A Framework for Buying Stuff Wisely

A question I often ask myself when buying a new gadget, home accessory and other moderately expensive purchases is whether to go for the cheaper option or the more expensive one.

The answer isn't always straightforward, but I've found a good enough framework to make this decision without overthinking, which I'll share with you in this short post.

Let's start by:

Understanding the intention behind the purchase

The first question that comes to mind when buying an item is this:

Am I buying this to test the waters?

The answer to this question is how I decide the budget for the product.

For example, if I'm buying a gadget because it looks interesting but I'm unsure whether I'll seriously use it, I'll often opt for a low-priced product.

The benefit here is that this serves as a low-cost trial purchase.

If I don't end up using the product for long, I don't have a strong case of buyer's remorse because I haven't spent much on the purchase.

But if I do like the product and use it for a while, I could later survey high-end alternatives that might offer a better experience.

An example of this is when I bought an external keyboard for my MacBook.

I wanted to use my laptop in a desktop arrangement when at home, and I needed an external keyboard for the job.

Folks at my work suggested I get a mechanical keyboard to have a premium typing experience. But mechanical keyboards are expensive, and since I wasn't sure I was going to stick to this desktop setup, I opted for a less-expensive option.

The keyboard wasn't fancy, but it was good enough for regular use, and I stuck with that keyboard for a while.

Then, about a year or two later, I bought a more expensive mechanical keyboard, which I'm typing this blog post on.

You won't get the decision right every time, and sometimes, this approach might feel like a waste of money because you end up buying a tester product and then the actual one you wanted all along, but this question often guards us from wasting money on expensive impulse buys.

But even when our intentions are clear, a cheaper alternative often feels too good to ignore, especially in this age of fast fashion and use-and-throw culture.

Here's where:

Identifying the cost-per-use helps

When comparing two differently-priced options of a product, understanding their cost-per-use helps clear confusion, if you can afford both options.

A higher-priced quality product seems like a significant investment upfront, but that investment pays off if you're looking to use it long-term.

Let's understand this better with a story:

When the pandemic hit in 2020, and everyone moved to home offices, I started looking at chairs for my workspace.

After looking at a few, I decided to go for an AmazonBasics swivel chair that was quite inexpensive and looked like a good value for money.

And I got exactly what I paid for.

The chair was fine for a few months, and then it started showing signs of damage. Within a year, it became uncomfortable to sit on, and I developed severe back pain.

Soon after that, I stopped using it.

Then, in 2022, as I was setting up a filming studio for YouTube videos, I decided it was time I opted for a better chair.

This time, I upped my budget and opted for a higher-quality product that stung me a little when I paid for it, but it was worth the investment.

I've been using it every day for around three and a half years, and it's still nearly as good as the day it arrived.

In absolute figures, here are the cost-per-use of both options:

• AmazonBasics Chair (₹5,500): I used it six days a week for around a year, say 51 weeks. Therefore, the figure comes to around ₹17.97/use.
• Featherlite Chair (₹11,800): I'm still using it six days a week, for over three and a half years (~178 weeks). The figure is somewhere around ₹11.08/use and falling every day I keep using the chair.

Now, I have a hindsight benefit here, because I can compare the values long after I made the purchases and used the products.

But even during purchase, you can estimate a high-quality product to generally have a better cost-per-use than buying a cheaper alternative over and over again if you plan to use it for the long run.

So, here's:

The TL;DR

If I had to distil the framework I use in a single line, it would be this:

Invest in high-quality products if you intend to use them for a long time and can afford the price tag.

First, understand your intention and whether you're buying something for serious use. Then, adjust your budget accordingly.

And if you're looking to track these spends in a place that tells you your spending habits and helps you spend more consciously, try the Ducat app.