Do you know what the differences are between needs and wants? Sometimes, many people still think that wants are the same as needs. In fact, these two things have quite significant meanings and differences.
So, what is the difference between needs and wants? Instead of being curious, let's just check the review below.
1. Definition of Needs and Wants
To find out the difference between needs and wants, you can find out starting from the definitions of these two terms.
The following is a definition of needs and desires that you must understand, namely:
1.1 Definition of Needs
According to the KBBI (Big Indonesian Dictionary), a need is something that is needed or required by humans. In general, needs are everything that humans need to maintain their survival.
There are various forms of fulfilling human needs, whether in the form of goods, services or intangible things.
So that humans can function and live, needs are also categorized into physiological, personal and socio-economic needs.
According to Doyal and Gough, an individual's needs will represent the 'cost of being human' in society. If someone is unable to fulfill their needs, it will function badly in society itself.
1.2 Definition of Desire
Meanwhile, desires are everything that we want or do, but do not absolutely have to be fulfilled.
Desires are subjective and you can postpone them because they are not that important. The meaning of subjective nature is because every human being's desires are different, depending on their individual interests, values and preferences.
Even so, desire can provide motivation for someone to continue working hard and achieve their goals. On the other hand, desires can also boomerang if not managed well. For example, it makes you consumptive and wasteful because you buy things that are not really important.
2. Types of Needs
As you already know, needs are divided into 3 types, namely primary, secondary and tertiary needs.
The following is an explanation of the 3 types of needs, namely:
2.1 Primary Needs
Primary needs are types of life needs that must be met by all humans. Because, primary needs are included in the basic needs that concern a person's life. So, if it is not fulfilled, then someone will experience a life full of difficulties.
Some examples of primary needs, namely the need for clothing, food and shelter. Clothing is clothing that is suitable for use. Meanwhile, food is a basic food requirement that is consumed daily. Then, the board is a house that is used to take shelter from all situations.
2.2 Secondary Needs
Secondary needs are types of needs that you can fulfill after primary needs are met. So, this need is not urgent and is only useful as a complement.
Usually, secondary needs follow the lifestyle or culture that is trending among contemporary society.
Examples of secondary needs are watching films that are going viral, enjoying holidays or recreation in places that are being widely discussed, getting access to health care and using the internet to communicate.
Apart from that, getting access to education, having a vehicle that is suitable for use and taking part in sports according to needs are also examples of secondary needs.
2.3 Tertiary Needs
Apart from that, there is a type of need known as tertiary needs, which you can fulfill by buying or renting luxury goods. However, keep in mind, you can fulfill your tertiary needs if your primary and secondary needs have been met, OK?
Tertiary needs also have no influence on survival. Because, this type of need is carried out only for personal satisfaction and pleasure.
Of course, each individual has different tertiary needs because it depends on their individual lifestyle.
For example, buying expensive musical instruments so that they are of good quality, collecting luxury cars, paintings, branded bags and shoes, expensive jewelry and even buying the latest smartphone at a high price.
3. Human Needs Based on Abraham Maslow
According to Abraham Maslow's theory, there are 5 hierarchies of human needs, namely physiological needs, safety needs, social needs, esteem needs and self-actualization needs. .
The following is an explanation of the theory of the 5 hierarchies of human needs based on Abraham Maslow, namely:
3.1 Physiological Needs
Physiological needs are the most basic needs of Maslow's hierarchy. These needs are often also referred to as primary needs, such as the need for food, drink, clothing and shelter.
Before moving on to the next need, a person must fulfill their physiological needs first. Because physiological needs are the most urgent needs and must be met.
3.2 Safety Needs
Safety needs are the second level that a person can fulfill after being able to survive with the help of clothing and food. The sense of security in question is a feeling of physical and mental security.
The meaning of the need for security is a sense of security from disease, danger, natural disasters and criminal acts.
One example of the need to feel safe is buying health insurance so that you can protect yourself and your family when faced with illness.
3.3 Social Needs
Social needs consist of the needs for love, friendship, acceptance, a sense of belonging and socialization.
In fact, humans are social creatures who need other people when living their lives. Therefore, this social need is very important so that we can live safely, peacefully and look after each other.
3.4 Esteem Needs
Esteem needs occupy the 4th position in Abraham Maslow's hierarchical theory. This esteem need consists of internal and external factors.
Examples of internal factors, namely self-esteem, autonomy and achievement. Meanwhile, external factors include recognition, status and attention.
So, the need for esteem, also known as the need for self-esteem, is the right to obtain and obligation to achieve or maintain recognition given by others.
You can get recognition if you have successfully met social needs. Of course, this need can become ambitious if you like to seek status or attention from other people.
3.5 Self-Actualization Needs
Finally, there is the need for self-actualization (self-actualization needs) which consists of the need to develop one's potential or talents, improve skills and become a better person.
Unfortunately, the need for self-actualization is rarely fulfilled by most people. Because, they only focus on physical and mental needs, security, social and self-esteem.
Usually, this need is often met by someone who wants to conquer their own abilities and dares to take on external challenges.
The main goal of fulfilling self-actualization needs is to gain inner satisfaction and increase self-confidence.
4. Difference between Needs and Wants
So that you don't make a mistake when making a decision, here are some needs and desires that you can pay attention to, namely:
4.1 Based on Urgency
You can first find the difference between needs and desires based on the level of urgency.
Needs are urgent and must be met immediately for the sake of survival. For example, the need for food, drink, clothing and shelter.
Meanwhile, desires are not too urgent and you can postpone their fulfillment until your needs are met properly. For example, buying a new gadget, luxury car or going on holiday abroad.
4.2 Based on Impact
Needs can have a fatal impact on life if they are not met properly. For example, if you don't get food, your body can become weak, have no energy and get sick.
Meanwhile, desire does not have such a fatal impact on a person's life. For example, if you don't buy the latest gadget, you won't have any problems because you still have your old gadget to communicate online.
4.3 Based on Nature
You can then see the difference in needs and desires based on the nature of the two.
Needs are more objective and universal or the same for everyone. For example, everyone definitely needs food and drink.
Meanwhile, desires are subjective and different for each person. For example, someone may want to buy a new gadget, while another person may not because they still have an old gadget that still works.
4.4 Based on Limitations
While the differences are based on limitations, the number of needs is limited and you can measure them. For example, a person needs 2 liters of water to drink per day. While the number of desires is unlimited and you cannot measure them. For example, someone always wants to have the latest gadget, even though they already have a lot.
4.5 Based on Influence
The final difference between needs and desires can be seen from their respective influences.
Needs can affect a person's health, physical and mental. For example, if a person is unable to fulfill daily nutrition, his body will become sick.
Meanwhile, desires can influence social status and lifestyle. For example, if you own a luxury car, it can increase a person's social status.
5. Examples of Needs and Wants
To better understand the difference between needs and wants, you can look at the following example.
5.1 Examples of Requirements
5.1.1 Eating
All humans need food to live a good life. Eating is also included in the primary or basic needs that must be met. Without food, humans cannot live and carry out daily activities. Because, the energy needs that humans get comes from food itself.
5.1.2 Clothing
Clothing is a human need because it can protect the body from heat and cold. By dressing, a person will feel safe when carrying out daily activities.
5.1.3 Residence
Another example of a need is a place to live for shelter and protection from hot, rainy and cold weather. On that basis, a person can live comfortably without any obstacles.
Apart from those mentioned above, there are many other examples of needs, such as private employees needing laptops for work, parents buying clothes for their children, people needing vitamins to maintain health, and teachers buying stationery for teaching needs.
5.2 Examples of Desire
5.2.1 Buy the Latest Gadgets
Gadgets have indeed become a support for work in this modern era. However, buying the newest gadget every season is an example of human desire because it is not really prioritized. Because, what is important is to have a gadget that suits your individual needs.
5.2.2 Luxury Cars
Luxury cars are the embodiment of the desires of someone who needs appearance more than function. Because, if you need a vehicle to save time, money and travel safely, someone can still buy a vehicle that suits their needs.
5.2.3 Eating at a Cafe?
Eating in a cafe is also a desire that you don't really need to do. Because eating in places like cafes costs more than eating in regular places or at home.
Apart from that, there are several other examples of desires, namely buying new clothes that are not really important, students buying motorbikes even though they are still underage, and even buying new shoes just for style.
6. How to Prioritize Needs Compared to Wants
If you want to try to prioritize needs compared to desires, there are several ways you can do this, namely:
6.1 Understanding the Difference Between Needs and Wants
The first way to prioritize needs over wants is that you have to understand the difference between needs and wants. Previously, we explained the differences between these two things.
Needs are important things that you must fulfill for survival, such as food, drink, shelter, clothing and health.
Meanwhile, you want things that you want to improve your quality of life, such as holidays, entertainment or new gadgets.
6.2 Make a List of Needs and Wants
To prioritize needs over wants, try making a list of categories.
First, you can write down all your needs and wants, then categorize each item into needs and wants categories. Then, you can find out what you should prioritize buying first.
6.3 Evaluate Each Item
After categorizing each item in needs and wants categories, you can ask some questions for each category like this:
Need:
- How important is this item to your survival?
- Is there a more economical way to obtain this item?
- Do you really need it now?
Desire:
- How long have you wanted this item?
- Would you still want it if the price doubled?
- Is there another way to get the same satisfaction at a lower cost?
6.4 Prioritize Items
Start sorting needs based on urgency and postpone desires that are not very important or not urgent.
6.5 Set a Budget
The next way to prioritize needs over wants is to set a budget. You can start setting a budget to meet your needs. If there is still left, then you can use it for your wishes.
Budget determination can be done through financial applications so that it can provide good and precise management.
6.6 Avoid Buying Something Outside the Budget Determination
It should be noted that to be able to prioritize needs over wants, you must adhere to the budget that has been set.
Avoid shopping excessively or impulsively because it will exceed the set budget. It's best to buy items that are currently having discounts or promotions and consider buying cheaper products or goods with advantages that are not much different.
6.7 Review Priorities Regularly
Every need and desire can change over time. Therefore, make sure to always review priorities regularly according to current circumstances.
In addition, you can use the 3 day rule, namely wait 3 days before starting to buy something you want. If after 3 days you really want it, then the product or item can be called a need.
If it is too difficult to decide between needs and desires, you can ask your family, closest friends or desires advisor for advice.
This is information about the differences in needs and desires that you can understand. In conclusion, needs are essential things for survival. Meanwhile, desires for things that are desired can improve the quality of life. Of course, understanding these two things is very important so that you can make wise financial decisions and live a balanced life.
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