It’s okay, it really is better to borrow sometimes and not buy — here’s when…
There is a major shift underway in the economy. Economists and analysts have given it different names: the “shift to thrift”, “peak stuff”, or the “experience economy”.
What it all means is that more and more people want to stop buying and start living. Instead, they are happy to borrow something when they need it.
Let’s look at a few quick facts before we move onto when it would be better to borrow something:
- Over 80% of people agree that sharing is both more affordable and more convenient
- 76% agree it is better for the environment
- 80% of people’s things are only used once a month
- The average US household has over 50 unused items worth over $3,000
- Britons have over $7 billion worth of unused household items
Combined with the recent decade of austerity and stagnant wages, it’s no wonder people’s preferences are undergoing radical change.
Maybe you’d like to be one of them? Well, here’s a quick and easy list of the top 5 scenarios when it’s better to borrow and not buy.
1. You’re only going to use it once
A car for 3 hours; a drill for 30 minutes; a book for the weekend; a widescreen TV for the big game; a playhouse for your young niece during a family visit; a DVD player to host movie night; a spare fold out bed for the extra guest staying the night…
There are so many more examples, and you no doubt have lots popping into your head right now. We all have countless instances where we just need something for a bit, not for life. In most cases we either give in and buy it or find a way to do without.
This doesn’t need to be the case any more. Now it is easier than ever to borrow something, searching your local neighbourhood, or wherever you happen to be, for the things you need.
2. You would use it rarely and it’s not worth it
A barbeque once every 2 weeks in summer; a jet ski every weekend in July; golf clubs 6 times a year; that fondue set you only use at Christmas…
These are the things we most often buy thinking that we’ll use them all the time, and then they sit in a cupboard or the garage barely touched, gathering dust. We all have them (for me, it’s an Xbox).
That’s why it’s better to borrow.
But get this, it comes with all sorts of extra benefits. For one, it saves on space — you no longer have to dedicate a whole room just for stuff you seldom use. For another, you don’t have to upgrade each year, paying even more money, just to get the latest model. Paying maintenance or insurance costs on big ticket items, or spending hours in traffic to get the thing you need from across town? No more.
3. You want to try it before you buy it
To see if your daughter likes the guitar; to decide between a PlayStation or an Xbox; to take tennis lessons without buying all the gear; to see if a Cuisinart really is for you…
Sometimes buying something is the right decision. But how do you know which model or type or brand to get? Sure, you can do research, check online reviews, maybe even try stuff in the store, but people’s tastes differ and it’s sometimes difficult to know whether to trust what you read on the Internet.
The best way to know if you like something before you buy it is to try it. By borrowing it, whether for a day, a week, or a month, you can really get a feel for it and decide if it’s what you want. If you don’t like it, borrow another type and see if that suits you better. Easy!
4. You need it now but don’t have the time or money to buy it
DJ decks for that set this Friday; a DLSR camera for photography class; a handbag to go with that outfit for an important work event; a pricey textbook for a finals course; a set of expensive tools for a job next week…
It’s not just students that are strapped for time or money. A lot of people have to carefully manage budgets and weigh their choices when purchasing. Sometimes, though, you really need that thing, whether it’s for study, work, or a family obligation.
That’s where borrowing it instead of buying can save you in a pinch. You don’t have to worry as much about the cost and can still meet your obligations — phew!
5. You want to do something special but don’t have what you need
That tent for two, those portable all-terrain speakers, this barbecue kit, and that cool box could all make for a great, affordable camping trip.
Or how about those parasols, that foldable table and set of chairs, these waterproof toys for the kids, and this stand up paddle board and you’ve got a memorable afternoon by the sea with your family and friends.
By borrowing things you can bundle your items together and create experiences that you might otherwise not have thought of doing because you don’t have the right stuff or it would be too expensive to get it all.
Now the only limit is your imagination. And it doesn’t just have to be big stuff. Borrow that candelabra, this fancy set of dishes and cutlery, and a string of fairy lights and you have a nice romantic evening at home for that special someone.
For us here at Daggle, we love all these reasons, but the one that gets us motivated the most is that people will be able to stop buying and start living. We live in a time when everything you need to know about the world is at your fingertips. We believe so should everything you need to go explore it.
So give it a go and try borrowing something. You never know what you’ll find or what memories you might make!
Sources & further reading:
‘Primer on the “Global Sharing Economy” in 20 Charts’, Zero Hedge, 2017 (summary of Bank of America report)
‘Hopping Aboard the Sharing Economy’, BCG, 2017
‘The Sharing Economy’, PwC, 2015
‘Americans have too many things and not enough money, study finds’, PR Newswire, 29 August 2016
‘Do you have ₤1,000 of clutter in your home? Study finds average household is sitting on unused items worth a small fortune’, Daily Mail, 19 March 2013
‘Average US household has over 50 unused items worth $3100 according to eBay/Nielsen survey’, Business Wire, 26 April 2007
‘Ten-year-olds have ₤7,000 worth of toys but play with just ₤330’, The Telegraph, 20 October 2010
‘Unused clothing worth ₤30bn, report finds’, The Guardian, 11 July 2012
‘Third of Brits have no spare cash after paying bills as households face fastest rise in living costs for three years’, The Sun, 25 April 2017
‘Gig work, online selling, and home sharing’, Pew Research Center, 17 November 2016
‘Household debt is dangerously close to 2008 levels’, CNN Money, 16 February 2017
‘Household debt, total, % of net disposable income’, OECD Data, 2015
