use of virtual try-on technology — helped retailers survive lockdowns and could also prove to be valuable in the long run.</p>
<p>This technology allowed customers to “try on” items virtually before committing to a purchase, either online or in-store. Customers were able to try on products from their homes, like clothing or jewellery, using their camera-equipped devices, <a href="https://hapticmedia.com/blog/virtual-try-on">reducing the need for physical store visits and dressing room usage</a>. </p>
<p>Our research found that the impact of try-on technologies on department store sales was highest when COVID-19 restrictions were low.</p>
<p>The closure of physical stores and safety concerns <a href="https://www.shopify.com/retail/qr-codes-retail">greatly accelerated the adoption and use</a> of this technology. It not only boosted sales for apparel items, but also unlocked opportunities for a wider range of product offerings, like apps that let you virtually test out furniture or makeup at home.</p>
<figure class="align-center ">
<img alt="A man uses a smartphone to virtually try a watch on his wrist." src="https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/532061/original/file-20230614-19-9qxntm.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Virtual try-on technology allows customers to test items virtually before committing to a purchase.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p>The <a href="http://doi.org/10.1109/ACCESS.2020.3023040">convenience that try-on technology provides to consumers</a> extends beyond the pandemic. Retailers that invested in this technology during lockdowns will continue to benefit from it long into the future.</p>
<h2>Adaptation is key for survival</h2>
<p>Department stores that adapted <a href="http://www.jstor.org/stable/3088148">were the most successful in navigating the challenges posed by the pandemic</a>. This highlights the importance of having <a href="https://www.davidjteece.com/dynamic-capabilities">dynamic capabilities</a> — strategies that enable retailers to <a href="https://doi.org/10.1177/1476127008100133">adapt to rapidly changing environments</a>. </p>
<p>By being adaptable and responsive to change, retailers were able to <a href="https://doi.org/10.1007/s10796-022-10249-6">restructure their operations, enhance efficiency and reduce business risks</a>. The retailers that not only survived but innovated during the crisis <a href="https://doi.org/10.1108/IJLM-01-2021-0059">were in the best position to thrive once it ended</a>.</p>
<p>These department stores were able to retain customer trust and loyalty by offering alternative shopping options and flexible return policies. This demonstrates the importance of prioritizing customers and being prepared to adapt to evolving consumer behaviours. </p>
<h2>The future of retail</h2>
<p>The narrative of department stores during the pandemic was one of adaptability and the pursuit of innovation. The lessons gathered during the pandemic will continue to shape department store strategies and guide their transformation in the future. </p>
<p>By leveraging their unique strengths — such as having a wide range of products, a brand history and customer relationships — department stores can re-imagine their role in the retail ecosystem and reignite consumer interest.</p>
<p>As the retail landscape continues to evolve, department stores have the opportunity to reclaim their relevance by capitalizing on their strengths and staying attuned to emerging consumer trends.</p>
<p>The journey ahead may be challenging, but with strategic foresight and a commitment to innovation, department stores could still thrive in this new era of retail.</p><img src="https://counter.theconversation.com/content/206571/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.</span></em></p>The lessons the retail industry learned during the pandemic will continue to shape department store strategies and guide their transformation in the future.Ruifeng Wang, PhD Student in Supply Chain Management, University of MarylandMartin Dresner, Professor, Logistics, Business and Public Policy, University of MarylandXiaodan Pan, Associate Professor, John Molson School of Business, Concordia UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2065512023-06-14T12:34:08Z2023-06-14T12:34:08ZInside the black box of Amazon returns<figure><img src="https://images.theconversation.com/files/531778/original/file-20230613-29-we8jk3.jpg?ixlib=rb-1.1.0&rect=303%2C54%2C4888%2C2997&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Retailers' costs for managing returns are rising.</span> <span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/september-2020-saxony-anhalt-osterweddingen-parcels-are-news-photo/1229199382">Ronny Hartmann/picture alliance via Getty Images</a></span></figcaption></figure><p>E-commerce may make shopping more convenient, but it has a dark side that most consumers never see.</p>
<p>Say you order an electric toothbrush and two shirts for yourself during a sale on Amazon. You unpack your order and discover that the electric toothbrush won’t charge and only one shirt fits you. So, you decide to return the unwanted shirt and the electric toothbrush.</p>
<p>Returns like this might seem simple, and often they’re free for the consumer. But managing those returns can get costly for retailers, so much so that many returned items are simply thrown out.</p>
<p>In 2022, returns cost retailers <a href="https://nrf.com/research/2022-consumer-returns-retail-industry">about US$816 billion</a> in lost sales. That’s nearly as much as the U.S. <a href="https://nces.ed.gov/fastfacts/display.asp?id=66">spent on public schools</a> and almost twice the <a href="https://nrf.com/research/customer-returns-retail-industry">cost of returns in 2020</a>. The return process, with <a href="https://doi.org/10.1038/s41467-020-20738-4">transportation and packaging</a>, also generated about <a href="https://4771362.fs1.hubspotusercontent-na1.net/hubfs/4771362/2022%20Impact%20Report/Optoro_2022%20Impact%20Report.pdf">24 million metric tons</a> of planet-warming carbon dioxide emissions in 2022.</p>
<p><iframe id="314QO" class="tc-infographic-datawrapper" src="https://datawrapper.dwcdn.net/314QO/5/" height="400px" width="100%" style="border: none" frameborder="0"></iframe></p>
<p>Together, costs and emissions create a sustainability problem for retailers and the planet. </p>
<p>As a <a href="https://scholar.google.com/citations?user=fbARgoUAAAAJ&hl=en&oi=ao">supply chain management researcher</a>, I follow developments in retail logistics. Let’s take a closer look inside the black box of product returns.</p>
<h2>Returns start with miles of transportation</h2>
<p>So, you repackaged your unwanted shirt and the electric toothbrush and drove them to UPS, which has an agreement with Amazon for free returns. Now what?</p>
<p>UPS transports those items to the retailer’s warehouses <a href="https://www.mwpvl.com/html/amazon_com.html">dedicated to processing returns</a>. This step of the process costs the retailer money – <a href="https://www.cbre.com/insights/viewpoints/reverse-logistics-tis-the-stressful-season-for-holiday-gift-returns">66% of the cost</a> of a $50 item by one estimate – and emits carbon dioxide as trucks and planes carry items hundreds of miles. The plastic, paper or cardboard from the return package becomes waste.</p>
<figure class="align-center ">
<img alt="Two semi trucks with UPS logos drive down a highway toward the camera." src="https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=426&fit=crop&dpr=1 600w, https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=426&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=426&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=535&fit=crop&dpr=1 754w, https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=535&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/531476/original/file-20230612-254009-kbegb9.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=535&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Returns can travel hundreds of miles in going from the customer’s hands to a return center, sometimes back to the manufacture, and then going back into inventory for resale.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/trucks-drive-by-the-scene-where-a-cargo-plane-was-searched-news-photo/106351058">William Thomas Cain/Getty Images</a></span>
</figcaption>
</figure>
<p>Processing a return takes <a href="https://www.shopify.com/enterprise/reverse-logistics">two to three times longer</a> than initially shipping the item – it has to be unpacked, inspected, repacked and rerouted. That adds more to the cost to the company, especially in a tight labor market. Workers have to manually unpack the items, inspect them and, based on the return reason, decide what will happen next.</p>
<h2>Restocking and reselling means more miles</h2>
<p>If a warehouse worker decides the shirt in our example can be resold, the shirt will be repackaged and sent to another warehouse.</p>
<p>Once another consumer orders the shirt, it will be ready to be packed and shipped.</p>
<figure class="align-center ">
<img alt="Two young men stand beside a conveyor belt with boxes on it. Several more belts just like it are behind them." src="https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=375&fit=crop&dpr=1 600w, https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=375&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=375&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=471&fit=crop&dpr=1 754w, https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=471&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/531477/original/file-20230612-29-cia282.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=471&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Retail warehouses tend to be vast buildings of conveyor belts and stacks of products and packaging materials.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/trucks-drive-by-the-scene-where-a-cargo-plane-was-searched-news-photo/106351058">Johannes Eisele/AFP via Getty Images</a></span>
</figcaption>
</figure>
<p>In-store returns can significantly cut warehouse and transportation costs, but driving to a brick-and-mortar store might not be convenient for the consumer. Only <a href="https://nrf.com/research/2022-consumer-returns-retail-industry">about a quarter of online purchases</a> are returned in person to the store.</p>
<h2>Refurbishing, if repair costs less than the product</h2>
<p>If the item is defective, like the electric toothbrush in our example, the warehouse worker might send it back to the manufacturer for fixing and refurbishing. It would be repackaged and loaded on a truck and possibly a plane to be sent to the manufacturer, leading to more carbon dioxide emissions.</p>
<p>If the electric toothbrush can be repaired, the refurbished product is ready to be sold into the consumer market again – <a href="https://www.nytimes.com/wirecutter/money/buying-refurbished-products/">often at a lower price</a>. </p>
<p>Refurbishing returned products helps to achieve a closed-loop supply chain where products are reused rather than disposed of as waste, making the process more sustainable than buying a new item.</p>
<figure class="align-center ">
<img alt="Two men holding products and scanners stand at computer stations with large bins beside them and stacks of bins in the background." src="https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=383&fit=crop&dpr=1 600w, https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=383&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=383&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=481&fit=crop&dpr=1 754w, https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=481&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/531479/original/file-20230612-150540-abtui0.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=481&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Managing returns is more labor-intensive than fulfilling the original order, in part because it involves inspecting the item and then repackaging it.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/news-photo/workers-process-arriving-merchandise-in-amazon-logistics-news-photo/524305368">Horacio Villalobos/Corbis via Getty Images</a></span>
</figcaption>
</figure>
<p>Sometimes, however, repairs cost more than the product can be resold for. When it is more expensive to restock or refurbish a product, it may be cheaper for the retailer to throw the item away.</p>
<h2>Landfills are a common end for returns</h2>
<p>If the company can’t resell the shirt or refurbish the electric toothbrush economically, the outlook for these items is grim. Some are <a href="https://www.cnbc.com/2022/01/28/amazon-returns-what-really-happens-to-them.html">sold in bulk</a> to discount stores. Often, returned products simply end up in landfills, sometimes overseas.</p>
<p>In 2019, about <a href="https://info.optoro.com/hubfs/Optoro%202019%20Impact%20Report.pdf">5 billion pounds of waste</a> from returns were sent to landfills, according to an estimate by the return technology platform Optoro. By 2022, the estimated waste had nearly doubled to <a href="https://4771362.fs1.hubspotusercontent-na1.net/hubfs/4771362/2022%20Impact%20Report/Optoro_2022%20Impact%20Report.pdf">about 9.5 billion pounds</a>.</p>
<h2>Era of free returns might not last</h2>
<p>In the past, customers who wanted to return items by mail were often expected to do so on their own dime. That changed after Amazon began offering free returns and providing easy-to-use drop-off locations at UPS or Kohl’s stores. Other retailers followed suit to compete, with many seeing free returns as a <a href="https://info.optoro.com/report-the-anatomy-of-returns">way to keep shoppers coming back</a>.</p>
<p>But that pendulum may be <a href="https://www.cbsnews.com/miami/news/retailers-cracking-down-online-returns-charging-fees/">starting to swing back</a>. The percentage of retailers charging to ship returns increased from <a href="https://corp.narvar.com/resources/2022-returns-policy-benchmark">33% to 41% in 2022</a>. </p>
<p>Retailers are trying several other techniques to lower the return rate, waste and losses, which ultimately come back to consumers in the form of higher prices. </p>
<p>Some retailers have shortened the return window, limited frequented returns or stopped offering free returns. Other strategies include <a href="https://doi.org/10.1177/00222437231154871">virtual dressing rooms</a> and clearer fitting guides, which can help reduce clothing returns, as can high-quality photos and videos that reflect size and color accurately. If consumers use those tools and pay attention to sizing, they can help cut down on retail’s growing climate footprint.</p><img src="https://counter.theconversation.com/content/206551/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Simone Peinkofer does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Returns are becoming a costly sustainability problem for retailers and the planet. A supply chain expert explains.Simone Peinkofer, Assistant Professor of Supply Chain Management, Michigan State UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2048732023-05-19T12:40:40Z2023-05-19T12:40:40ZTalking puppy or finger puppet? 5 tips for buying baby toys that support healthy development<figure><img src="https://images.theconversation.com/files/525990/original/file-20230512-25-2f6227.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Tech toys may claim to be educational – but those claims often aren't backed by science. </span> <span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/photo/cute-little-boy-playing-with-a-railroad-train-toy-royalty-free-image/1281267794">boonchai wedmakawand/Moment Collection/Getty Images</a></span></figcaption></figure><p>Picking out a baby toy – whether it’s for your own child or a friend’s kid or the child of a family member – can be overwhelming. Although Americans spend <a href="https://www.statista.com/outlook/dmo/ecommerce/toys-hobby-diy/toys-baby/united-states">US$20 billion</a> a year on baby toys, it’s difficult to know which toy will be fun, educational and developmentally appropriate. The options seem endless, with search results at common retail sites in the hundreds, if not thousands. Is price a reliable indicator of quality? Are technological enhancements useful? </p>
<p>Our <a href="https://www.museumofplay.org/app/uploads/2023/04/15-1-Article-2-Transforming-Toybox.pdf">peer-reviewed study</a> – published in the American Journal of Play in April 2023 – surveyed the toy market for babies and toddlers age 0-2 at two major U.S. national retailers, with an eye toward differences between battery-powered toys, like the <a href="https://store.leapfrog.com/en-us/store/p/speak-learn-puppy/_/A-prod80-610100">LeapFrog Speak and Learn Puppy</a>, and traditional toys, such as the <a href="https://www.homefurniturelife.com/shop/magic-years-jungle-animals-finger-puppets-4-pc-set/">Magic Years Jungle Finger Puppet</a>. </p>
<p>We found significant differences between these two toy types in terms of how they’re marketed – with more traditional toys marketed as supporting physical development and more technological toys aimed at cognitive development. However, these companies do not always have researchers investigating whether the toys actually help children learn.</p>
<p>As <a href="https://scholar.google.com/citations?hl=en&user=KhghzJQAAAAJ&view_op=list_works&sortby=pubdate">researchers who study toys</a> and <a href="https://scholar.google.com/citations?user=5KTeq2UAAAAJ&hl=en">how children learn and play</a>, we offer five tips before you buy your next baby toy.</p>
<h2>1. Consider your goal</h2>
<p>When purchasing a toy, consider whether you have any particular developmental goal in mind. For instance, do you want your baby to develop fine motor skills by playing with a <a href="https://reachformontessori.com/busy-boards/">busy board</a>, or to <a href="https://doi.org/10.1111/mono.12280">practice spatial skills</a> by building a block tower? </p>
<h2>2. Look for open-ended toys</h2>
<p>Many parents and caregivers know that children often <a href="https://theconversation.com/when-kids-like-the-box-more-than-the-toy-the-benefits-of-playing-with-everyday-objects-202301">love playing with the box</a> more than the toy inside it. One reason is that boxes are open-ended toys – they can become anything a young child dreams up. Conversely, a toy cellphone directs the type of play much more rigidly. </p>
<p>A good rule of thumb is to choose toys that require <a href="https://www.brookings.edu/blog/education-plus-development/2018/12/10/the-science-of-toys-a-guide-for-the-perplexed-shopper/">90% activity from the child and only about 10% input from the toy</a>. For example, infants can explore a set of realistic miniature animals sensorially – usually by putting them in their mouths – and then later use them for pretend play, or even to create animal footprints in play dough. Contrast this experience with a large plastic elephant that needs to sit on the floor and lights up and makes elephant sounds. Here, a child is limited in play, with the goal being to make the object light up or play a sound. </p>
<figure class="align-center ">
<img alt="Father and young son play together with toy cars" src="https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/526565/original/file-20230516-27-epnrbq.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Parents tend to talk to kids more when they play together with traditional toys versus tech toys.</span>
<span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/photo/cute-little-african-kid-son-playing-toy-cars-with-royalty-free-image/1158481693">iStock / Getty Images Plus</a></span>
</figcaption>
</figure>
<h2>3. Recognize gender biases</h2>
<p>Several major retailers have <a href="https://www.latimes.com/business/la-fi-target-gender-labeling-20150810-story.html">removed gender-based toy sections</a> over the past decade, opting for “kids” instead of “boys” and “girls.” </p>
<p>However, if you enter the store of one of those major toy retailers today, you will still find some aisles filled with pink toys and dolls, while other aisles feature monster trucks and primary-colored blocks. A toy sword might not be labeled as “for boys,” yet shoppers often perceive it that way based on <a href="https://doi.org/10.1007/s11199-017-0858-4">their own gender socialization and beliefs</a>. If you look only in certain aisles or at stereotypical toys, you might miss out on toys that your child would enjoy regardless of gender. </p>
<h2>4. Be wary of marketing claims</h2>
<p>The makers of tech toys often make claims about their educational potential that are not backed by science. For example, an electronic shape sorter might claim to help children develop emotional skills because the toy says “I love you!” </p>
<p>Be skeptical of such claims, and use your own experience and insights to evaluate the educational potential of a toy. You might read the retailer and manufacturer descriptions, but also see what the toy actually does. If it fosters caregiver-child interactions or helps to develop a specific skill – like how building blocks support spatial skills, and finger puppets build fine motor skills – then it is likely a toy worth considering. </p>
<h2>5. Prioritize human interactions</h2>
<p>Keep in mind that toys are not chiefly designed to create baby geniuses – they are meant to be fun! So think broadly about whether you want a new toy to support physical, social, emotional, cognitive or creative development while keeping it fun. And remember that no toy can replace <a href="https://doi.org/10.1111/infa.12378">joyful, high-quality interactions</a> between caregivers and children.</p>
<p>Research suggests that <a href="https://doi.org/10.1542/peds.2018-3348">caregivers are less responsive and communicative</a> when playing with tech toys versus traditional toys with their children. So choosing traditional toys, such as nonelectronic shape sorters and building blocks, may be one way to foster the types of interactions that support healthy development.</p>
<p>Overall, research suggests that, in most cases, traditional toys provide <a href="https://www.doi.org/10.1542/peds.2018-3348">better interactions and experiences</a> than technological toys. When purchasing a toy, think through the experiences you want the baby in your life to have, think broadly about the goals of a particular toy, try to provide opportunities for <a href="https://doi.org/10.3389/fpsyg.2018.01124">high-quality interactions</a> and remember to have fun.</p><img src="https://counter.theconversation.com/content/204873/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Jennifer M. Zosh has consulted for the Lego Group. </span></em></p><p class="fine-print"><em><span>Brenna Hassinger-Das does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Two experts on children’s play explain why you should be skeptical of toys that are advertised as being educational, and what to look for instead.Brenna Hassinger-Das, Assistant Professor of Psychology, Pace University Jennifer M. Zosh, Professor of Human Development and Family Studies, Penn StateLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2044812023-04-27T13:15:58Z2023-04-27T13:15:58Z10 years after the Rana Plaza collapse, fashion has yet to slow down<p>This week marks at once the <a href="https://www.fashionrevolution.org/frw-2023/">annual campaign of the Fashion Revolution</a> and the <a href="https://theconversation.com/rana-plaza-ten-years-after-the-bangladesh-factory-collapse-we-are-no-closer-to-fixing-modern-slavery-203774">10th anniversary of the tragic collapse of the Rana Plaza garment factory building</a>. The event, which <a href="https://www.reuters.com/article/bangladesh-disaster-ranaplaza/feature-a-decade-after-rana-plaza-bangladesh-garment-workers-fight-on-idINL8N36O4IR">killed over 1,100 garment workers and injured two thousand more</a>, sparked a global debate at the time about the true cost of the fast fashion industry. Everyday brands such as Benetton, Mango, Zara, Walmart, and C&A <a href="https://ww.fashionnetwork.com/news/Rana-plaza-ten-years-later-has-the-fashion-industry-learned-its-lesson-,1506162.html">were revealed</a> to have resorted to factories inside of the faulty eight-story building, setting many on a racetrack to reclaim their ethical and environmental credentials since. </p>
<h2>The fashion industry, ten years on from the disaster</h2>
<p>But ten years on, has anything changed? There is widespread agreement to the contrary. In fact, it would appear the pace in the fashion industry has accelerated. This is evident from the rise of ultra-fast fashion retailers like Shein, which carries the fast paced logic of the field to extremes by adding <a href="https://www.wired.com/story/fast-cheap-out-of-control-inside-rise-of-shein/">several thousand new items per day</a>. In this regard, no one can deny it is important we have a public conversation about the toll fast fashion is taking on people and the environment. However, too often that conversation ends with individual responsibility and customers’ “<a href="https://edition.cnn.com/style/article/rana-plaza-garment-worker-rights-accord/index.html">hunger for cheap clothing</a>.” The chorus is now a familiar one, as civil society calls on consumers to stop buying fast fashion and those who still do struggle with <a href="https://www.nytimes.com/2022/05/20/fashion/fast-fashion-sustainable-clothing.html">feelings of guilt</a>. As marketing scholars specialised in <a href="https://em-lyon.com/en/verena-gruber/research">sustainable consumption</a> and <a href="https://www.hec.ca/en/profs/marie-agnes.parmentier.html">fashion</a>, we argue that it is misguided to focus on consumer responsibility to solve systemic issues that seem <a href="https://www.theatlantic.com/business/archive/2015/06/patagonia-labor-clothing-factory-exploitation/394658/">too large even for companies to address</a>. </p>
<p>Indeed, studies show focusing on consumers as scapegoats further <a href="https://www.sciencedirect.com/science/article/pii/S0148296322001928?casa_token=UFWlu3zOpjsAAAAA:g67306857pcmSwTKbDK3vMqCeUF1di8s_Z6-rErJH4HebWpGCn3ZLPxaFvfYQyw1vgU9OnNH">reinforces power imbalances</a> that exist in the industry, as the focus distracts from the financial and technical resources that powerful corporations possess. Rather than empowering consumers to solve the problem, the approach often leaves them feeling <a href="https://link.springer.com/article/10.1007/s10551-018-3795-4">demoralized</a>, in prey to shame and and <a href="https://academic.oup.com/jcr/advance-article-abstract/doi/10.1093/jcr/ucac037/6663865?redirectedFrom=fulltext">confusion</a> over the multitude of choices spread before their eyes. Started in early 2022, our ongoing research on slow fashion shows that there is a more beneficial way to move away from fast fashion. </p>
<h2>A closer look at consumers’ perspective</h2>
<p>Everyone needs clothes, but for consumers the choice of clothing has become a moral minefield. Consumers are held responsible for issues that they are not the architect of. Rather, we argue they are the victims of a system that glorifies outfit variety and makes exposure to fast fashion items unavoidable. Aggressive social media advertising keeps consumers <a href="https://www.theguardian.com/commentisfree/2022/apr/18/ultra-fast-fashion-retail-sites-shein">addicted</a> and influencer-generated content of <a href="https://greenisthenewblack.com/shein-ultra-fast-fashion-consumerism-tiktok-influencer/">#sheinhauls</a> further normalizes enormous volumes of disposable fashion. </p>
<p>Even when consumers try to step out of this treadmill, they often struggle to orientate themselves toward ethical options. The power relations in the fashion industry go in hand with an information asymmetry and consumers often have no possibility to know how and by whom their <a href="https://www.penguinrandomhouse.com/books/611479/unraveled-by-maxine-bedat/">clothes are made</a>. Initiatives such as the <a href="https://www.fashionrevolution.org/about/transparency/">Fashion Transparency Index</a>, which ranks fashion brands and retailers according to the information they disclose on their supply chain operations, are laudable but even when possessing all necessary information, consumers are still constrained by parameters outside their control, not least economic ones. </p>
<p>Indeed, fast fashion is often the only clothing affordable especially to younger consumers for whom <a href="https://www.bustle.com/articles/169800-why-freedom-to-experiment-with-fashion-as-a-teenager-is-so-important">expressing themselves with fashion</a> is an important part of their personal development. Rising inflation has made the financial accessibility of fast fashion clothes even more attractive. According to recent studies by customer research company Untold Insights, the majority of Generation Z and Millennials are <a href="https://hypebae.com/2023/4/gen-z-millennials-sustainable-fashion-cost-of-living-crisis-study-findings-details">unable to shop sustainably</a> as a result of the rising cost of living. Sustainable fashion is simply <a href="https://thewalrus.ca/teen-walrus-fast-fashion/">out of reach</a>. Even among those individuals privileged enough to afford fair fashion, turning to cheap clothes is perpetuated by psychological mechanisms, such as our ability to <a href="https://journals.sagepub.com/doi/10.1509/jmkr.2005.42.3.266">purposefully ignore</a> ethical product aspects to prevent potential negative feelings or to retrospectively <a href="https://theconversation.com/we-know-sweatshop-clothing-is-bad-and-buy-it-anyway-heres-how-your-brain-makes-excuses-192944">find arguments</a> that justify our decision. Last, social considerations such as the acceptability of <a href="https://www.vogue.com/article/confessions-of-an-outfit-repeater-rules-tiffany-haddish-kate-middleton">outfit repeating</a> and the <a href="https://www.refinery29.com/en-us/2022/11/11190896/plus-size-vintage-resale-shops">difficulty to find size-inclusive preloved clothing</a> have pushed some consumers to turn to fast fashion. </p>
<p>If the only accessible option is fast fashion, the problem at the base is the productive model and not the person who looks for a practical solution. So, what are the potential pathways left for consumers who care?</p>
<h2>Slow fashion tips from experts</h2>
<p>Rather than asking consumers to shop more ethically and guilt-tripping them over certain brands, our research shows slow fashion practices offer us the best chance to reboot our relationship with clothes. Our aim is to better understand how slow fashion practices empower individuals and help them gain a sense of control by decelerating the pace of their fashion consumption. To explore this, we are currently following 14 slow fashion consumers and observing their practices, from carefully picking fabrics and threads to patch their clothes to patiently rummaging clothing racks at thrift stores. </p>
<p>Slow fashion is about <a href="https://journals.sagepub.com/doi/full/10.1177/02761467221116294">mindfulness and attentiveness</a> and can help consumers “get out of the frenzy in which [they] are in,” as one of our interviewees puts it. To get started, consumers should turn to their wardrobes and look at what they already have. Then, they can explore practices that are ready-to-hand: If you wear mainstream sizes, organize a clothing swap party with friends or join one of the events organized via platforms such as <a href="https://www.meetup.com/topics/clothesswap/">Meetup</a>. </p>
<p>Clara, one of our interviewees, consider them a “fantastic way to satiate your appetite for something new.” Don’t hesitate to bring the fast fashion pieces that might be banned from resale sites such as <a href="https://www.vestiairecollective.com/journal/our-fight-against-fast-fashion/">Vestiaire Collective</a>. The longer clothes are kept in circulation, the better. If the clothes needs touching up, and you have the time to do so, repair them with guidance from online tutorials such as <a href="https://fixing.fashion/">#fixingfashion</a> or in one of the local workshops that have popped up across Europe. </p>
<p>Fancy making a statement? <a href="https://www.theguardian.com/lifeandstyle/2022/may/17/patch-me-if-you-can-how-to-mend-clothes-creatively">Visible mending</a> is a trend that allows to show your creativity while extending your clothes’ lives. Our research shows that the manual activity and process of craft allows consumers to regain a sense of control and empowerment in a system Lara, one of the slow fashion practitioners we spoke to, describes as “suffocating”. This week represents a great opportunity to explore slow fashion practices and do something for individual, collective, and planetary well-being.</p><img src="https://counter.theconversation.com/content/204481/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Les auteurs ne travaillent pas, ne conseillent pas, ne possèdent pas de parts, ne reçoivent pas de fonds d'une organisation qui pourrait tirer profit de cet article, et n'ont déclaré aucune autre affiliation que leur organisme de recherche.</span></em></p>Ten years after a garment factory collapsed in Bangladesh, scholars find slow fashion practices hold the keys to a more sustainable, joyful relationship with clothes.Verena Gruber, Associate Professor of Marketing, EM Lyon Business SchoolMarie-Agnes Parmentier, Professor of Marketing, HEC MontréalLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2038852023-04-25T20:44:40Z2023-04-25T20:44:40ZNew research reveals how a single consumer group has the power to influence product pricing<figure><img src="https://images.theconversation.com/files/522235/original/file-20230420-14-6zv0jr.jpg?ixlib=rb-1.1.0&rect=119%2C0%2C7821%2C5202&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">More and more consumers are engaging in showrooming, the practice of visiting brick-and-mortar retail stores to research a product before buying it elsewhere at a lower price.</span> <span class="attribution"><span class="source">(Shutterstock)</span></span></figcaption></figure><p>Have you ever gone to a store to try on shoes before going on to buy them elsewhere? Or had a salesperson talk you through the advantages of different models of printers before buying a cheaper version online? If so, you have engaged in “showrooming.”</p>
<p>Showrooming is the practice of visiting brick-and-mortar retail stores to research a product before buying it elsewhere at a lower price. It allows consumers to look and test out products before spending their money on them.</p>
<p>Showrooming, along with online shopping, has <a href="https://www.wsj.com/articles/SB10001424052702304587704577334370670243032">long been predicted to be a threat to retailers</a>. It’s easy to understand the concern — some have argued that showrooming is what led to the <a href="https://www.forbes.com/sites/greatspeculations/2015/05/08/what-could-radioshacks-bankruptcy-mean-for-best-buy/">demise of RadioShack and Circuit City</a>.</p>
<p>In addition, research has found that <a href="https://doi.org/10.1111/poms.12165">brick-and-mortar businesses do indeed suffer</a> from this type of consumer behaviour. Showrooming puts retailers under price pressure by intensifying competition and squeezing margins.</p>
<p>But this isn’t always the case. Recent years have seen stores that encourage showrooming, <a href="https://www.fool.com/investing/2019/03/19/call-it-reverse-showrooming-these-companies-are-ca.aspx">like Best Buy,</a> and companies like <a href="https://www.wsj.com/articles/amazon-retail-department-stores-11629330842">Amazon, that have invested in bricks-and-mortar stores,</a> to flourish. This suggests the reality of showrooming might be a little more complicated than initially thought.</p>
<h2>How consumers affect prices</h2>
<p>Our recent research dispels <a href="https://doi.org/10.1111/1756-2171.12305">the assumption that showrooming always drives prices down in retail</a>. Rather, <a href="https://doi.org/10.1287/mksc.2022.1376">our study found</a> the opposite can occur: showrooming can actually <em>increase</em> prices. </p>
<p>Our research took into account several different types of consumers. Some consumers were pickier than others and preferred to shop at stores with more product variety, while others engaged in showrooming. </p>
<p>Crucially, those who showroomed didn’t engage in price-comparison shopping — they did their research ahead of time and knew exactly what products and prices to seek out.</p>
<p>Some shoppers didn’t engage in showrooming because they felt guilty about buying a product elsewhere after a salesperson spent time marketing a product to them, or had no time to visit many different venues.</p>
<p>But other consumers were not-so-choosy and opted to shop at stores with less variety, with the intent of making a purchase, so long as they found a product that was a good enough fit. If they didn’t find an acceptable fit, they moved onto another store.</p>
<figure class="align-center ">
<img alt="A man trying on a pair of shoes in a shoe store." src="https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/521402/original/file-20230417-24-rgtpjv.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Customers that showroom don’t typically engage in price-comparison shopping.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p>Our research found that only this last kind of consumer — the not-so-choosy consumer who doesn’t showroom — was the key to determining prices. Their choices and behaviours determine product prices in any given sector.</p>
<p>The reason why showrooming can increase prices is because most consumers — including showroomers — do not compare prices. This leads stores to increase their prices (even just slightly) to make more profit.</p>
<h2>Stores and consumer behaviour</h2>
<p>Our research differs from past studies in a crucial way. Instead of assuming <a href="https://doi.org/10.1287/mnsc.2015.2384">there is only one kind of store</a> where consumers can discover how suitable a product is, our research accounted for three different types of stores. </p>
<p>The first type, known as deep stores, carry many varieties of products within a certain category. Best Buy, for example, carries many types of television to allow consumers to find the product that suits them best. Deep stores tend to charge higher prices because their shoppers are more likely to make a purchase. Picky consumers tend to shop here.</p>
<p>The second type, known as shallow stores, carry many different types of products, but fewer brands within each product category. Walmart and Costco are examples of shallow stores. These types of stores tend to have lower prices, and less picky consumers tend to shop there.</p>
<figure class="align-center ">
<img alt="A hand holding a credit card up while another hand navigates an online store on an open laptop." src="https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/522234/original/file-20230420-21-tpp99u.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Online shopping and consumer behaviours like showrooming have changed the way the retail industry works.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p>Lastly, online stores offer the widest variety of goods (and usually at the lowest prices), but don’t allow consumers to test out products. The mix of consumers at these three store types affects how retailers price their products by shaping the shopping experience.</p>
<h2>Broader implications</h2>
<p>As <a href="https://www.retailitinsights.com/doc/showrooming-a-threat-or-an-opportunity-0001">showrooming becomes more widespread</a> — and easier to do thanks to online shopping — prices across the retail industry could increase, depending on price sensitivities and the overall mix of different kinds of consumers. </p>
<p>Ultimately, the range of different kinds of stores determines how people shop. Consumers’ shopping patterns and behaviours, in turn, determine prices.</p>
<p>While the perceived threat of showrooming has led to strong policy proposals — like one minister in Spain that <a href="https://www.thelocal.es/20180920/spain-wants-to-charge-shoppers-for-trying-on-clothes">proposed retailers should charge shoppers for using changing rooms</a> — our study suggests the effects of showrooming are more subtle than initially thought.</p>
<p>Understanding showrooming requires thinking about the impact the practice has on consumer shopping patterns and how stores respond to them. Retailers, policymakers and observers should be wary of over-emphasizing the role showrooming plays in bringing down prices and changing the retail landscape.</p><img src="https://counter.theconversation.com/content/203885/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Heski Bar-Isaac has in the past few years received funding from SSHRC, the David and Sharon Johnston Centre for Corporate Governance Innovation at the Rotman School of Management, and the Fundacion BBVA. </span></em></p><p class="fine-print"><em><span>Sandro Shelegia receives funding from European Research Council, Spanish Ministry of Economy and Competitiveness, and BBVA Foundation.</span></em></p>Retail stores change the prices of their products based on the shopping habits of consumers. But consumers come in a variety of types, and not all of them influence prices equally.Heski Bar-Isaac, Distinguished Professor of Economics and Finance, University of TorontoSandro Shelegia, Associate Professor, Department of Economics and Business, Universitat Pompeu FabraLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2013392023-04-25T20:05:13Z2023-04-25T20:05:13ZA rise in self-service technologies may cause a decline in our sense of community<figure><img src="https://images.theconversation.com/files/519601/original/file-20230405-22-uf4pfb.jpg?ixlib=rb-1.1.0&rect=0%2C0%2C2500%2C1665&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Public-facing automation, like self-service kiosks, reduce the chances we have to interact with other people.</span> <span class="attribution"><span class="source">(Shutterstock)</span></span></figcaption></figure><p>Automation, once hidden behind closed doors in factories, is increasingly moving into public view. Customers can pay for groceries or clothing at a self-checkout machine, order fast food from a <a href="https://www.theguardian.com/business/2022/dec/23/mcdonalds-automated-workers-fort-worth-texas">touchscreen kiosk</a> or even pickup coffee from a “<a href="https://www.rccoffee.com/">robo-café</a>.”</p>
<p>These technologies, which substitute human contact for robot-based interactions, are examples of self-service technologies — innovative public-facing automation which “<a href="https://doi.org/10.5465/ame.2002.8951333">enable customers to perform entire services on their own without direct assistance from employees</a>.” </p>
<p>While self-service technologies have the potential to <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1590982">improve efficiency</a>, <a href="https://www.researchgate.net/profile/A-Zaidan/publication/46093547_Towards_Corrosion_Detection_System/links/549239a60cf2484a3f3e0b22/Towards-Corrosion-Detection-System.pdf#page=26">reduce costs</a> and <a href="https://doi.org/10.5465/ame.2002.8951333">improve user experience</a>, these technologies raise complex economic and political questions. </p>
<h2>Politics and exposure</h2>
<p>Much has been written from an economic perspective about whether automation will <a href="https://www.cnbc.com/2019/06/26/robots-could-take-over-20-million-jobs-by-2030-study-claims.html">eliminate jobs</a>, <a href="https://doi.org/10.1016/j.jmacro.2016.08.003">decrease wages</a>, <a href="https://doi.org/10.1257/pandp.20201003">contribute to job growth</a>, or “<a href="https://www.brookings.edu/blog/up-front/2022/01/19/understanding-the-impact-of-automation-on-workers-jobs-and-wages/">create as many jobs as it destroys over time</a>.” However, less attention has been given to thinking about how these technologies will affect our politics. </p>
<p>Whether these new technologies replace jobs, relegate existing positions to non-public facing roles or create new employment opportunities, they will result in us interacting with fewer people than we have historically. </p>
<p>Experiences with strangers can shape how we define our community and politics. If we no longer encounter cashiers or fast food employees, many of whom are <a href="https://www.cbc.ca/news/canada/hamilton/headlines/who-s-looking-out-for-tim-hortons-temporary-foreign-workers-1.1282019">temporary foreign workers</a>, will our beliefs about immigration policies or minimum wage change? What do bike couriers think about bike lanes? How does a dental office receptionist feel about universal dental care, or a corner store clerk about crime rates? </p>
<p>However fleeting, exposure to people outside of your own socio-demographic groups affect attitudes positively. Existing research demonstrates that “<a href="https://tedcantle.co.uk/wp-content/uploads/2013/03/107-Pettigrew-and-Tropp-Contact-meta-analysis-2006.pdf">actual face-to-face interaction…typically reduces intergroup prejudice</a>.”</p>
<p>Exposure effects are also related to how we position ourselves within the world when compared to others. For instance, a recent South African study showed that “willingness to sign a petition that calls for higher taxes on the wealthy <a href="https://doi.org/10.1038/s41586-020-2763-1">increases in the presence of a high-status car</a>.” Just seeing a BMW 3-series car near the petitioner made people more likely to favour wealth redistributive policies.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="a black luxury car in a parking spot" src="https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=450&fit=crop&dpr=1 600w, https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=450&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=450&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=566&fit=crop&dpr=1 754w, https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=566&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/519975/original/file-20230407-18-97k0d0.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=566&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">A study found that people were more likely to sign a petition that called for taxing the wealthy when they were in the presence of a luxury car.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<p>Another study shows that being the victim of a crime increases political participation: “Rather than becoming withdrawn or disempowered, <a href="https://doi.org/10.1017/S0003055412000299">crime victims tend to become more engaged in civic and political life</a>.” </p>
<p>We shape our politics based, at least partially, on what and who we have been exposed to. </p>
<h2>Identity and social interaction</h2>
<p>We build our sense of civic identity and opinions about government through social interactions. Political scientist Robert D. Putnam, who has studied civic engagement since the 1960s, <a href="http://bowlingalone.com/">argues Americans are less engaged in politics</a> than they used to be and are more isolated, spending less time with friends, family and neighbours.</p>
<p>Our social capital — which Putnam defines as the <a href="https://www.socialcapitalresearch.com/putnam-on-social-capital-democratic-or-civic-perspective/">overarching belief about society that facilitates co-operation</a> — diminishes when we lose opportunities to engage with people outside of our regular social networks. </p>
<p>This decline in social capital can be traced to changes in work and society more generally. Society, in other words, is becoming increasingly individualistic.</p>
<p>Public-facing automation may further diminish our social capital by decreasing our interactions with other people. As we pay for parking at parking machines, rent bowling shoes and lanes through an app, or order food from touchscreen kiosks, we interact less with the people who work these jobs.</p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="a robot in a red waiter uniform brings a plate to a customer in a cafe" src="https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/519976/original/file-20230407-28-pxuhcm.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">The future of dining out? The Gran Caffé Rappallo in Italy uses robots to serve customers.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
</figcaption>
</figure>
<h2>Exacerbates inequality</h2>
<p>The impact of public-facing automation on social inequality also requires further study. Self-service technologies, particularly in the food services industry, may exacerbate social inequalities by limiting job opportunities for certain groups, such as those with <a href="https://news.mit.edu/2020/study-inks-automation-inequality-0506">different educational backgrounds</a> or <a href="https://sites.law.berkeley.edu/thenetwork/2022/01/26/how-artificial-intelligence-impacts-marginalized-communities/">already-marginalized communities</a>. </p>
<p>As public-facing automation shifts workers away from public view, wages which reflect <a href="https://www.mckinsey.com/featured-insights/future-of-work/jobs-lost-jobs-gained-what-the-future-of-work-will-mean-for-jobs-skills-and-wages">professional skill and customer service expectations</a> may disappear. In the grocery industry, for instance, we may see a widening pay gap between technicians hired to upkeep self-checkout machines and the employees hired to stock shelves.</p>
<p>The effects of increasing public-facing automation may not be well understood for years. In the meantime, as we seek to better understand the intersection between technology and society, we should ask: how will our sense of community and our political preferences change when we interact less with the people who work the jobs that self-service technologies replace?</p><img src="https://counter.theconversation.com/content/201339/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Blake Lee-Whiting receives funding from the Policy, Elections, and Representation Lab at the Munk School of Global Affairs and Public Policy located at the University of Toronto. </span></em></p>Self-service technologies — like self-checkouts or government service kiosks — are decreasing interactions with other people. This may affect our politics and sense of community.Blake Lee-Whiting, PhD Candidate, Interim Managing Director at PEARL, University of TorontoLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2015372023-04-25T12:26:49Z2023-04-25T12:26:49ZSocial media scatters your brain, and then you buy stuff you don’t need<figure><img src="https://images.theconversation.com/files/522347/original/file-20230421-23-r10g8g.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Do you really need another water bottle, or is your brain just tired?</span> <span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/photo/men-use-smartphones-to-social-media-on-vacation-at-royalty-free-image/1363610830">Teera Konakan/Moment Collection/Getty Images</a></span></figcaption></figure><p><em>The <a href="https://theconversation.com/us/topics/research-brief-83231">Research Brief</a> is a short take about interesting academic work.</em> </p>
<h2>The big idea</h2>
<p>Social media can be mentally draining. And when mentally drained, you are more likely to be influenced by a high number of likes on posts – even to the point of clicking on ads for products you don’t need or want – according to our recent experiments on <a href="https://doi.org/10.1080/15252019.2022.2144780">how social media affects behavior</a>.</p>
<p>As a professor of advertising, I have studied <a href="https://scholar.google.com/citations?user=cXqXHpsAAAAJ&hl=en">social media behavior for years</a>. In late 2022, my colleague <a href="https://scholar.google.com/citations?user=GqkucpQAAAAJ&hl=en&oi=ao">Eric Haley</a> and I conducted three online studies on Americans aged 18-65 to test how people under various mental loads respond to ads differently. </p>
<p>The control group in each study was given no introductory task – we just had them look at an ad. A second group had to memorize a nine-digit number and then look at the ad. The third group scrolled through their Instagram feed for 30 seconds and then looked at the ad. The first study used an ad for a meal prep service, the second was for ice cream and the third was for coffee beans.</p>
<p>The ad photo and caption were the same for everyone in each group, with only the number of likes manipulated. Participants randomly saw an ad with a few hundred likes or tens of thousands of likes. After viewing the ad, each participant rated how willing they would be to buy the product, and how much mental effort it took to think about the information. The group that used Instagram first were the most likely to want to buy the featured product when there were lots of likes or comments, and they also reported using the most mental effort to assess the ad. </p>
<p>In one study we asked people to explain why they wanted to buy a product, and those in the control group gave simple, rational answers for their choice: “I was thinking of the ice cream flavors and how they would taste.” Or, “I like the ad. It is simple and clean. It gets straight to the point …” </p>
<p>However, those who had just scrolled social media for 30 seconds often gave answers that made no sense. For example, some gave one-word answers like “food” or “plate.” Others explicitly told us it was difficult to process: “It had too many words and options in the picture.”</p>
<h2>Why it matters</h2>
<p>Researchers refer to this mentally exhausted state as “<a href="https://doi.org/10.1007/s11251-009-9110-0">cognitive overload</a>.” Using social media puts you in this state because you are constantly evaluating different types of text, photo and video posts from so many different people. In the span of several seconds you can see a text from your spouse, a photo from a co-worker, a video from a celebrity and a meme from your brother. All of this scrolling and evaluating leaves us feeling frazzled and scattered.</p>
<p>Imagine asking your roommate if they want to go get pizza. Under normal conditions, the roommate might consider several factors such as cost, hunger, timing or their schedule. Now imagine asking your roommate the same question while they are on the phone with a sick relative after having stepped in dog poop and they also just got a text from their ex while remembering they were late for work. They no longer have the mental energy or resources to logically consider whether pizza for dinner is a good idea. They might just yell “Yeah, sure!” while running inside to clean their shoes.</p>
<p>The one exception to this is when a person has a lot of experience, history or knowledge with the particular product or idea. When this is the case, they are able to think about whether they will actually benefit from buying the advertised item. We confirmed this in the experiment with the ad for coffee beans. In general, coffee lovers will carefully consider many factors – type of bean, roast level, country of origin and more. So even when these people were in a mental fog, they were not persuaded by ads with high metrics. </p>
<p>By understanding how they might be influenced by social media in unconscious ways, consumers can be more thoughtful and deliberate in regulating their use – and hopefully not buy yet another water bottle they don’t need.</p>
<h2>What still isn’t known</h2>
<p>We don’t yet know which social media platforms are the most draining. </p>
<p>Media-rich environments like TikTok, Instagram Reels and YouTube are presumably the most mentally taxing because they have text, photos, videos, animations and sound – often all at once and overlapping. These platforms are also <a href="https://www.businessofapps.com/data/social-app-market/">where advertisers spend a lot of money</a>, as they offer a <a href="https://sproutsocial.com/insights/social-media-statistics/">high return on investment</a> for brands.</p><img src="https://counter.theconversation.com/content/201537/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Matthew Pittman does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Scrolling TikTok or Instagram causes mental fatigue, which can lead people to purchase items based on how many ‘likes’ an ad has instead of how much value the product will bring them.Matthew Pittman, Assistant Professor of Advertising and Public Relations, University of TennesseeLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/2003082023-02-21T18:11:54Z2023-02-21T18:11:54ZUK shoppers are choosing bricks over clicks right now, but here’s why it isn’t the end for online retail<figure><img src="https://images.theconversation.com/files/511205/original/file-20230220-18-56d1sa.jpg?ixlib=rb-1.1.0&rect=121%2C74%2C4338%2C2889&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Shoppers have been returning to physical stores in recent months.</span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/young-teenager-pretty-girl-looking-clothes-180658181">SergeBertasiusPhotography/Shutterstock</a></span></figcaption></figure><p>British retail sales figures showed an unexpected bump in activity over the Christmas shopping period that <a href="https://theconversation.com/cost-of-living-crisis-why-its-been-a-happy-new-year-for-uk-retailers-keeping-up-with-changing-shopping-trends-197585">exceeded expectations</a> – particularly given the current UK cost of living crisis.</p>
<p>But beneath the headlines of positive sales in recent months, it was more surprising to see physical stores performing markedly better than online shops. Many multi-channel retailers, including <a href="https://internetretailing.net/industry/next-reports-better-than-expected-christmas-sales-driven-by-a-return-to-stores/">Next</a> and <a href="https://www.theretailbulletin.com/fashion/seasalt-trading-boosted-by-christmas-but-wary-of-tough-months-ahead-06-01-2023/">Seasalt</a>, said their physical stores outstripped online sales, while online retailers such as <a href="https://www.marketingweek.com/asos-sales-slow-down-over-christmas/">Asos</a> and <a href="https://www.reuters.com/business/retail-consumer/online-retailer-boohoo-sales-drop-11-christmas-period-2023-01-19/">Boohoo</a> experienced poor Christmas trading. Revenues for online grocery firm Ocado fell by 3.8% in 2022 <a href="https://www.theguardian.com/business/2023/jan/17/ocado-record-christmas-sales-buying-fewer-items">despite record Christmas trading</a>.</p>
<p>Even online retail giant Amazon was <a href="https://www.retail-insight-network.com/comment/amazon-uk-sales-growth-sinks/">less successful</a> in the UK last year. Accounting for exchange rate fluctuations, Amazon’s sales figures suggested positive growth of 5.2% in sterling terms in 2022, but this was its lowest-ever annual growth rate in the UK.</p>
<p>The Christmas bonus for UK bricks and mortar shops was influenced by two issues. In addition to being the first “normal” Christmas since 2019 – shops were open with no lockdowns or restrictions – a wave of <a href="https://www.standard.co.uk/news/uk/royal-mail-postal-strikes-december-2022-christmas-b1028678.html">postal strikes in November and December 2022</a> made online deliveries less predictable. And while <a href="https://www.independent.co.uk/travel/news-and-advice/tssa-train-strike-today-december-b2252387.html">rail strikes</a> may have affected travel to some physical stores at the same time, local retail areas may still have benefited from concerns that online purchases might not make it under the tree by Christmas day.</p>
<h2>The future of bricks versus clicks</h2>
<p>The finance director of Primark, <a href="https://theconversation.com/fashion-retailer-primark-is-refusing-to-sell-online-heres-why-it-is-right-to-do-so-153511">a resolute hold-out against online retail</a>, believes <a href="https://www.retail-week.com/fashion/primark-boss-time-to-change-the-narrative-about-online-sales-growth/7043060.article?">online retail will not continue to grow rapidly</a>, as it has done in recent years, and that it now looks “mature”. After years of record online sales growth stoking fears for the future of British high streets, the tide seems to be turning for British shopping patterns.</p>
<p>The most recent <a href="https://www.ons.gov.uk/businessindustryandtrade/retailindustry/bulletins/retailsales/january2023">retail sales figures</a> from the Office for National Statistics show a plateauing of online retail sales over the past 12 months.</p>
<p><strong>Internet sales as a percentage of retail sales</strong></p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=236&fit=crop&dpr=1 600w, https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=236&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=236&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=296&fit=crop&dpr=1 754w, https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=296&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/511162/original/file-20230220-24-ks37hk.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=296&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Internet sales as a percentage of total retail sales from November 2006 to January 2023 (ratio, %).</span>
<span class="attribution"><a class="source" href="https://www.ons.gov.uk/businessindustryandtrade/retailindustry/timeseries/j4mc/drsi">Office for National Statistics</a></span>
</figcaption>
</figure>
<p>There are four main reasons for this flattening of online shopping figures.</p>
<p><strong>1. Online retail reaching a peak</strong></p>
<p>The current slowdown follows years of rapid growth, suggesting that online shopping has reached a peak, although this does not mean it will fall back rapidly any time soon. British online shopping figures have been higher than that of many other countries for much of the past decade. And British people continue to shop online <a href="https://www.statista.com/statistics/281241/online-share-of-retail-trade-in-european-countries/">a lot more than</a> consumers in many other countries.</p>
<p><strong>2. Annual shopping trends continue</strong></p>
<p>An important component of the annual retail cycle is the peak in November and December each year. Black Friday is <a href="https://theconversation.com/black-friday-in-britain-where-it-all-went-wrong-127967">no longer a single-day event</a> and Christmas remains a significant sales driver. British consumers clearly embrace online shopping during this key November and December sales period, although <a href="https://www.ons.gov.uk/businessindustryandtrade/retailindustry/bulletins/retailsales/december2019">the 2019 figures</a> (from just before COVID hit) suggested a reduction on previous years.</p>
<p><strong>3. COVID-era changes</strong></p>
<p>The scale of the <a href="https://www.economicsobservatory.com/how-coronavirus-affecting-uks-retail-sector">disruption from COVID</a> is obvious. As shops closed during lockdowns, online took up the strain and expanded rapidly. At its peak in January 2021, internet buying reached 37.8% of retail sales as the pandemic turbo-charged the online sector. </p>
<p>The web was a lifeline for many retailers and consumers during this period, providing businesses with another way to reach customers and continue operating, and providing a way for consumers to order goods amid general pandemic restrictions or if they had to shield. It is hard to imagine people completely stopping shopping online.</p>
<p><strong>4. Meeting expectations</strong></p>
<p>Finally, the online sector proportion of retail sales fell as we came out of out of lockdown, but this was expected. As the chart above shows, it is 26.6% as of January 2023, some 30% off its peak, but also above the long-term trend. </p>
<p>The recent figures in this series, along with more general signs, do hint at further change, however. The UK E-commerce trade association, imrg, predicts <a href="https://www.imrg.org/blog/and-a-happy-new-year-are-good-tidings-in-store-for-2023/">a declining online ecommerce sector</a> in 2023. Consumers, despite cost of living and strikes, seem to want to return to the shops – and online retailing is not immune to cost pressures either.</p>
<figure class="align-center ">
<img alt="calculator and cart in shopping online concept" src="https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=402&fit=crop&dpr=1 600w, https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=402&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=402&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=505&fit=crop&dpr=1 754w, https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=505&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/511202/original/file-20230220-26-6tct9f.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=505&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Calculating the cost of shopping online versus in a shop.</span>
<span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/calculator-cart-shopping-online-concept-720088921?src=41thXWb_Xup_R2hRRDcvrA-1-53">issaro prakalung/Shutterstock</a></span>
</figcaption>
</figure>
<p>It would be absurd to say online retailing is in crisis – it still claims <a href="https://www.ons.gov.uk/businessindustryandtrade/retailindustry/timeseries/j4mc/drsi">a quarter of all retail sales</a>. Consumers are used to having access to it and can see its benefits. As a retail option it is here to stay. But perhaps UK retail is reaching a more settled level of online sales. Of course, this idea has been <a href="https://theconversation.com/online-shopping-why-its-unstoppable-growth-may-be-coming-to-an-end-118616">proposed many times</a> since Amazon launched its website in 1995 and online retail has continued to grow.</p>
<p>But just like everyone else during the current cost of living crisis, retailers with online offerings are trying to curtail their costs and exposures. If, as is claimed, <a href="https://www.thetimes.co.uk/article/online-returns-rose-to-1-in-3-items-last-year-say-retailers-lxcbvkj5n">one in three fashion items bought online are returned</a>, it is easy to question the financial and <a href="https://theconversation.com/fast-fashion-why-your-online-returns-may-end-up-in-landfill-and-what-can-be-done-about-it-188090">environmental sustainability</a> of the model. </p>
<p>Some retailers including Zara, Next and <a href="https://www.moss.co.uk/returns-policy#:%7E:text=goods%20to%20us.-,Return%20Courier%20Cost,-If%20you%20choose">Moss Bros</a>, <a href="https://www.chargedretail.co.uk/2022/05/31/parcelhero-weve-almost-reached-the-point-of-no-free-return/">have begun to charge for returns</a> to limit costs. Others are charging for subscription services, such as <a href="https://www.amazon.co.uk/Amazon-Relentless-Retailer-Continue-Revolutionize/dp/139860142X">Amazon</a> and <a href="https://www.dailyrecord.co.uk/lifestyle/tesco-announces-major-update-rapid-29234803">Tesco</a>, or bundling offerings together to create an enhanced deal for consumers. The sector is taking a hard look at what works and at what cost and return on investment.</p>
<p>Consumers are also <a href="https://theconversation.com/shopping-the-cost-of-living-crisis-is-hitting-people-urgently-and-directly-retail-expert-qanda-185801">concerned about what they are spending</a>. Working out the costs, impact and convenience of travelling versus online buying, on top of the actual price of the products, is important when money is tight. But different consumers will come up with different results depending on their situation, product, price and charges.</p>
<p>Online shopping provides many benefits. But, even with <a href="https://www.bbc.co.uk/news/business-63807159">recent news</a> of <a href="https://www.retailgazette.co.uk/blog/2023/01/mco-redundancies-continue/">multiple corporate</a> closures and <a href="https://theconversation.com/how-made-com-went-from-a-pandemic-era-business-superstar-to-a-failed-company-in-just-18-months-194323">collapses</a>, it does seem that physical stores are enjoying a small renaissance as people rediscover the pleasure of shopping “in real life”.</p><img src="https://counter.theconversation.com/content/200308/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Leigh Sparks is Chair of Scotland's Towns Partnership</span></em></p>The rapid rise of online shopping is slowing but internet retail is here to stay.Leigh Sparks, Professor of Retail Studies and Deputy Principal, University of StirlingLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/1911492023-01-12T13:19:54Z2023-01-12T13:19:54ZConsumers often can’t detect fake reviews – and underestimate how many negative reviews might be fakes<figure><img src="https://images.theconversation.com/files/501162/original/file-20221214-14106-u73s9p.jpg?ixlib=rb-1.1.0&rect=42%2C8%2C5565%2C3724&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Fake reviews of products and services are rampant online – and are often hard to pick out from the real ones.</span> <span class="attribution"><a class="source" href="https://www.gettyimages.com/detail/photo/bad-rating-and-negative-reviews-concept-reputation-royalty-free-image/1271987935?phrase=online%20negative%20rating&adppopup=true">anyaberkut/iStock/Getty Images Plus via Getty Images</a></span></figcaption></figure><p><em>The <a href="https://theconversation.com/us/topics/research-brief-83231">Research Brief</a> is a short take about interesting academic work.</em></p>
<h2>The big idea</h2>
<p>Consumers who have a personality that scores high in terms of openness – such as being open to new adventures and intellectually curious – have better success at spotting fake reviews than other personality types, according to <a href="https://doi.org/10.1108/JCM-04-2021-4597">our recently published research</a>. Extroverted people, on the other hand, tend to have a harder time identifying a fake review. </p>
<p>To reach these conclusions, we compiled reviews from a unique data set of 1,600 Chicago hotel reviews, marked as either fake or real, that was compiled by artificial intelligence engineer and researcher <a href="https://myleott.com/">Myle Ott</a> and his team for peer-reviewed research they <a href="https://doi.org/10.48550/arXiv.1107.4557">published in 2011</a> and <a href="https://aclanthology.org/D13-1199/">2013</a>.</p>
<p>Ott and colleagues mined real reviews from travel review websites such as Tripadvisor, Hotels.com and Expedia, which have a reasonably small deception rate. They gathered fake reviews by using Amazon Mechanical Turk to recruit people to write fake hotel reviews that sounded truthful.</p>
<p>We then used <a href="https://www.pewresearch.org/internet/2016/07/11/what-is-mechanical-turk/">Amazon Mechanical Turk</a> to recruit 400 participants and asked them to imagine they needed to choose a hotel for a planned trip to Chicago. Each participant was assigned a hotel, read eight reviews about it, guessed at which ones were fake and explained why they seemed fake or real. The eight reviews were a balanced set of two positive fake, two positive real, two negative fake and two negative real, shown in a randomized order. </p>
<p>Participants then answered questions that allowed us to assess where they rank in terms of the <a href="https://www.thomas.co/resources/type/hr-guides/what-are-big-5-personality-traits">big five personality types</a>: extroversion, agreeableness, openness, conscientiousness and neuroticism.</p>
<p>Overall, we found that consumers generally trust negative reviews more than positive ones. In evaluating whether an online review is genuine, consumers frequently underestimate the number of negative reviews that can be fake, while assuming that some positive reviews might be fake. </p>
<p>When we asked our participants why they thought a negative review was trustworthy, we found that they didn’t fully take into account that the writer might be motivated to post the review out of a desire to harm the business – for example, hostile competitors or angry customers. </p>
<p>We also found that readability, length and content affected perceptions of the review. Study participants were more likely to trust positive reviews when the sentences were short, and more likely to trust negative reviews when the sentences were long. </p>
<p>Shorter negative reviews with less emotional content were also more believable. </p>
<p>And in terms of personality type, while participants scoring high on openness were best at spotting fake reviews, and those with more extroversion did the worst, it was only for positive reviews. All personality types did pretty poorly at weeding out fake negative reviews. </p>
<h2>Why it matters</h2>
<p>Consumers consider online reviews to be among the <a href="https://doi.org/10.17705/1jais.00305">most important sources of information</a> for making buying decisions. However, according to <a href="https://www.which.co.uk/news/article/thousands-of-fake-customer-reviews-found-on-popular-tech-categories-on-amazon-agk4L2H5c96L">a 2019 report by Which?</a>, the U.K.’s consumer champion organization, many of these reviews on popular websites such as Amazon are fakes.</p>
<p>But consumers <a href="https://journals.sagepub.com/doi/10.1207/s15327957pspr1003_2">are consistently bad at detecting</a> fake reviews in their buying decisions.</p>
<p>Our research could help consumers become more aware of how they respond to reviews, especially negative ones.</p>
<h2>What still isn’t known</h2>
<p>Our research has identified certain features in the length, wording and structure of online reviews, as well as consumer personality types, that lead consumers to trust online reviews. We still don’t know why these features convey trustworthiness to consumers or why they differ for positive versus negative reviews.</p><img src="https://counter.theconversation.com/content/191149/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Shabnam Azimi is an assistant professor of marketing, Quinlan School of Business, Loyola University of Chicago.</span></em></p>Online reviews have a big impact on buying decisions – but how can shoppers sort the real ones from the fakes?Shabnam Azimi, Assistant Professor, Loyola University ChicagoLicensed as Creative Commons – attribution, no derivatives.