And why this should NOT be our perspective anymore

Caveat Emptor –fancy, right? I first heard the phrase when, as an anxious 8-year old, I had asked a family member what happens if (when) the car we just sold breaks down right after the purchaser drives away. “Caveat emptor….buyer beware,” was the answer. It was then explained to me that when buying and selling, it’s on the consumer to do their due diligence and make sure they’re getting a good product.

When the transaction is made between individuals, I’m onboard with this perspective. There’s social pressure in between individuals that makes it likely that both parties feel pressure to be honest and fair. Obviously this doesn’t always happen, but it’s much more likely between individuals than it is between an individual (you) and a company.

Unfortunately, very few of our transactions are between individuals. Anytime we increase the psychological distance (the feeling that you’re separated from something) between people or entities, social pressure goes away. That means both parties feel less pressured to be fair, transparent and honest.

What’s more, how can we do due diligence when we don’t have the time or information we need to thoroughly check out our purchases? Government agencies do have guidelines in place to help consumers make informed choices (e.g., calorie content on menu items), but as in a lot of cases, the government moves WAY slower than the market.

So how do we ‘beware’ when the deck is stacked against us? I have a few tips:

1. Take your time. It’s really easy to gloss over information or ignore your own feelings if you’re in a rush. Have you ever noticed how salespeople don’t want you to leave the store to ‘think about it’? Yes they want to make a sale, but they also know that ‘thinking about it’ means acknowledging some of the downsides. You don’t owe anyone a sale! You’re allowed to walk away.
2. Think about the consequences to the seller. This is a way of reducing psychological distance. If you buy something on a huge online marketplace from an unknown seller in another country, there’s almost no consequence for the seller if you’re unhappy (other than, maybe, your negative review). A local business, on the other hand, could face some reputational blowback if their local customers are unhappy.
3. Try to choose brands that show signs of trustworthiness. For example, transparency in pricing or manufacturing, seals of approval by 3^rd parties (like a book with a Pulitzer Prize), or generous policies for returns.

Generally speaking, brands exist to serve as an accountability tool. It’s supposed to signal something about the product or service you’re getting. With so many brands to choose from (and many of them unknown) it’s a lot for a consumer to navigate! I’ve been excited to see more conscientious brands offering transparency so the ‘emptor’ doesn’t have to ‘caveat’ quite so much.