Finance Xpress

In this complete Wela app review, you’ll see how this intuitive financial software can help investors at every experience level manage their money better.

I’ve been using online personal finance software for the better part of a decade. First I used Mint and after a few years there, I migrated over to HelloWallet. Both provide an excellent view of my current financial situation but that’s about all they do. What if those programs were able to include advice as to how to actually improve my finances?

A company named Wela has decided to give it a shot, and below you’ll see our full Wela app review.

What Is Wela?

Wela postures itself to be the high-tech, forward-looking financial app that beginner investors can grow with. It drives this point home by allowing users to reach financial advisors via text, Twitter, FaceTime or phone. Wela works a little bit differently than all of the other financial apps and robo-advisors available today. This program combines the expertise of real financial advisors with artificial intelligence. It will create a personalized and friendly digital experience. For example, Wela will …

• Aggregates account information from over 19,000 financial institutions to keep you from having to remember passwords for accounts
• Delivers personal financial insights directly to your inbox
• Provides views of your total net worth at any time
• Provides financial planning tools for investments, college savings, retirement and more

The Wela app is free to download. Users can get as basic or as sophisticated as they want when using Wela. For instance, you can use it simply as a budgeting tool that allows you to see how money is coming in and going out every month. You can also use the high-tech nature of the app to actually compare your financial standing to your peers. And then work your way toward long-term goals for buying a home or retiring.

Meet Benjamin

Benjamin is Wela’s in-app digital advisor. Benjamin is there to run an analysis for you, set daily spending limits and deliver personal insights. This will help you reach your daily, weekly and monthly goals using a friendly dose of artificial intelligence. While it may seem gimmicky, this feature of the Wela app is actually pretty useful if you’re looking for a simple way to keep track of your spending and make small strides toward your larger financial goals on a daily basis. It also makes the process of taking charge of your finances seem fun.

What if you want to go beyond just tracking spending and budgeting for the future? Wela Strategies is the app’s fee-based extension. This service offers help with investment decisions that’s driven by real professionals. Wela’s investment arm offers some of the following perks:

• No minimums or fees up to your first $10,000 invested with Wela Strategies
• A personal financial planner to help with estate planning, tax planning and insurance planning
• Automatic rebalancing

Wela boasts a research-driven and easy-to-understand investment strategy that allows every investor to craft a personalized portfolio based on factors like risk tolerance, time, goals and expectations. The company really drives the point home that it is focused on helping investors create portfolios based on their current ages. Wela’s services are designed to grow and evolve with a person’s life stages.

Why Wela Works

The novelty of Wela is what makes it so appealing to beginner investors and millennials. It stands apart for intertwining algorithms and human knowledge to create a really impressive platform. The Benjamin feature is probably going to get people curious enough to download the Wela app and try it out. The fact that this is a low-commitment, easy-to-use tool for budgeting and getting a good starting point for managing finances makes it a smart option to download if you’re already looking for a free product like this.

It’s probably safe to assume that the cutting-edge and algorithm-heavy approach that Wela takes to providing customer service is what the future of digital financial management will look like. Should you download Wela? It probably won’t hurt to get in the habit of letting a friendly robot manage your finances as early as possible if you have many years of investing ahead of you.

Who knew the day would come when you could get solid financial advice from something that you download to your iTunes account? Busy, tech-savvy people who want to do some financial planning on the go will enjoy Wela.

• Download the Wela app for FREE today

Topics: Investing • tech

The post The Wela App: A Review appeared first on The Dough Roller.

via Finance Xpress

Posted by: Richie Bernardo

Love coffee? In honor of National Coffee Day on Sept. 29, WalletHub compiled a list of coffee retailers offering special discounts and other promotions to their customers during the holiday and other days of the week.

Some of the deals include a free medium cup of joe with the purchase of a medium or larger hot coffee at participating Dunkin' Donuts locations; one free any-size coffee at participating Krispy Kreme locations; and 20 percent off all pods and bagged coffee at Keurig.com. Find out exactly what specials are brewing at each store below.

 

National Coffee Day Deals, Freebies & Specials

Company	Special Deal*
	One free medium-sized hot coffee with purchase of a medium, large or extra-large Dunkin’ Donuts’ signature hot coffee at participating locations
	30% off purchases of $30 or more at http://ift.tt/1h7TFKX using promo code “COFFEEDAY”
	Sept. 29 – Oct. 1: One free any-size hot brewed or small iced premium blend
	Sept. 25 – 26: $1 off bakery item with purchase of a prepared beverage Sept. 27 – 28: BOGO after 2 p.m. on fall beverages (Honey Spiced Nirvana, Pumpkin Pie Latte and Vanilla Moon Cider)Sept. 29: $0.50 off brewed coffee Sept. 29 – Oct. 1: 20% off 1 pound of coffee beans
	25% off all coffee beans; one free drip coffee or tea with bean purchase; and 25% off all regular, nonsubscription bean purchases made at www.peets.com using promo code “COFFEEDAY17” (limit one per customer)
	50% off of all pour-over coffees
	One free bag of coffee (just pay shipping) when signing up for a new subscription using discount code “AtlasCoffeeDay17”
	Sept. 29 – Oct. 1: 20% off all pods and bagged coffee using discount code “CELEBRATE”
	Any-size fresh brewed coffee for $1 and $2 off 1 pound of coffee
	Sept. 29 – Oct. 1: One free any-size coffee for all current 7Rewards members Oct. 2 – 8: One free any-size coffee for joining 7Rewards
	Sept. 25 – 29: One free refill with the purchase of a 16-ounce collectors mug for $1.19 per visit at participating locations
	20% off everything — including such brands as Chock full o’Nuts, Hills Bros. Coffee, Hills Bros. Cappuccino, Kauai Coffee, and Segafredo Espresso and Coffee — at http://www.shopmzb.com
	Text “FREECOFFEE” to 64827 for one free any-size hot or iced coffee (deal also includes choice of tea, cappuccino or hot chocolate)
	One free modifier — freeze, extra flavor or extra shot — to a coffee drink
	50% off any-size hot or iced drip coffee
	Free any-size coffee
	Complimentary shot of espresso with coffee purchase

Unless otherwise specified, all deals, discounts, freebies and specials are available on National Coffee Day, Sept. 29.

from Wallet HubWallet Hub


via Finance Xpress

Posted by: Unknown

Source: WalletHub National Coffee Day Deals, Freebies & Specials

Company	Special Deal*
	One free medium-sized hot coffee with purchase of a medium, large or extra-large Dunkin’ Donuts’ signature hot coffee at participating locations
	30% off purchases of $30 or more at http://ift.tt/1h7TFKX using promo code “COFFEEDAY”
	Sept. 29 – Oct. 1: One free any-size hot brewed or small iced premium blend
	Sept. 25 – 26: $1 off bakery item with purchase of a prepared beverage Sept. 27 – 28: BOGO after 2 p.m. on fall beverages (Honey Spiced Nirvana, Pumpkin Pie Latte and Vanilla Moon Cider)Sept. 29: $0.50 off brewed coffee Sept. 29 – Oct. 1: 20% off 1 pound of coffee beans
	25% off all coffee beans; one free drip coffee or tea with bean purchase; and 25% off all regular, nonsubscription bean purchases made at www.peets.com using promo code “COFFEEDAY17” (limit one per customer)
	50% off of all pour-over coffees
	One free bag of coffee (just pay shipping) when signing up for a new subscription using discount code “AtlasCoffeeDay17”
	Sept. 29 – Oct. 1: 20% off all pods and bagged coffee using discount code “CELEBRATE”
	Any-size fresh brewed coffee for $1 and $2 off 1 pound of coffee
	Sept. 29 – Oct. 1: One free any-size coffee for all current 7Rewards members Oct. 2 – 8: One free any-size coffee for joining 7Rewards
	Sept. 25 – 29: One free refill with the purchase of a 16-ounce collectors mug for $1.19 per visit at participating locations
	20% off everything — including such brands as Chock full o’Nuts, Hills Bros. Coffee, Hills Bros. Cappuccino, Kauai Coffee, and Segafredo Espresso and Coffee — at http://www.shopmzb.com
	Text “FREECOFFEE” to 64827 for one free any-size hot or iced coffee (deal also includes choice of tea, cappuccino or hot chocolate)
	One free modifier — freeze, extra flavor or extra shot — to a coffee drink
	50% off any-size hot or iced drip coffee
	Free any-size coffee
	Complimentary shot of espresso with coffee purchase

from Wallet HubWallet Hub


via Finance Xpress

Posted by: Alina Comoreanu

How easy is it to find the right credit card online? Comparison tools and customer reviews make it as simple as possible. But the ways in which issuers present their credit card offers can complicate things. For example, they often use different language to describe the same feature or fee. They don’t always disclose certain limitations effectively enough, either. And that ultimately makes it harder for consumers to find the best credit cards for their needs.

To see just how serious of a problem this is, WalletHub evaluated online credit-card listings from the websites of the 10 largest banks and 10 largest credit unions. We then scored each issuer based on how effectively it conveys four types of information:

1. Rewards - Does the issuer’s product page clearly define — without reading the fine print — how to earn rewards and how much they are worth (e.g., are 50,000 miles worth a trip to Chicago or Greece)?
2. Annual Fee: - Is the annual fee clearly displayed, beyond pricing disclosures or fine print?
3. New-Purchase Financing Costs - Are the introductory and regular APRs for new purchases clear to the consumer – without having to reference pricing disclosures, fine print or a separate page?
4. Balance Transfer Costs - Are all relevant balance-transfer terms (introductory and regular APRs as well as the balance transfer fee) clear without referring to pricing disclosures, fine print or a different page?

You can find the complete results of WalletHub’s analysis below. This information will give you a sense of what to look for when comparing credit card offers and, hopefully, help you get a better deal.

Some of the cards listed on this page originate from our partners, but that did not impact our conclusions. Offers are accurate as of Sep 20, 2017.

1. Key Findings
2. Tips for Getting the Right Credit Card
3. Detailed Findings
4. Methodology

Key Findings

• Capital One, Bank of America, U.S. Bank, State Employees Credit Union, Boeing Employees Credit Union, Pentagon Federal Credit Union and Navy Federal Credit Union have the clearest overall credit-card applications. This marks the seventh consecutive year that Capital One has been among the most transparent.
• Wells Fargo (80.44%) and San Diego County Credit Union (88.00%) have the least clear credit-card applications.

 

 

• This year’s “most improved” award goes to Navy Federal, whose online credit card listings improved 18.03 percentage points relative to 2015, as a result of improvements in terms of new-purchase and balance-transfer financing clarity.

 

 

• Perhaps surprisingly, banks are just about as transparent with their credit-card applications as credit unions, which tend to have a more consumer-friendly reputation.

 

• The areas in which the most ambiguity remains – for big banks and credit unions alike – are unchanged from previous years: balance transfer fees and rewards redemption value.
• Overall, application transparency is now at the highest point since we began conducting this study in 2010 – having increased 15.69% since then.

Note: Credit unions were included for the first time in 2015

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Tips For Finding The Right Credit Card

Simply being aware of the types of information you should be looking for and the areas in which credit-card issuers are likely to be less than forthcoming will go a long way toward helping you make a sound credit-card decision and avoid costly hidden surprises. But there are other steps that you can take during your credit-card hunt to improve the results even more. You can find a handful of ideas below. For more, make sure to check out our complete guide to getting the right credit card.

• Determine Your Credit Standing: Credit card companies evaluate each applicant’s credit history and disposable income when making approval decisions. Together, this information tells them whether you can handle a new credit line and dictates the types of offers you’re eligible for.

  You can check your latest credit score for free on WalletHub – the only site that offers free daily updates.

• Compare Offers With A Purpose: People often get stuck trying to choose between a rewards credit card, a 0% credit card and a no annual fee credit card. If you find yourself in that situation, consider your credit standing as well as your spending and payment habits. More specifically, if you always pay your bills in full, rewards would be more appropriate than low interest rates, and vice versa. And if you don’t plan to use your card regularly or you don’t have good or excellent credit, then you should focus on finding a card with no annual fee.

  The point is that you should determine how you plan to use your credit card as well as what offers you’re eligible for prior to actually beginning your search for a specific product. This will enable you to better target your comparison efforts.

• Don’t Let Marketing Hype Sway You: A credit card offering a 0% promotional interest rate or bearing the logo of your favorite sports team might seem very appealing, but you can’t evaluate credit cards in a vacuum. You need to thoroughly compare product terms in order to find the best possible offer for your needs. If you’re in debt, a long 0% rate might be misleading, as membership fees, balance transfer fees, and regular interest rates can easily wind up eating away at your potential 0% savings.
• Don’t Apply En Masse: The purpose of comparing credit cards is to narrow your selections down to the offer or two with the best terms for your particular financial situation. This will enable you to minimize the odds that you’ll be declined and have to submit numerous applications within a short period of time, which is bad for your credit. A lot of people make the mistake of applying for a bunch of cards at once, thinking that they’ll eventually get approved for one. This type of lottery approach is the worst way to go about getting a new credit card.
• Remember That Secured Cards Are A Good Option: If your desire for a new credit card stems from a need to improve your credit standing, don’t overlook secured credit cards. In fact, you should apply for one if you don’t get approved after two unsuccessful applications for unsecured cards. Secured cards offer the closest thing you can get to guaranteed credit card approval because they require users to place a refundable security deposit that acts as their credit line and ensures that the issuer will get paid back for whatever you spend.

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Detailed Findings

  Below, you can find a breakdown of the points assigned to each card considered in this report. A maximum of 10 points was available in each category we evaluated, and final scores were then converted to a 100-point scale. Note: “N/A” indicates that a specific feature was not offered in the online application process at the time research for this study was conducted.

Banks

	Rewards	Annual Fee	Cost of Financing New Purchases	Balance Transfer Costs	Score
Maximum Points	10	10	10	10	100.0%
Quicksilver	10	10	10	10	100.0%
VentureOne	10	10	10	10	100.0%
Spark Miles	10	10	10	10	100.0%
Capital One Secured	N/A	10	10	10	100.0%
Capital One Platinum	N/A	10	10	10	100.0%
Capital One Overall Score	10	10	10	10	100.0%
BankAmericard Cash Rewards	10	10	10	10	100.0%
BankAmericard Credit Card	N/A	10	10	10	100.0%
Cash Rewards for Business	10	10	10	N/A	100.0%
BankAmericard Better Balance Rewards	10	10	10	10	100.0%
BankAmericard for Students	N/A	10	10	10	100.0%
Bank of America Overall Score	10	10	10	10	100.0%
1-2-3 Rewards	10	10	10	10	100.0%
FlexPerks Travel Rewards	10	10	10	10	100.0%
FlexPerks Business Edge Travel Rewards	10	10	10	10	100.0%
Visa Platinum	N/A	10	10	10	100.0%
U.S. Bank College Visa	N/A	10	10	10	100.0%
U.S. Bank Overall Score	10	10	10	10	100.0%
Chase Freedom	9.65	10	10	10	99.1%
Ink Business Plus	9.65	10	10	N/A	98.8%
Chase Sapphire Preferred	9.65	10	10	N/A	98.8%
Chase Slate	N/A	10	10	10	100.0%
Chase Overall Score	9.65	10	10	10	99.2%
Rewards American Express	8.2	10	10	10	95.5%
Preferred Cash Rewards	10	10	10	10	100.0%
Rate Advantage	N/A	10	10	10	100.0%
USAA Overall Score	9.1	10	10	10	98.4%
Discover IT	10	10	10	10	100.0%
Discover it Chrome for Students	10	10	10	6.4	91.0%
Discover Overall Score	10	10	10	8.2	95.5%
Barclaycard Rewards	10	10	10	10	100.0%
Barclaycard Ring	N/A	10	10	10	100.0%
Barclaycard Arrival	10	10	10	10	100.0%
Frontier Airlines	5.8	10	10	7.2	82.5%
Barclays Overall Score	8.6	10	10	9.3	95.3%
Citi ThankYou Preferred	5.5	10	10	10	88.8%
CitiBusiness Aadvantage Platinum Select	5.5	10	10	N/A	85.0%
Citi Double Cash	10	10	10	10	100.0%
Citi Diamond Preferred	N/A	10	10	10	100.0%
Citi Simplicity	N/A	10	10	10	100.0%
Citi Overall Score	7	10	10	10	94.7%
Blue Cash	10	10	10	6.4	91.0%
Platinum Delta Sky Miles	6.175	10	10	6.4	81.4%
Amex EveryDay	6.175	10	10	6.4	81.4%
SimplyCash Plus Business	10	10	10	N/A	100.0%
Blue Cash Preferred	9.575	10	10	6.4	89.9%
American Express Overall Score	8.385	10	10	6.4	88.2%
Wells Fargo Cash Wise	10	10	6	6.8	82.0%
Wells Fargo Rewards	6.175	10	6	6.8	72.4%
Wells Fargo Platinum	N/A	10	6	6.8	76.0%
Wells Fargo Business Platinum	N/A	10	10	N/A	100.0%
Wells Fargo Overall Score	8.0875	10	7	6.8	80.4%

Credit Unions

	Rewards	Annual Fee	Cost of Financing New Purchases	Balance Transfer Costs	Score
Maximum Points	10	10	10	10	100.0%
SECU's Visa Credit Card	N/A	10	10	10	100.0%
State Employees Score	N/A	10	10	10	100.0%
BECU VISA CREDIT CARD	N/A	10	10	10	100.0%
Boeing Employees Overall Score	N/A	10	10	10	100.0%
PenFed Promise Visa	N/A	10	10	10	100.0%
PenFed Gold Visa	N/A	10	10	10	100.0%
PenFed Defender Visa Signature	10	10	10	10	100.0%
PenFed Platinum Rewards Visa Signature	10	10	10	10	100.0%
Pentagon Federal Overall Score	10	10	10	10	100.0%
cashRewards	10	10	10	10	100.0%
GO REWARDS	10	10	10	10	100.0%
Platinum Credit Card	N/A	10	10	10	100.0%
Navy Federal Overall Score	10	10	10	10	100.0%
SchoolsFirst FCU School Employee	10	10	10	10	100.0%
Rewards Visa	7.2	10	10	10	93.0%
Share Secure	N/A	10	10	10	100.0%
Ispired	N/A	10	10	10	100.0%
SchoolsFirst F.C.U. Overall Score	8.6	10	10	10	98.0%
Visa Platinum	N/A	10	10	10	100.0%
Visa Platinum Rewards	6.85	10	10	10	92.1%
Alliant Credit Union Overall Score	6.85	10	10	10	95.5%
Star One Visa Signature Rewards Card	6.175	10	10	10	90.4%
Platinum Best Rate Card	N/A	10	10	10	100.0%
Visa Platinum Rewards Card	6.175	10	10	10	90.4%
Star One Overall Score	6.175	10	10	10	93.0%
Power Rewards MasterCard	6.175	10	10	10	90.4%
Power MasterCard	N/A	10	10	10	100.0%
Power Travel Rewards MasterCard	6.175	10	10	10	90.4%
Security Sevice Overall Score	6.175	10	10	10	93.0%
Platinum Rewards	10	10	6	8.4	86.0%
Platinum Rewards for Students	10	10	10	10	100.0%
Golden 1 Overall Score	10	10	8	9.2	93.0%
Visa Platinum Credit Card	10	10	10	5.2	88.0%
San Diego County Overall Score	10	10	10	5.2	88.0%

Scores and Ranks

	Score & Rank 2016	Score & Rank 2015	Score & Rank 2014	Score & Rank 2013	Score & Rank 2012	Score & Rank 2011	Score & Rank 2010	2015 vs. 2014 Change
Capital One	100.00%(1)	100.00%(1)	100.00%(1)	100.00%(1)	98.60%(1)	98.60%(1)	96.40%(1)	0.00%
Bank of America	100.00%(1)	100.00%(1)	98.93%(3)	99.29%(2)	87.10%(5)	97.90%(2)	95.00%(2)	0.00%
U.S. Bank	100.00%(1)	99.11%(3)	97.22%(4)	89.29%(6)	88.60%(3)	91.40%(4)	59.30%(10)	0.90%
Chase	99.19%(4)	93.69%(7)	91.24%(7)	87.14%(8)	86.40%(6)	87.10%(5)	87.90%(3)	5.87%
USAA	98.36%(5)	98.36%(4)	84.73%(9)	89.09%(7)	72.70%(9)	85.00%(7)	77.50%(9)	0.00%
Discover	95.50%(6)	95.50%(6)	95.50%(6)	92.50%(5)	87.50%(4)	82.50%(9)	82.50%(5)	0.00%
Barclays	95.33%(7)	85.74%(10)	76.32%(10)	73.33%(10)	62.00%(10)	0.00%(N/A)	0.00%(N/A)	11.19%
Citi	94.71%(8)	96.50%(5)	99.75%(2)	94.29%(4)	96.40%(2)	82.10%(10)	82.10%(6)	-1.86%
American Express	88.17%(9)	86.18%(9)	86.63%(8)	78.33%(9)	76.70%(8)	85.00%(7)	78.30%(8)	2.31%
Wells Fargo	80.44%(10)	93.31%(8)	96.03%(5)	97.00%(3)	85.50%(7)	91.80%(3)	81.40%(7)	-13.79%
Average Score All Banks	95.17%	94.84%	92.63%	90.03%	84.15%	89.04%	82.27%	0.46%
State Employees	100.00%(1)	100.00%(1)	N/A	N/A	N/A	N/A	N/A	N/A
Boeing Employees	100.00%(1)	100.00%(1)	N/A	N/A	N/A	N/A	N/A	N/A
Pentagon Federal	100.00%(1)	96.79%(3)	N/A	N/A	N/A	N/A	N/A	N/A
Navy Federal	100.00%(1)	84.73%(10)	N/A	N/A	N/A	N/A	N/A	N/A
SchoolsFirst F.C.U.	98.00%(5)	95.71%(4)	N/A	N/A	N/A	N/A	N/A	N/A
Alliant Credit Union	95.50%(6)	93.57%(5)	N/A	N/A	N/A	N/A	N/A	N/A
Star One	93.05%(7)	91.82%(7)	N/A	N/A	N/A	N/A	N/A	N/A
Security Sevice	93.05%(7)	91.23%(8)	N/A	N/A	N/A	N/A	N/A	N/A
Golden 1	93.00%(9)	93.00%(6)	N/A	N/A	N/A	N/A	N/A	N/A
San Diego County	88.00%(10)	88.00%(9)	N/A	N/A	N/A	N/A	N/A	N/A
Average Rank & Score All Credit Unions	96.06%	93.48%	N/A	N/A	N/A	N/A	N/A	N/A

Information accurate as of Sep. 2, 2016.

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Methodology

In order the evaluate the transparency of credit-card applications, we visited the websites of the 10 largest credit card issuers as well as the 10 largest credit unions and subjectively evaluated how clearly key credit-card information is presented. Issuers were assigned points for each card based on the visibility of account terms on the page, particularly whether a user would have to click to a new page or read fine print in order to ascertain important pricing information.

We isolated a few key components of a credit card agreement that consumers should definitely be aware of before applying for a credit card. This includes introductory and regular APRs for purchase and balance transfers as well as balance transfer and annual fees, and rewards earning and redemption rates. Ideally, an applicant should not be able to begin filling out an application without first being apprised of this information.

When possible, we evaluated up to five cards for each issuer, with the ideal combination of two rewards credit cards, two non-rewards credit cards and one business rewards card. The cards received scores on a scale of 1 to 10 — based on prominence of information, with 10 being most prominent — in the following categories:

Rewards – 10 points maximum:

• Clarity on earning process – 2 points maximum
• Clarity on earning cap – 1.5 points maximum
• Clarity on signing up – 1.5 points maximum
• Clarity on rewards currency value – 4 points maximum
• Clarity on minimum needed to redeem – 0.5 points maximum
• Clarity on type of rewards currency earned – 0.5 points maximum

Annual Fee – 10 points maximumCost of Financing New Purchases (intro APR, intro term and regular APR, where applicable) – 10 points maximumBalance Transfer Costs – 10 points maximum:

• Clarity on APR for balance transfer (intro APR, intro term and regular APR, where applicable) – 4 points maximum
• Clarity on fee for balance transfer – 4 points maximum
• Proximity of balance-transfer fee to the first reference of balance transfer APR – 2 points maximum

Prominence was scored according to the following standards:

• 100% of available points: Information on the categories of interest was prominently shown (i.e. visible when scanning the page) either on the summary or the landing page. In other words, applicants would likely come across the key information without actively looking for it. Clearly labeled tabs within the landing page are considered part of the landing page.
• 60% of available points: Information can be found by clicking on a prominent link on the landing page, and the page to which it directs clearly displays the needed information. If the information is not clearly evident to someone just scanning the page or additional clicks are needed, then 30%.
• 30% of available points: Information can be found in the footnotes of the page or in fine print (e.g. initial summary table), and there is an obvious visual cue pointing to that section. If there is no visual cue or an applicant must click on a link from the footnotes, or the information is buried within fine print (e.g. in a block of text) then 15%.
• 0% of available points: Information fails to meet the standards of the above scenarios.

Note: It is important for the balance transfer APR and balance transfer fee to be listed in close proximity to one another. Otherwise, consumers may be misled into believing they have all relevant cost information. For instance, if the balance transfer APR is listed at the top of the landing page but the balance transfer fee is listed on a “pricing and fees” tab further down the page, the consumer, seeing the APR and not knowing that a balance transfer fee exists, may not look for further pricing information.

It is also important to mention that we consider a “Terms & Conditions” page to be fine print because issuers could (and most already do) list the most important information contained therein in a much more consumer-friendly format.

Furthermore, the study took into account information found on pages leading up to the landing pages for individual credit cards. In most cases, an applicant will pass through another page (typically the issuer’s credit-card homepage, where all offers are listed) in order to arrive at the specific landing page of a given credit card. It is therefore highly likely that applicants will see this information before they apply.

from Wallet HubWallet Hub


via Finance Xpress

Posted by: Richie Bernardo

1. Main Findings
2. Ask the Experts
3. Methodology

Main Findings

Embed on your website<iframe src="//d2e70e9yced57e.cloudfront.net/wallethub/embed/23739/geochart.html" width="556" height="347" frameBorder="0" scrolling="no"></iframe> <div style="width:556px;font-size:12px;color:#888;">Source: <a href="http://ift.tt/2yDwDdr;  

Overall Rank	City	Total Score		Overall Rank	City	Total Score
48	Birmingham, AL	41.90		98	Memphis, TN	26.96
49	Fremont, CA	41.76		99	Toledo, OH	25.35
50	Irvine, CA	41.70		100	Laredo, TX	22.52

Ask the Experts < >

• Spencer M. Ross Assistant Professor of Marketing and Co-Director of the Manning Behavioral Lab at the University of Massachusetts Lowell Manning School of Business
• Terri Lonier Dean of Career and Professional Experience at the School of the Art Institute of Chicago
• Nwamaka (Amaka) Anaza Assistant Professor of Marketing at Southern Illinois University
• Michael H. Morris George and Lisa Etheridge Professor of Entrepreneurship in the Warrington College of Business at the University of Florida
• Michael Goldberg Visiting Assistant Professor of Design & Innovation in the Weatherhead School of Management at Case Western Reserve University
• Kerry Plemmons Professor of Practice in the Daniels College of Business at the University of Denver
• Jorge Villegas Associate Professor and Chair of the Business Administration, BUS and MBA Programs in the College of Business and Management at the University of Illinois at Springfield
• Jonathan P. Allen Professor and Founding Chair of the Technology, Innovation, and Entrepreneurship Department at the University of San Francisco
• Jennifer B. Barhorst Assistant Professor of Marketing at Lander University
• Frank Tian Xie John M. Olin Palmetto Chair Professor in Business and Associate Professor of Marketing in the School of Business Administration at the University of South Carolina Aiken
• Dinakar Jayarajan Assistant Professor of Marketing in the Stuart School of Business at Illinois Institute of Technology
• Deirdre Malacrea Professor of Practice in Marketing in the College of Business and Economics at Lehigh University
• David E. Desplaces Assistant Professor of Global Commerce in the School of Business and Economics at the College of Charleston
• Cara Lee Okleshen Peters Associate Dean and Professor in the Management & Marketing Department at Winthrop University
• Brooke Reavey Assistant Professor of Marketing in the Brennan School of Business at Dominican University

Spencer M. Ross Assistant Professor of Marketing and Co-Director of the Manning Behavioral Lab at the University of Massachusetts Lowell Manning School of Business What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? A skilled barista at a coffee shop can pull and serve a quality shot of espresso on a multi-thousand dollar machine that the average coffee drinker wouldn't buy for their house; espresso is a finicky drink that takes training, practice, and skill to get tasting right. However, the average coffee drinker can easily brew a regular cup of coffee at home using the same methods as in a high-end coffee shop. For obvious reasons, “do it yourself” is always more affordable than buying from a coffee shop (after all, convenience is part of the price premium). Cheap automatic electric brewers such as Hamilton Beach, Black & Decker, or Cuisinart can cost $30 for the average consumer, while prosumer brands such as Bonavita, Breville, or Oxo have offerings for the more interested hobbyist, and generally only cost between $100-200. This process takes between 5-10 minutes, but can brew an entire pot of coffee. Meanwhile, manual drip methods such as Chemex, Kalita Wave, or V60 cost between $20-40 (plus gooseneck kettle), and allow the consumer to be in control over the whole brew process -- which can be a very relaxing process in and of itself -- and help spark interest in learning the nuances of making a finished brew. Excluding boiling water, this process takes about 5 minutes, but generally brews a single cup. One misconception is that pods are a "cheaper" way to save money on coffee, compared with buying coffee at a coffee shop. The perception that pods are cheap is because the packaging makes it easier to compare to brewed coffee shop coffee on a per-cup basis. However, when compared on a per-pound basis, the pods are more expensive, as they contain small amounts of coffee. If consumers still want to use a pod system, they can save money by buying a reusable pod and filling it using their own coffee. Aside from both the inferior brew process and the negative environmental impact of most disposable pods, a 40-count bulk box of pods costs slightly more than a pound of specialty coffee. For smaller quantities, it's nearly two-to-three times the average cost of a pound of specialty coffee. Why are some folks willing to spend two or three times more for a comparable cup of coffee? Most commodities (e.g., corn, rice, sugar) are not thoroughly commercialized upon scaled growth. Sure, there are brands such as Domino Sugar or Minute Rice, however the underlying commodities rarely differ across brands. However, the coffee industry is unique because it is a commodity product that's been not only been commercialized in the U.S. since World War II, but has also suffered in modern times from many antiquated perceptions of the product. During WWII, the military developed freeze-dried instant coffee that would be shelf-stable for soldiers on the front lines, and ultimately led to companies like Sanka, Folgers, Maxwell House, and Chock Full o'Nuts. But in order to scale commercial distribution of the coffee to a mass market product, these brands made coffee that was generally darkly roasted to mask tasting defects, with the outcome of tasting bitter (to make it palatable, many people ended up putting cream and sugar in their coffee). Perceptions that coffee should be dark roasted and that a dark roast will taste bitter come from this early area of coffee commercialization and have pervaded public conceptions of how coffee "should be." To this end, most coffee drinkers have the long-standing association of dark roast coffee with the type of coffee that "wakes them up." The fictional Juan Valdez helped to greatly increase American coffee consumption from the late 1950s through the 1980s, but did nothing to re-mold consumer perceptions of what quality coffee was and why it would be worth spending more. During the 1970s through the 1990s, companies like Peet's, The Coffee Connection, and early incarnations of Starbucks had a significantly large impact on creating the specialty coffee market, however that part of the market at that time was a very small segment of the overall coffee market. Starbucks helped kickstart the industry again in the mid-to-late 1990s -- particularly through the retail aesthetic of coffee shops as "third place" and attempted to make Americans more conscious of where their coffee was coming from and who was making it. As a result, consumers were willing to pay a small premium over comparable coffee. But again, as the scale of Starbucks reached more than 14,000 stores globally, the quality of the commodity seemed to suffer from scalability issues and the "signature roast" of Starbucks would became a turnoff to many coffee drinkers. In the late 2000s, coffee growers started turning inward toward improving the quality of the coffee and roasters started showcasing lighter roasts that highlighted the flavor profiles, origin, and terroir of the beans. At the same time, customers who became turned off by mass market coffee and darker roasts started turning on to these roasters, who often sell at a premium over comparable coffee shops. Consumers who are into specialty coffee appreciate that the premium they pay for their coffee is a function of several factors: first, they understand that paying for quality throughout the coffee value chain (from farmer to roaster, and even barista) is a premium, where value is added in each step from seed-to-cup. In particular, direct trade (or relationship coffee) models encourage domestic roasters to have genuine, direct relationships with the farms they source from, meaning that the farmer gets feedback from the end users and is able to use that feedback to improve the crop the following year. This even contrasts with fair trade models, where a fixed, per pound premium is paid in addition to the arm's length commodity auction cost. Second, specialty coffee consumers understand that, as a commodity, coffee suffers from the vagaries of basic supply and demand in conjunction with growing conditions. This means there may be additional value in a coffee from a farm that only has the ability to grow a lot that yields 700 pounds of quality product, while a coffee that grows in substantial scale (most of the coffee market does) can be sold for low costs at commodity auctions. Hacienda La Esmeralda, a Panamanian Geisha varietal is considered one of the world's best coffees, is sold for $601 per pound, for a 100-pound lot. The lot that was auctioned to importers/roasters at $601 per pound in 2017, was a record auction price. Its price was a function of known quality of the lot, crop yield of the lot, and importer/roaster demand for the lot. Furthermore, if these high-quality areas are hit by environmental damage (such as coffee rust, which is a fungus that destroys coffee trees that many Central American farms now are seeing more of as global temps increase), the amount of saleable coffee farmers produce becomes even scarcer, driving up costs. It is then not surprising to a specialty coffee consumer when a cup of La Esmeralda costs $15 at a cafe and is not much different than when an oenophile spends hundreds of dollars on a wine of good vintage. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? This depends what kind of coffee shop is being opened. According to the Specialty Coffee Association, growth in the specialty coffee industry has generally been positive, with nearly 50% growth in store openings over the past decade. Meanwhile, consumption of daily specialty coffee has gone from nearly 15% to nearly 35% in the past decade. Consumers are becoming more interested in what specialty coffee is, both in terms of product, process, and value chain. In that light, there are a lot of specialty coffee shops opening in both smaller cities, larger cities, and suburbs alike -- and some of the finest roasters in the country are located in places like Nelsonville, Wisconsin; Fayetteville, Arkansas; Canton, Connecticut; Sacramento, California; Amarillo, Texas; Acton, Massachusetts and so on. Although coffee is a commodity product, the product for the end user is perishable (with a noted exception that several major brands have increased their refrigerated, ready-to-drink options), as hot coffee becomes unpleasant after a couple of hours. Therefore, depending on the local population density and existing saturation of the market, a specialty coffee shop can become an exciting business proposition, a way to bring to quality coffee into the community, and to bring the community into coffee. Furthermore, since value is added during the roasting process -- and since a roaster is an expensive piece of equipment -- different roasters have different "philosophies" and approaches to how they roast the beans they've purchased, meaning even within a local market, there is a lot of knowledge sharing between and among industry insiders (the best place to see this is at a Thursday Night Throwdown, where local baristas come together at a different shop each time in an informal competition for prizes and bragging rights). Terri Lonier Dean of Career and Professional Experience at the School of the Art Institute of Chicago What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? Consider turning your home brewing into an "experience" -- the Aeropress makes a fine cup of coffee. Alternatively, order straight-up coffee and avoid, or limit, the fancy drinks. Don't think of it as a deprivation, as much as a choice to use your money in another way. Why are some folks willing to spend two or three times more for a comparable cup of coffee? Folks are willing to spend more for a comparable cup of coffee because they are paying for much more than the coffee -- they're paying for the full experience of the brand. When he launched Starbucks, founder and CEO Howard Schultz intuitively understood the appeal of a "third place" -- one that wasn't home or work. People are willing to pay for everything a brand has to offer -- from the environment, the friendliness of the baristas, the ability to see their drink being made, the comfort that comes from knowing your experience is going to be similar in any store. There's also the community feel of having others recognize you and say hi to you each morning as you start your day. This brand alignment can run deep -- some people are avid Starbucks fans, others swear by Dunkin', while others support the local coffee house around the corner. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Starting a business is never easy, and a lot depends on local market conditions. Entrepreneurs would need to determine if they could create a distinct alternative to other shops in the area. What can set this new place apart from the competition? Fixed and variable expenses will also impact the venture's viability. Is rent relatively cheap, or expensive? What sources do they have for materials, and labor? Most of all, does the budding entrepreneur have experience working in a coffee shop, and do they understand the daily demands and operations? Smaller startup coffee shops can survive -- and thrive -- amid much larger competitors, but they must have these elements in place and be able to attract a loyal customer following. Nwamaka (Amaka) Anaza Assistant Professor of Marketing at Southern Illinois University What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? With limited financial resources, consumers can get good quality java from their local grocery stores. Store-bought coffee is not as bad as most people think. They are well-made, high-quality, and good flavor at a reasonable cost. So why not indulge? Why are some folks willing to spend two or three times more for a comparable cup of coffee? There are several reasons. Some people are loyal to certain brands that are more expensive. Others prefer the taste or convenience they get from buying a cup of coffee at Starbucks or Dunkin’ Donuts. It could also be perception-driven. Some people perceive more expensive coffee to be of better quality, which may not necessarily be true, but again, it is all about how the product is positioned in the consumer’s mind. It could also be location-driven. For example, if I drive past an expensive coffee house every morning on my way to work, I would be more inclined to grab a cup despite the cost. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? This depends on location, existing market opportunities, consumer demands, market size and demographics (particularly disposable income), entrepreneurship savviness, competitive advantage, competition, sourcing of coffee beans, investment potential, etc. For example, a local coffee shop in the heart of Minneapolis may not be the best idea with giants like Caribou Coffee, McDonald’s, Starbucks, Dunkin’ Donuts, and well-known local stores like Spyhouse Coffee and Vicinity Coffee. However, in Murphysboro, Illinois, a coffee shop may just help revitalize the downtown area and satisfy local residents’ growing demand for coffee. Michael H. Morris George and Lisa Etheridge Professor of Entrepreneurship in the Warrington College of Business at the University of Florida Why are some folks willing to spend two or three times more for a comparable cup of coffee? There are a host of reasons, but the key one is that they are buying more than the coffee. The easy explanation is that they are buying an “experience” in terms of the look, feel, ambience, related products sold, kind of staff, quality Wi-Fi, music and so forth in the coffee shop (which proprietors would probably try to call something other than a coffee shop). But beyond this, drinking coffee itself has become a personal experience (of relaxing, reflecting, re-energizing), but also a part of people’s identity or personal brand. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? It is a saturated market and not something I would recommend. However, the key would be to find a niche and specialize. Examples would be extremely high-end, or the most exotic coffee-related products, or a coffee shop for professional women over 45, or for people who love pets, etc. But one would need to be more creative and insightful than these examples. Michael Goldberg Visiting Assistant Professor of Design & Innovation in the Weatherhead School of Management at Case Western Reserve University What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? We are coffee addicts in my house, and care deeply about a good cup of coffee. My wife found an excellent coffee at Whole Foods -- the Pleasant Morning Buzz Vienna Roast, Whole Food's brand (365 Everyday Value). You can buy 2 pounds of terrific coffee for about $13. That's much cheaper per cup than going out to a coffee shop. Why are some folks willing to spend two or three times more for a comparable cup of coffee? Sometimes you pay for an expensive cup of coffee for the experience, to meet a friend out at a nice place to talk or have a meeting. There is also that small segment of consumers that is willing to pay for the intricate designs on the top of the foam that creative baristas come up with. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? You have to analyze a particular market to answer that question. Surely, there are places left in the world that need a good coffee shop. Rising Star is a local coffee shop that opened not long ago in Little Italy in Cleveland, it's not far from a Starbucks, and it's thriving. Kerry Plemmons Professor of Practice in the Daniels College of Business at the University of Denver What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? There are some truly great coffee making machines on the market that combined with quality coffee make excellent at-home or at-office coffee. Howard Schultz, CEO of Starbucks, used to always grind a bit of fresh coffee and make a cup from a French press at his home prior to heading to his Starbucks. There are also excellent and reasonably priced espresso machines that just require a bit of training. Why are some folks willing to spend two or three times more for a comparable cup of coffee? I would change the wording to special cup of coffee. There is great research in behavioral economics that suggests we expect special service or special quality if we pay the extra. The human mind wants to believe their cup of coffee is worth the price and great baristas ensure that value. Starbucks and great local shops must create a holistic value delivery system with every cup. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? The simple answer is yes -- when extraordinary value is created in a location that feels good to the segment in need. Most coffee shops just try to copy Starbucks and they will always fail. Check out a coffee shop called Steam on Pearl Street in Denver and you will find two Lebanese brothers who worked for Starbucks, and then built a neighborhood shop that people line up to get into every day. Jorge Villegas Associate Professor and Chair of the Business Administration, BUS and MBA Programs in the College of Business and Management at the University of Illinois at Springfield What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget?

• Brew your coffee at home or at the office. Invest in a good grinder for home and a simple coffee maker (or two, if you need to have one at the office). More buttons/options/features add cost and higher chance of failure for a minimal benefit. At my home, we have a very small, simple coffee maker (4 cups) because my wife and I realized that we wasted a lot of coffee during the day (we’d make a big pot and then we’d be unable to drink it).

• Buy whole coffee beans when they are on sale at a local roaster. I have been unable to find good, cheap options online, but maybe there are some out there.

• Invest in a nice travelling mug. Saves on disposable cups (and it’s better for the environment).

• Buy filters, etc. at Walmart. You don’t need to get fancy filters.

• Don’t use bottled water to make your coffee (consider the cost and the environment). Use a filter, like Brita.

Why are some folks willing to spend two or three times more for a comparable cup of coffee? As a marketer, I understand why people pay $20 for a half-pound bag of coffee. In some ways, we drink what we pay. Research has shown that consumers who pay more for food or drink items tend to experience higher positive emotions. If you love Starbucks, the company’s values match yours, and/or you like their retail environment, more power to you. We buy experiences, images, and a guarantee that what we are drinking is a good product. Also, there is a lot of cheap coffee that upsets people’s stomachs. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? I don’t think restaurants, coffee shops, and similar businesses are a good idea for a first business. The costs and risks of opening a coffee shop are considerable. Also, just because someone likes coffee (or food), he or she is not an expert on the logistical, HR, etc. issues related to owning a restaurant or similar. There are a lot of failed business. Here in Springfield, Illinois, we have three-four Starbucks, one Dunkin Donuts, one Krispy Kreme, and maybe ten or more locally-owned coffee shops. I don’t think there is capacity for more in this market. I might be wrong -- it seems that the local coffee shops are relatively stable (I have not seen many leaving the market). It seems that all of them depended heavily on their loyal customers and having a great location. Jonathan P. Allen Professor and Founding Chair of the Technology, Innovation, and Entrepreneurship Department at the University of San Francisco What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? I asked the founder of mycaffea.com and local coffee entrepreneur Cody Fergusson. He said, "don't go out." Order great beans, and learn how to make a consistent cup at home. Why are some folks willing to spend two or three times more for a comparable cup of coffee? Convenience, habit, perception of higher quality, and for a few, a search for new tastes and preparations. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Really depends on the location. San Francisco has almost 1 coffee shop per 1,000 residents, that's pretty insane saturation. Seattle is not far behind. Yet other major metros are much less covered. Entrepreneurs should be aware of consolidation trends in the industry, as seen in the $500 million majority stake Nestlé recently purchased in local favorite Blue Bottle Coffee. Still, demographic trends like Millennial growth and small household size are favorable, and expansions into in-home coffee preparations that are convenient but also green (not the plastic K-Cups) are still ripe for innovation. Addictive, yet healthy products with high margins are always worth considering by entrepreneurs. Jennifer B. Barhorst Assistant Professor of Marketing at Lander University What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? I would suggest a strategy of “savoring a moment.” Plan one or two trips per week to the most luxurious place to have coffee locally. That way, you have something to look forward to. Why are some folks willing to spend two or three times more for a comparable cup of coffee? Perception is everything. The strongest brands capture and develop what I call a “share of the mind.” When we think of them, we associate various aspects of their brand with increased quality, service and experience. When a brand has managed to do that, they can sell at a price premium. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Opening a coffee shop in the current economic environment could be a viable option for young entrepreneurs. Due to advances in digital technologies, we have an unprecedented level of information at our fingertips about consumers. Using technology to mine the information flow could help would-be startups to capture information about wants and needs that aren’t currently being addressed in the local market. In turn, they could use a promotion and brand building strategy that caters to today’s mobile-empowered consumer, and their unmet wants and needs. Frank Tian Xie John M. Olin Palmetto Chair Professor in Business and Associate Professor of Marketing in the School of Business Administration at the University of South Carolina Aiken What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? For a budget-conscious, "smart" consumer today, who happens to love gourmet coffee or other nice things in life, one way to find things that are nice yet not that expensive is to go abroad and/or online. When you travel to places such as Japan, Switzerland, or Taiwan, mingle with and talk to locals, and they are likely to offer you some very good tips on where to get them. When you make your purchase, buy by bulk. Then you will have a constant supply of things you like. After you developed your love for a certain brand that you really enjoy, search online to find it, or buy directly from the source -- that's another way to get great things in a bargain. Why are some folks willing to spend two or three times more for a comparable cup of coffee? People pay two or three or five times more for a comparable cup of coffee for the exact same reason people pay five or ten times as much for a car that takes you from point A to point B the same way a Toyota Corolla does. We prefer great flavor, nice texture, enduring after taste, comfort, luxury, prestige, status symbol, and admiration and confirmation from our peers. In addition, a cup of gourmet coffee is an easier, cheaper way to indulge yourself and impress others without spending a fortune. So, in addition to a little advantage in taste, and if image or impressions (first, second, and subsequent) are important to you, you will buy that cup of coffee with a reputable brand logo on it. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Even in a bad economic environment, opening a coffee shop or other traditional retail establishment is a good idea for young entrepreneurs, provided you really put great effort, superb marketing research, and dedication to quality and service to the operation. If you can get a niche that others can't simply copy, you will make money regardless of the economic climate, as people always have the needs and wants to a certain extent. Given the current economic environment and Trump's America First policy, a lot more opportunities should emerge. Dinakar Jayarajan Assistant Professor of Marketing in the Stuart School of Business at Illinois Institute of Technology What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? Make your own coffee. Why are some folks willing to spend two or three times more for a comparable cup of coffee? That's the success of Starbucks marketing. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Yes, the markets are oversaturated -- however, consumers want variety and uniqueness. So, if someone is able to come up with an idea that is really unique and strongly differentiated from the chains, it should work. Deirdre Malacrea Professor of Practice in Marketing in the College of Business and Economics at Lehigh University Why are some folks willing to spend two or three times more for a comparable cup of coffee? And In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Objectively, certain coffees may truly be better by virtue of the quality of the beans used, or the care used in the preparation. The convenience of a ready-made beverage on the go may outweigh the time and effort of making and transporting coffee from home. However, consumers can have a variety of less tangible reasons to explain their willingness to pay a premium price for a coffee. That’s where the role of brands come in. Consumers can be motivated to pay extra to avoid risk in a purchase situation. To lessen the chance of getting a bad cup of coffee, brands can provide a perceived assurance of quality and consistency that that a “no-name” experience may not provide. Additionally, brands can telegraph to others in your reference group of friends and acquaintances that you are a person of discernment and good taste. Local coffee shops can mitigate these advantages of the well-known brands by building up their own value proposition, whether through novel, signature drinks and snacks, catering to customers with personalized, caring service, or hosting themed events and experiences. David E. Desplaces Assistant Professor of Global Commerce in the School of Business and Economics at the College of Charleston What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? Java has become the necessary fuel to think and engage at school and the workplace. The issue of caffeine or other stimulants necessary for many to perform has in fact become a recent issue raised by the leadership of the United States Department of Defense, with reported addictions among all ranks, and the need to limit or counsel against excess to avoid issues on the battlefield. Caffeine is not just in your java, but in so many other items we know. For the budget seekers, you can easily bring coffee to your workplace, home, or even boat. Portable units or even “cold brews” have made the average cup of coffee less than $1 each, while still allowing you to make that unique, special cup of coffee. National brands are actually the more affordable for a basic cup of java (statistically). Why are some folks willing to spend two or three times more for a comparable cup of coffee? The outlet you selected to make that cup of coffee understood that there is a great social dimension to that cup of coffee. Folks are seeking the experience of being acknowledged by name, recognized as a regular, and having that special drink made just for them. The complexity and variation of coffee offerings give the customer the perception of value in a specialty drink. Furthermore, the types of employees (eclectic/fun/artistic) create a major draw across economic and social classes. Lastly, some of the outlets have become major “see and be seen,” with many single folks hanging out and checking people out. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? A coffee shop is a great concept, but you have to be ready to roll up your sleeves, as well as find either good partners, or abundant access to motivated employees to keep the hours (many places choose their location to close at night and/or on weekends). The market is not saturated yet, but the successful operation is the differentiating factor in keeping the doors open. You have to think about mastering the business element (marketing and operations), acquiring the knowledge of coffee (master in sourcing and making the great cup of coffee -- technical mastery), and the energy (such a business hinges on making the experience consistently pleasant for each and all of the surrounding customers). You have to master the art and science of running a coffee shop -- but all of these do not matter if you do not have the location. Location, location, location -- key reason why such businesses might fail. Cara Lee Okleshen Peters Associate Dean and Professor in the Management & Marketing Department at Winthrop University What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? There are lots of promotions out there for the regular coffee drinkers. For example, some small/niche coffee shops have punch cards where you get a freebie after the twelfth purchase. In addition, Starbucks has prepaid debit cards on which you can earn points for purchases. If you are a Bank of America customer, you can even preload these Starbucks cards using your bank credit card, and get cash back in your checking account. All ways to save on your java. Why are some folks willing to spend two or three times more for a comparable cup of coffee? Going to purchase that premium cup of coffee is prestigious and a social event. People who carry around their Starbucks coffee cups look and feel cool. In addition, these same people like the environment of hanging out in the coffee shop, being seen, and socially interacting with others. It's all about the experience and the social environment in a coffee shop. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? I don't think the young entrepreneur can take on the large coffee companies, like Starbucks. Starbucks is a well-established brand with a loyal following. However, if someone were going into the coffee shop business, I think he/she would need to establish a unique niche. A funky shop, located in an artsy/trendy part of town, with local art on the walls and serving homemade cake and other desserts (along with the coffee) can be quite successful. So, that would be the way to enter the market for that first-time entrepreneur. Brooke Reavey Assistant Professor of Marketing in the Brennan School of Business at Dominican University What tips do you have for a person that wishes to enjoy his/hers daily “java” cup while on a budget? Go for it -- treat yourself. Consumer research shows that we often have a very hard time keeping and maintaining a budget. There’s a good reason for this -- there are temptations all over. However, if buying coffee every day is something you enjoy and can afford, it’s helpful to spend the money and think of it as a daily treat. It’s best to earmark some money each week for your coffee expenses and spend in cash, so that you can see how much you have left to spend for the remainder of the week. Using cash will help you from spending more on impulse items at the store counter. Additionally, most coffee houses have loyalty programs (i.e., buy 10, get 1 for free), or discounts if you bring your own cup, so try to find a coffee house by you that will reward you for your caffeine addiction. And most importantly, as long as you can afford it, don’t feel guilty about buying coffee at a store. We know that for budgeting, as long as you think of your purchase as a treat (as opposed to something you have to buy -- like car insurance), you will get a boost of satisfaction from the purchase which will increase your mood. So, go ahead and treat yourself. Why are some folks willing to spend two or three times more for a comparable cup of coffee? There are numerous theories surrounding this phenomenon, but one prevailing theory suggests that consumers are willing to spend more for the branded logo so that they can send a signal to others that their personality aligns with the brand’s personality. I’m looking at you, Starbucks, and your $5 lattes in your branded cup. It’s similar to why some consumers prefer Carhartt and others prefer Dr. Martens. Both brands sell boots, but both brands have completely different personalities, and consumers will align themselves with the personality they believe is best for their image and how they like to present themselves to others. In the current economic environment is opening a coffee shop as a first business for young entrepreneurs still a good idea? Or are most markets already oversaturated? Yes, I do not see coffee shops going away anytime soon. The key is to conduct market research on the competing coffee shops in the area. The new coffee shop will need a differentiator -- whether it’s ambiance, a special way of brewing or roasting the beans, a socially conscious spin, etc. While tempting, resist the urge to compete on price unless it’s absolutely necessary. Loyal consumers are not as likely to be swayed by a cup of coffee that costs $.25 less. You’ll have to understand who your ideal target market is (i.e., work-from-home crowd, hipsters, moms, etc.) and adjust your strategy from there.

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