What do you think is better for a company? For a customer to purchase once from them or for a customer to purchase multiple times from them, preferably on a regular basis?
You guessed it. Subscriptions are any companies’ dream come true. Unless everyone cancels in the same day, they can safely assume the amount of money they are going to receive in any given month or year.
While this is good for companies, it is bad for you as a consumer…
As more and more news can be found for free online, newspapers are suffering because people are canceling their subscriptions. Or at least they are choosing the cheaper subscription options.
Newspaper subscribers found out that they can get there same needs satisfied for cheaper elsewhere, you might be able to as well…
Your goal today is to think about what subscriptions you have, and whether you can make them cheaper or eliminate them.
Here are some subscriptions you might want to think about:
1. Change or eliminate your cell phone plan. There is always a cheaper cell phone plan. There are even pre-pay plans that keep you under a certain amount each month (i.e. $10). With Skype, Google Voice, and the many other internet calling companies out there you may be even able to eliminate your phone costs entirely.
2. Newspapers, Magazines, Book Clubs, Music Clubs, etc.
3. Cable TV or Satellite? Do you really need it?
4. Fitness Clubs, gym memberships, etc.
5. Financial service memberships, banking fees, credit card fees for yearly membership. Are you aware that you are paying for these?
6. Movie subscriptions such as Netflix, Blockbuster, etc.
7. House related subscriptions such as garbage service, lawn cutting, etc. Are you aware of cheaper options?
You can choose to eliminate any of these subscriptions if you aren’t using them or don’t really need them, or you can take the time to search around for a cheaper better option. In either case, this is a great area to look at so you can improve your personal finance situation.
This is our 2nd challenge in The Personal Finance Challenge Series…