MONEY MANAGEMENT HOW TO MANAGE YOUR MONEY BETTER

Group 4: Annie Le. Jennifer Chang. Juliet Lam April 26th 2011. 8 AM

Design At The Edge

Problem

  Money Management   How to manage your money better

  Lose track of what and where money is spent

  Dependant on credit/debit cards

  Needs vs. Wants

  Forget the value of money & how much is spent

Problem Focus

Methodology Proposal

Target Market

  College students

  Young adults

  People who have a budget

Problem Focus

Methodology Proposal

Field Observation

Experiment: $40 A Week Challenge

Interview

Methodology

Problem Focus

Methodology Proposal

Cash vs. Credit Card

Field Observation

Problem Focus

Methodology Proposal

Field Observation

  Union Square, St. Marks, Korea Town

  Sat in different restaurants for 2 hours

  Observe method of payment

  Determine how conscious people are when using credit/debit cards

Problem Focus

Methodology Proposal

Field Observation Results Problem

Focus Methodology

Proposal

!"#

"$#

Cash Credit

St Marks K-Town

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$%#

Cash Credit Card

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$%#

Cash Credit Card

Union SquareSt. Marks Korea Town Union Square

Cash Credit Card

Union Square

Cash Credit Card

Union Square

Cash Credit/Debit Card

Field Observation Analysis

  Majority of people used credit cards vs. cash

  Some people automatically paid using card   Small pouch for only cards

  Cash only places: Some people came in and left due to lack of cash

Problem Focus

Methodology Proposal

“Can You Survive with only $40 A Week” Challenge

Experiment

Experiment

  See if people could get by the week with a tight budget, without having to change their lifestyle or starving themselves

  Observe how people manage the $40 budget   Physically

  Emotionally

  12 Participants

Problem Focus

Methodology Proposal

Experiment Results

  Video

Problem Focus

Methodology Proposal

Experiment Analysis

  Girls manage money better

  Unfortunate events; sickness

  Packing own lunch is a good strategy

  Different lifestyles; some eat more than others, stress and emotional factors

  Socializing with friends mostly translates to eating out; should find alternative ways to gather with friends

Problem Focus

Methodology Proposal

Perception of Money

Emotions

Quotes

Interview

Problem Focus

Methodology Proposal

Interview Questions

  Students

  Young adults

  How much do you spend a week?   What do you spend money on?   What is your perception of cash/

credit card   How does money play a role in

your life?   Do you prefer to use cash or

credit card more? Why?   Do you have a budget?   How did you learn it?

Who: Questions:

Interview Results

 Average $150  Food, transport, social activities, school

supplies  Need money for social activities

Cash

 “makes you understand the value of money more than credit cards.”

 “The best way of accounting for your money is to see it in front of you”

Credit Card

 “I prefer using debit cards, it’s a pain in the ass to always carry around cash. Feels more secure using a debit card.”

 “It's useful but I don't like how I don't see my cash physically being exchanged”

 “more convenient, but I don’t realize how much I spent”

Budget

 No…but I should. I don’t keep a budget because I am lazy”

 Girls try to keep a daily budget of how much they spend

Why guys don’t like to plan short term…

 “its too complicated”

 “too time consuming and a hassle to set up”

 “there’s too many steps”

Problem Focus

Methodology Proposal

Conclusion

  People are too dependant on credit/debit cards

  Girls were more successful in the challenge because they planned beforehand and had a strategy going into the challenge

  Even though people claim that they want to see their money physically exchanged, they prefer to use credit cards for convenience

  Guys prefer not to plan as it is too complicated and time consuming

Problem Focus

Methodology Proposal

Get college students and young adults

To be more aware of their spending habits and start to get in the routine of planning,

By offering a “money management” system in online banking and text messaging service.

Design Brief

Problem Focus

Methodology Proposal

Text Message Online Banking Money Management System

Design Solution

Problem Focus

Methodology Proposal

Text Message

• Receive a text message from your bank every time you use your credit card

• Make people aware of how much they are spending

• Constant reminder

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Problem Focus

Methodology Proposal

Online Banking Problem

Focus Methodology

Proposal

  “Money Management” option

  Set up own budget

  View history of spending – month/week

  Compare spending habits

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Problem Focus

Methodology Proposal

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0

50

100

150

200

Mon Tue Wed Thur Fri Sat Sun

Spent Amount Left

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Problem Focus

Methodology Proposal

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Type a budget...

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Problem Focus

Methodology Proposal

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Problem Focus

Methodology Proposal

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Sun 6/5/2011

Mon 6/6/2011

Tues 6/7/2011

Wed 6/8/2011

Thur 6/9/2011

Fri 6/10/2011

Sat 6/11/2011

0 38 75 113 150

Spent Budget Left

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Problem Focus

Methodology Proposal

Long Term Suggestions

  Focus marketing of “money management” service to male demographic, emphasizing:   Easy to use

  Simple to navigate around system

  Possibly apply system to more applications   Credit card machine

  Accessories

  iPhone application; able to swipe card on phone to see budget and spending history

Problem Focus

Methodology Proposal

Thank You