Where Does Your Status in Life in Come From?

Liar Loan

Well-known member
I'm starting this thread as an offshoot of the "Frustrated with lack of retail" thread:http://www.talkirvine.com/index.php/topic,16323.msg332014.html#msg332014

We discussed how people will pay ludicrous sums of money for handbags covered in certain logos that, apparently, they think raises their status with others.

Today, I'm reading that many people also derive their status from which credit cards they can be seen paying with:
There are plenty of other more affordable premium credit cards, too, and issuers aren't shy about making overt appeals to aspirational snobbery, dubbing their cards with such regal titles as...[fill in the blank]

The cards illustrate the evolution of status-seeking in an era when consumer goods have become so cheap and plentiful that they have lost their cachet.

?Tastes have changed to become more experiential and less focused on physical goods," said Gary Leff, a travel blogger and frequent flyer expert from Austin. "A friend of mine used points from Starwood Hotels to have his wife take tennis lessons from Andre Agassi," Leff added. "He couldn't just call up Andre Agassi and arrange that."

The National Bureau of Economic Research issued a report last year concluding that the powerful social cachet of premier credit cards has a particular pull on insecure people. Such people, the report said, are prone to using metal cards in public even if they have better benefits from less-prestigious cards made from humble plastic.

"You definitely see a good portion of people who do not have that lifestyle and are trying to get it," said Robert Harrow, a New York-based product manager at ValuePenguin, an online credit card evaluation resource.
https://www.realclearinvestigations...erybody_pays_for_credit_card_high-flyers.html

Is anybody actually fooled by this? 

I mean, hey, I can afford to pay $450 for a credit card fee too, but that's not very impressive.  It's actually kind of stupid if you aren't getting anything in return.  Some people are getting something in return, but many are not, and just pay the fee to maintain their status as a 'Platinum' card holder.

In my experience, nobody that matters has ever been impressed, or was even curious about, which card I payed with.  The handful of times I've gotten comments, it has been from cashiers commenting on the one metal card that I have.  Is that who I'm supposed to be trying to impress here?  Cashiers? 

And the biggest reaction I've ever gotten was from a cashier while using a Chase Disney card that has a very eye appealing design, but is not in any way a prestige card.

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Disclosure:  I only use credit cards to acquire travel points/rewards.  People that pay interest on credit cards are suckers.
 
It's basically what the fashion and luxury goods industry are based upon. 

Does anyone really need a $10,000 purse or a $150K car?
 
I had 20 of my perfectly functional teeth cut and replaced with dental crowns back in 1997.  Amazingly they lasted this long and I'm looking to replace them this year.  21 years, only one crown (bottom K9) had the ceramic worn down.  If it wasn't for the receding gums I could've kept them longer.

People spend $3,000-$10,000 on braces to "fix" perfectly functional teeth.  My dental crown replacement will likely exceed $10,000.  Is it a necessity or vanity, like cosmetic surgery?

If we value physical appearance and spend tens of thousands of dollars on cosmetic work (or a "nicer car"), how do we point fingers at someone buying a $10,000 purse?
 
I get my status  by letting the person who attempts to pay the bill, pay the bill.

I am courteous though and I do say "thank you"

 
The prestige credit card business isn't that much of a money maker for the issuing banks. If anything its a function of intense competition and the margins on the business are lower than one might think.

The holy grail of prestige cards used to the Amex Black card. You had to spend $250k per year, along with a $2500 per year fee. Now you have aspirational prestige cards like the Chase Sapphire Reserve or Amex Platinum that cost $450 per year (reduced down significantly when you account for cash credits). The difference between an Amex Black and Amex Platinum is inconsequential to all but a handful of top jet-setting clients. So the issuers are in an arms race providing perks and benefits to cardholders and getting much less revenue in return. JPM reported a huge loss related to the CSR last year in the first quarter after it released the card. Huge fanfare but loss leader.
 
acpme said:
JPM reported a huge loss related to the CSR last year in the first quarter after it released the card. Huge fanfare but loss leader.

Yeah, they always say things like "we don't expect to be profitable until year 4", but by then, it's probably too late to hold anybody accountable.

Irvinecommuter said:
It's basically what the fashion and luxury goods industry are based upon. 

Does anyone really need a $10,000 purse or a $150K car?

I agree, but it seems that people fall for these marketing manipulations too easily.  It's all built on a lie, yet many seem all too willing to believe.
 
all materialistic purchases are about impressing others.  people don't buy overpriced things for themselves.

we can go deeper and ask why women wear makeup or men shave?  it's not for themselves, but for other people.

in the end, it's all about increasing your perceived value.  if i asked you who was more trustworthy - a shaggy homeless person or a clean shaven man in a nice suit, 10/10 you'd choose the man in the suit.  that's an extreme example, but if i whipped out a metal platinum card versus a plastic debit card at a business meeting, it's a small subliminal gesture that adds to that credibility chart.
 
"Status in life" ...  There's always people richer/smarter/more athletic/more attractive/more whatever.  So to me, trying to assign myself status relative to other people seems like a quick way to feel insecure.

I feel satisfied when I solve problems, do kind things for people I love, do kind things for strangers, notice something particularly special about a moment/experience, reflect on the many gifts life has given, endure something difficult that teaches me something...

The closer I believe I am to my personal potential, the better I feel about myself.  The more I think about material things, what I don't have, or what others have, the more empty I feel inside.
 
eyephone said:
Unless you live the minimal lifestyle than this thread means nothing.

The point is to question your assumptions.  Some percentage of the population is falling for the messages of marketers regarding their status in life.

iacrenter said:
Interesting article from The NY Times about AMEX?s struggle to appeal to Millennials. Bottom line, overt snobbery is out humbrag is in.

I haven't read it yet, but I'm assuming that snobbery is a tough sell to people that came of age during the Great Recession.
 
eyephone said:
Unless you live the minimal lifestyle than this thread means nothing.

I hope the Op practices what he preaches.
Drives a entry level car. (Gets him from a to b)
Designer shoes forget about it.
Eating out nope, cook at home.
New school year and the kid wants a new backpack. Forget about it, use the old one. It still works, but it?s dirty.


Bottom line don?t waste your money on things you like. (Is that right Op?)  ;)



 
Burn That Belly said:
eyephone said:
eyephone said:
Unless you live the minimal lifestyle than this thread means nothing.

I hope you the Op practices what he preaches.
Drives a entry level car. (Gets him from a to b)
Designer shoes forget about it.
Eating out nope, cook at home.
New school year and the kid wants a new backpack. Forget about it, use the old one. It still works, but it?s dirty.


Bottom line don?t waste your money on thinks you like. (Is that right Op?)  ;)

I think a typical Jansport backpack back in my days lasted a year to a year and a half. The seams near the shoulder strap starts ripping apart and the heavy textbook corners put a quarter-size hole at the bottom. Carrying 3-4 textbooks was no joke. No such thing as iPads then. Most state-of-the-art device at the time was the Moto Razr.  ;D If you had the 5190, you were already the shit.

51Vwb-6ZESL._SY355_.jpg

The Nokia was an equivalent as an iPhone back then.  :D

Now kids have roller bags.
 
eyephone said:
eyephone said:
Unless you live the minimal lifestyle than this thread means nothing.

I hope you the Op practices what he preaches.
Drives a entry level car. (Gets him from a to b)
Designer shoes forget about it.
Eating out nope, cook at home.
New school year and the kid wants a new backpack. Forget about it, use the old one. It still works, but it?s dirty.


Bottom line don?t waste your money on things you like. (Is that right Op?)  ;)

I didn't realize backpacks were now considered status symbols, but yes to most of those for me. 

I eat out for lunch a lot, so I guess I fail that test.

EDIT: This is probably difficult for you to understand.  If you are focused on the 4 things you listed because people might think of you a certain way, then that answers my question.
 
Liar Loan said:
eyephone said:
eyephone said:
Unless you live the minimal lifestyle than this thread means nothing.

I hope you the Op practices what he preaches.
Drives a entry level car. (Gets him from a to b)
Designer shoes forget about it.
Eating out nope, cook at home.
New school year and the kid wants a new backpack. Forget about it, use the old one. It still works, but it?s dirty.


Bottom line don?t waste your money on things you like. (Is that right Op?)  ;)

I didn't realize backpacks were now considered status symbols, but yes to most of those for me. 

I eat out for lunch a lot, so I guess I fail that test.

EDIT: This is probably difficult for you to understand.  If you are focused on the 4 things you listed because people might think of you a certain way, then that answers my question.

the real question is where do we draw the line of "ridiculousness" for "status symbols"?  is a $10,000 handbag ridiculous, but a $40,000 car is not?  is a private $30,000 per year tuition college ridiculous, but a $15,000 per year state school is not?  how about $800 iphone versus a $100 boost mobile phone?  all of these are status symbols, whether we want to admit it or not. 
 
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