Shopping © PDST Home Economics Advertising Why? To persuade consumers to buy a product /service Who? Used by manufacturers, retailers & service providers How? Advertising outlets: newspapers/magazines television/radio cinema/dvds buses/bus shelters/vans bill boards sporting events/concerts t-shirts/labels/carrier bags shop windows packets, leaflets, classified ads internet Function of advertising Introduce new products Increase sales To provide information Though it adds to the cost of products it reduces the cost to the public of TV, radio, concerts, festivals, sporting events, newspapers and magazines Effective Advertising Appeals to the consumer Entices the consumer to try a new/improved product or service Techniques/Language Adverts portray products in best possible way No faults pointed out Language designed to work on our emotions Advertising is designed around: love/romance humour/music glamour envy/social acceptance guilt colour fear/insecurity public figures Ads are about persuasion Think about the product don’t be misled Control of advertising Standards set to ensure consumers are not misled Some standards are legal some are voluntary Legal control: Consumer Information Act 1978 EU Misleading Advertising Directive Employment Equality Act Voluntary controls: Advertising Standards Authority of Ireland (ASAI) monitors ads to ensure they are legal, decent, honest and truthful Advantages and Disadvantages of Advertising Advantages: Gives information Provides employment Increases sales which improves economy Keeps down cost of concerts, magazines, TV etc… Disadvantages: Can mislead Increases price of product Causes dissatisfaction with ordinary life Encourages overspending Can reinforce stereotypes Can effect natural environment eg. billboards Marketing A business that specialises in making products sell Techniques include: Advertising Packaging Sales promotions (free gift) Public relations activities eg. product sponsoring a charity Market Research Carried out by market research companies using questionnaires to discover likes and dislikes of consumers This information is used to develop products and adverts etc. that appeal more to the target market Shopping Outlets Small independent shops e.g. often family run Supermarkets e.g. Supervalu Department stores e.g. Brown Thomas Chain Stores e.g. Dunnes Voluntary Chain Stores e.g. Mace, Spar Specialist Shops e.g. clothes, butcher, bakery Discount Store e.g. Argos Other Shopping Outlets Shopping Centres e.g. Blanchardstown Street market Mobile shop Vending Machine Auctions Mail order e.g. Family Album Doorstep selling Party Selling e.g. Tupperware Online Shopping e.g. amazon.com Changes in Shopping Self-service Expanding range of products Closure of local shops More chain stores Shopping centres Weekly shopping Few give credit Late night and Sunday shopping Online shopping Barcodes and Scanners Self checkout counters Self Service Advantages Quick, convenient Browse & select Goods well displayed Goods priced clearly Lower staff cost, less expensive Quick turnover, fresher goods Wide range of products Disadvantages Less personal More difficult for disabled and elderly Tempts impulse buying Queuing at checkout No credit given Shopping Guidelines Shop around, compare prices Use a list Do a weekly shop Avoid impulse buying Make use of sales and special offers Think of the environment , reusable bags, packaging, air miles, chemicals etc.. Paying for goods and services Method Advantages Disadvantages Cash Simple, cheapest Could lose the cash Debit Card (Laser) Can use over phone or internet Charge, can’t be used for small amounts Credit Card 28 days interest-free credit High interest rate if debt not cleared Cheque Useful for postal payments May involved bank charges Direct Debit Bills paid for you on time by the bank Charged by bank. Risk of too many direct debits Techniques used by shops to encourage spending Music, warmth, smells Attractive displays Products at checkout Luxuries at eye level, essentials lower down Essentials far away from checkout Heavy goods at entrance to get customers to take a trolley e.g. vegetables Associated items placed together eg.soft drinks/crisps Special offers, free samples, 2 for 3, buy 1 get 1 free etc.. Loss Leaders Reasons For Packaging Protects product from damage and contamination Convenience – transporting, storing , selling Carries information Preservation – vacuum pack, cans Marketing Protects consumers from dangerous products Characteristics needed in Packaging Materials Strong Hygienic Safe Easy to open Resealable Reusable, recyclable or biodegradable Forms of Packaging Paper: plain, cardboard, waxed, laminated (to make airtight and waterproof eg. milk carton) Plastic: bags, cling film, cartons, boxes, bottles Metal: tin cans, aluminium cans, aluminium foil trays, aluminium foil Glass: bottles or jars, plain or coloured glass Disadvantages of packaging products Adds to cost Can pollute environment esp if non-biodegradable Uses up non-renewable resources or natural resources eg. plastic (oil), paper (trees), metals Packaging can deceive Product may have to be bought in larger amounts than needed causing waste Labelling – why? To identify product To provide consumer information To sell the product Information on Labels Contents/ingredients Colour Net weight Number in packet Brand name Care/cleaning instructions Storage instructions Origin Instructions for use Quality/standard Safety warnings Date stamp Manufacturers name and Size address Food Labelling See textbook Date Stamp Use by: food must be eaten by this date used on food with shelf life of <6 weeks Sell By: same as above but allows for 2/3 days storage at home after date Best before: used on food with shelf life of 3-18months Why instructions? Labels often carry instructions for the storage/use/cooking/care/cleaning etc. of a product To use the product correctly To avoid waste For safety reasons To avoid damaging the product Pricing By law the price of products must be : displayed on the product or on the shelf or on a display near the product Unit Price = price per unit eg. per gram or kg or litre Foods sold loosely and weighed at time of purchase must have unit price displayed beside them Some prepacked foods eg. cheese have unit price per kilo on them In shops that use bar codes the unit price is displayed on the shelf along with the normal price Unit pricing makes it easier to compare prices Bar-codes Set of black lines and spaces printed on a product Read using a laser scanner at the checkout Every product has its own bar-code Advantages: Stock and sales accounted for Individual pricing not necessary , display price on shelf Detailed receipt giving product name & price Quicker at checkout