The human brain operates largely by using symbols. As we look around the world, we see the symbols are familiar with, and associate our own meanings to these symbols.
The whole concept of ‘branding’ is based on the human brain/symbol association. Clever marketing tactics associate wealth, success, attraction, style, suave and status to a brand label, and the public will pay any price to gain the symbolic items in order to be perceived as desirable and enviable by others.
But let’s look at the reality.
A $10,000 Chanel leather handbag, purchased by a secretary who earns $70k per year, lives in a suburban house in a suburban street, with her white collar working husband, has a mortgage, credit card and less than $50k in the bank.
Or a $10,000 Chanel leather handbag, purchased by a woman who lives in a 10 million dollar house on the water who is a majority shareholder with her Managing Director husband in a large national company which provides them with an annual income of $1.2M per year and their net assets are in excess of $20M.
The reality is, that while an ignorant observer may see both women in the street and perceive them both to be wealthy, the same bag, does not have the same meaning in both situations.
For the wealthy woman, the bag is a tiny symbol of her and her husband’s financial success. It matches her $150k car, her $25k earrings, her income, her home, her lifestyle. The bag is a symbol of the ‘truth’ and a genuine result of her and her husband’s success.
For the other woman, the bag is a lie. Motivated by the desire for wealth, and the desire for the envy and admiration of others. For this woman, buying the bag is an act of financial stupidity. It is unlikely she will ever be wealthy or financially successful, and this bag and the feeling of having other people ‘think’ she is wealthy, is her consolation prize.
Most people desire to be wealthy, to look wealthy, to have a luxury car, house, boat, and lifestyle. In fact, middle class ‘wanna-be’s’ are a HUGE target market for manufacturers of luxury cars, boats, jewelry etc. and the finance and leasing companies love it! Realistically, any suburban Joe Blow can buy a status symbol – pull up in his suburban driveway in a new BMW 650i Coupe and get the admiration of his friends and neighbors… But the Ooohs and Aaaahhhs better be worth it, because the reality is, that unless you’ve really made it and the status item is truly a symbol of your financial success, then it’s not a symbol of success at all, but a symbol of financial suicide and desire.
Now to back pedal. If you are hard working bloke (or girl) and you want a Harley and that’s your end dream, then by all means, go buy… park it in your garage, and take pride. Same goes for that sports car, boat or whatever. If that’s your end goal, buy up now. Interest rates are low. Take plenty of photos to show the grandkids how cool you were. Everyone has goals, and if yours is to feel shit hot walking down the street with a Chanel handbag then I’m all for you doing that. You do whatever makes you happy.
Everyone has a choice when setting goals. You can set a goal for a CIRCUMSTANCE or you can set a goal for a THING.
The difference is, if you set a goal for a thing, your circumstance doesn’t change (not for the better anyway). But setting a goal for a specific ‘circumstance’ enables you to be in the position to easily acquire the ‘things’ you desire. If you have a goal to earn $2M per year, then buying those ‘things’ will be the true symbols of your success.
It’s all about the 80/20 rule, 80% of people will always be paying for the other 20% – 10% on welfare, and 10% financially successful – yes, you, you with the flash car in the suburban driveway, and you carrying that Chanel bag to your ‘job’… you pay for that 20%. You are the ones paying for the truly wealthy people. They own the finance companies, the ‘brands’, the hotels, the investments. You work for them. They make the symbols. They run the world.
What’s your symbol?
Talk to Encompass now about setting goals for your future financial circumstances, using Property as the pathway for success.