... because life's too short to do anything ALL the time . Creativity and positivity are my "hiraeth"

Friday, 19 February 2010

Value Added

Value. What is it?

relative worth, merit, or importance: the value of a college education; the value of a queen in chess.
monetary or material worth, as in commerce or trade: This piece of land has greatly increased in value.
the worth of something in terms of the amount of other things for which it can be exchanged or in terms of some medium ofexchange.
equivalent worth or return in money, material, services, etc.:to give value for value received.
estimated or assigned worth; valuation: a painting with a current value of $500,000.

A perceived worth, is what it is.

So how come things have a higher perceived value when they're in a shop?

What am I talking about? The value of articles is higher when they are still in the shop, the second you take them out of the door, they loose monetary value. We all new about the new car syndrome, how many hundreds of pounds does it cost you to drive off the forecourt?

On selling a bracelet I had years ago, the Mumatron took it into a leading gold retailer for valuation, looking at selling it for me. The Jeweler gave her an example of how the price of gold works, and it has stayed with me because it actually applies to everything.

If you spent £1000 in the most reputable Jewelers in town, walked out of their shop and immediately into the most reputable second hand goldsmith in town, he'd only be able to give you £300 for it. The value is diminished upon leaving the store from which it was purchased.

Think of buying something on ebay. Even if it's boxed and never been opened, it's value is only as good as someone is prepared to pay, approximately 25% less immediately, however, if you return it to the shop, it becomes worth it's full value again! It's insane!

So next time you're tempted by that massively over priced article of must-have shineyness, think to yourself "If I was to put this unused article on ebay today, how much would I get for it?" or "how much money am I prepared to part with just to take the article out of the shop?"

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