Saturday, March 10, 2012

Paid Stuff May Not Be Useful and Cheap

I just feel like want to respond to an article titled “Free Stuff May Not Be Free” by Azizi Ali that I read few weeks ago in the local Personal Money magazine published in Feb 2012. He is a writer, speaker and coach on money matters and a lot of useful personal finance tips have been given by him either his seminars or his books. In fact, I learn a lot from him!

Let’s see what are my responses for some of of key summary messages by him in that article:

Azizi Ali: I’ve learnt in life is that free things can be expensive!

[My Comment]: I’ve learnt in life that paid things can be even more expensive as well! You pay but you get nothing and you also waste your time.


Azizi Ali: Most things that are free will cost you a lot in non-monetary term.

[My Comment]: Is this true? I found that it happens to most thing that are NOT free too. In fact, I think the chances of paid stuff costs even more is higher because you pay both monetary and non-monetary term!


Azizi Ali: Free things are almost always not convenient. You get second-rate treatment when you get things for free.

[My Comment]: Maybe true but this is an opportunity cost that we’re talking about and the most important thing is it is vary from one to another. E.g. Not convenient but it gives you lower opportunity cost than you pay, you may still want to go for free things!


Azizi Ali: By willing to pay, you get to choose the best (people, place, gadgets and environment), get to choose the time and place, and can be in control and get far better treatment.

[My Comment]: Best people? May not be. A lot of best people doing free stuff! or maybe I should say the other way round. A lot of worst people doing paid stuff too and if you pay them, you will get cheated by them!

Best place, gadgets and environment? Yes, most likely but it won’t be cheap. Get to choose the time and place? Yes, I agree too but for “BEST” time and “BEST” place, you will have to pay more. Can be in control and get far better treatment? Yes, sure as long as you can pay. Again this is all about opportunity cost.




What do you think?

Free stuff may not be free but paid stuff may not be useful and cheap as well. From my point of view, you should always try to get the free stuff first if possible. There are a lot of useful free stuff out there. The question is whether you can make those free stuff become the useful one? A smart person usually can do that. If you can’t (doesn’t mean you’re stupid by the way), then probably you can start to consider paid stuff. Also, everything is about opportunity cost if you want to get a paid stuff. E.g. For this amount of payment, is it worth? 

What is your comment? Do you think paid stuff are usually good one or the other way round?

15 Comments:

Michael Tsen said...

FREE + Useful = GREAT !
PAID + Useful = OK.
FREE + Useless = Next !
PAID + Useless = !@#$%^&*

ChampDog said...

Yes, nice one. I agree with it and the precedence.

Doable Finance said...

I agree with Azizi. With paid stuff you know what you are getting into. With free you might not know and that makes it expensive.

ChampDog said...

Yes, in a way especially you know exactly what you pay for. Some of us may not know what we pay for and that is not good.

LCF Personal Finance said...

I can think of Air Asia 0 fare tickets now - for that price, you got to contend with the overcrowded LCCT and flight delays, if you are unfortunate.

ChampDog said...

Overcrowded is because of everyone goes for it? Flight delay, I"m not sure that has anything to do with $0 fare. Non $0 fare will have the same possibility of flight delay I think.

Alvin Lim said...

it all depends on how they market the product. some free stuff don't come at a price. they really just want u to experience it and spread words for them.

on the other hand, some free stuff make you do tonnes of stuff in order to get it. eg, airasia.

i believe, as long as you know what you are paying for is well worth the money, then go for it. maybe that is why well established companies (u know u wll b getting what you want) charge more than others

ChampDog said...

For services, usually you can tell the differences between paid one and free one. How about seminar or some speaker talk? Do the paid seminar usually worth the money or the other way round?

I always go for paid seminar with the sponsor from my company. I have never used my own money to attend any paid seminar before. :D

kampunginvestor said...

I always tell this to my friends in a general way..

Cheap Things Don't Come Good, Good Things Don't Come Cheap! ^^

investment in farmland said...

Azizi Ali: Most things that are free will cost you a lot in non-monetary term.---Absolutely correct. Nothing in, nothing out! You might get a free room, but what's the point if you have to take a three hour tour while they try to sell you a bloody timeshare.

kampunginvestor said...

Just a general comment. Good things don't come cheap and cheap things don't come good. Just my 2 cents. lolx..

Paid seminar generally will be better but is not definite.

ChampDog said...

Yes, it is just sometime when you paid so much but what you get doesn't seem to worth it but I guess that is very subjective too. Maybe undervalue is the key, just like how we invest in stock.

kampunginvestor said...

@Champdog : There is no right or wrong in such issue. All depends on individual.

SustainableSuzy said...

I completely agree that agree that free things should always be sought. Nowadays they purposefully manufacture products faulty with the assumption you'll just go buy it again. Even if you buy something expensive this is true, so I go often go for free or cheapest.

ChampDog said...

Cheap and reliable. :)


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