Overpriced products we buy: Popcorn, bottled water, more © Grove Pashley/Corbis

The Basics

6 outrageously overpriced products

Some of these items are required (college textbooks); others just seem like they are (popcorn at the movies). The markups are astronomical.

[Related content: savings, save money, frugal, cheap, prices]
By Investopedia

Unless you're filthy rich, you've probably noticed that movie theater popcorn costs an arm and a leg. Still, countless consumers shell out the big bucks for this greasy flick food.

Of course, movie theater snacks aren't the only budget busters. Just think about the exorbitant cost of greeting cards, printer ink and bottled water. The sky-high prices on those products are enough to send today's strapped consumers spiraling into debt. Yet we continue to cough up the cash for these absurdly expensive items.

Here are six outrageously overpriced products that consumers can't seem to live without:

1. Movie popcorn

At the grocery store, microwave popcorn runs about $3 per box, and each box includes three 3.5-ounce bags.

So why would consumers even consider paying a whopping $6 for a single medium-sized bag of popcorn at a movie theater? No one knows exactly why, but for some reason, moviegoers continue to drain their wallets to crunch on a bag full of those greasy little nuggets.

After considering that movie theaters purchase popcorn in bulk, the average markup of movie theater popcorn is a whopping 1,275%. At such prices, you'd think those buttery bags were laced with gold.

2. Greeting cards

Since when does a folded-up piece of paper cost $2.99? Since someone slaps a precious kitty picture and a cleverly written message on it and then stamps the back of it with a logo. That's right -- we're talking about those pricey greeting cards.

Many consumers spend hours poring over the neatly arranged stacks in the greeting card aisle, searching for the perfect message for a sister's birthday, their parents' anniversary or "just because."

The average greeting card costs between $2 and $4, and consumers don't seem to think twice about paying that precipitous price. The markup is between 100% and 200%, which is not quite as shocking as movie theater popcorn, but it adds up. When you consider how many of those paper jewels you buy each year, it's enough to send you running for the construction paper and markers. After all, it costs only a few cents to create a homemade card.

3. College textbooks

In 2010, the annual in-state cost for the typical state university soared to more than $15,000, and private colleges now charge an average of $35,600 a year. As if college kids (and their parents) aren't financially drained enough, there's yet another inflated price they face: college textbooks. College students spend an average of $900 a year on textbooks and other supplies.

College textbook prices have skyrocketed 186% since 1986, and these expensive volumes of knowledge now account for an increasing portion of the overall cost of college. Unfortunately, broke college students are required to purchase these costly books for their classes. At least they can try to sell their books back to a local bookstore at the end of the semester -- for a few measly bucks.

Continued: More money drains

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308Comments
12/05/2010 1:16 PM
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Given a box of popcorn and a soda at movie concessions can cost about the same as a haircut now-a-days, I always come out from a movie feeling a little...well..."cli​pped".

 

I tried to sneak in a box of candy inside my coat jacket once, you know just as a sort of test(Winkwink) of theater security. But Red vested goons(RVGs) caught up with me at the curtain entry. The RVGS scanned me with x-men rays then I had to submit to a full jewel strip search! The guard dogs got my Gummy Bears and the guards humiliated me with their slurs about the size of my homemade pop-corn ballsSarcastic!  I rent movies now from Netflix.

 

12/05/2010 10:57 AM
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Of course popcorn, soda, candy, etc. are outrageously priced at a movie theater.  The theaters "rent" copies of the movie from the distributor for outrageous prices (the $6+ million  dollars they make on opening weekend is from the ticket sales and rental costs, not the concessions), then have to earn enough back through concessions to pay their employees and pay for supplies and utility costs, etc. 

 

As for me, I LIKE the taste of greasy movie theater popcorn and a soda; and there's something to be said for the "crowd" experience.  Recently my hubby, adult daughter and I went to see a Disney movie just now out in theaters.  Part way into the movie a little boy was suddenly surprised by something that caused him to jump, then start giggling.  Soon we could tell he was really paying attention to the movie, because we heard occasional comments from him, like "...look!  The horse is bein' a doggy!"

 

From that point on, the entire audience laughed loudly at everything he said (no, we didn't find it annoying).  The fun of it all was enhanced by this enthusiastic new convert.  So, I'll pay my $2.50 for my popcorn (yeah, I bought the bucket 'cause I hate bags), and limit myself to one medium soda.  We can get through an entire movie on the "2 medium soda and a large popcorn" combo deal without having to run for the facilities.  When we want to see them a second time, that's when we download them to the DVR. 

12/05/2010 9:11 AM
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OH MY GOD! IT IS REDICULOUS HOW EVERYONE IS COMPAINING! NO CRAP EVERYTHING IS EXPENSIVE, BUT YOU HAVE TO ENJOY LIFE! QUIT BEING SO CHEAP!

IF YOU AGREE, PLEASE LIKE THIS AND POST TO 'FACEBOOK'OR 'TWITTER'

11/16/2010 9:09 PM
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I buy movie popcorn cause it tastes realy good to me and the popcorn is all a part of the whole movie going experience,

For example my daughter and I are going to the Harry Potter opening ,,infull robes and I will be buying movie popcorna and a larg movie coke. I cant give up everything I like in theses times

  VM

11/16/2010 8:49 PM
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And dont get me started obn Insurance. OUr home ownners has just been jacked up 400 dollars because we had the audacity to use it after reparingour autos and hom after 2 different hail storms. That money we pay the insurance people isnt their money,WE have been paying money for years and they want o overcharge us when we n eed to use when that is what it is for?????Out of ten years at this house we are in we have only used the in surance 1 time to fix the roof after a hailstrm damaged.and Now we willl have to keep paying!!

 

Sorry I told you not to get me started on the insurance companies, and I am not even going there about the auto insurancepeople. Gieco in particular. they canceled us after using themwhen  ou2 vehicles got damaged previous stated hailstorms so now they cant have us as customers. I get . Gieco can only insure people that dont use the insureance  "benefits". Its just for you to keep pouring mo0ney into geico to pay for their little cute gecko adson  TV.

 

VM

11/16/2010 8:39 PM
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I am very happy to wait for the movie to come out inDVD, especially now that I have discovered netflix.I watch at home and eat popcorn and drink my beer and pause for the cause when I have to go potty. With my big screen tv and surround sound you can get a better deal that that.

 

VM

11/09/2010 12:26 PM
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one more comment about bottled water--it comes straight from the tap just as your regular water does; they had a show on this just a while back.  Save your dollars!
11/09/2010 12:22 PM
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I would have to agree totally with this and iced tea is another rip as it costs less than a penny a glass to make; you may as well drink water for heavens sake.
11/09/2010 11:21 AM
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One of the most outrageously overpriced items would be eye glasses frames.  Check out the prices for a pair of flimsy wire frames.  Then they change the styles periodically so that you cant reuse the frames and have to buy new ones.
11/09/2010 11:00 AM
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I am a college student and I rent from Chegg.com. I save hundreds of dollars a year renting a textbook instead of buying.
9/16/2010 5:51 PM
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Well, Actually bottled water costs $1 here in my local shop.

9/16/2010 11:08 AM
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The movie theaters only get about 10% of the ticket price at the gate.  The rest goes back to the studio that produced the movie.  Therefore the only way for the theater to make any money is at the concession stand.  Yes, it's overpriced..I agree.  I never eat popcorn at the movies.  It makes me drink more which makes me have to go to the bathroom and miss the movie.  My suggestion is to just skip the popcorn and soda and stick with my favorite, Milk Duds.  Yum!

9/16/2010 11:04 AM
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fongeek, you may want to crack open some of those "collage" textbooks...      ...unless of course you were referring to a conglomerate of books, in which case you may be correct in spelling college with an 'a'.  Also, there is a 'check spelling' button to the right of the post button, for future reference.
9/16/2010 7:28 AM
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College text books comments that at least you can sell the books back at the end of the semester.  Now the trend seems to be selling the texts shrink wrapped and not bound.  The student then needs to purchase a 3-ring binder to put it in.  Good luck trying to sell something like that back, with no way of telling if pages are missing.
9/14/2010 12:37 PM
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With my second child attending collage, the item "Collage text books" is the one that really sets me off. There is no justification for the prices demanded for these. I would like to think that e-book versions of these would bring the prices down to a reasonable point. But really, who am I trying to kid. It's a tolerated form of extortion!!!
9/11/2010 2:17 PM
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For most, greeting cards can be a bit of a hassle:

A friend’s name pops into your mind.

You’d love to make their day by sending them a card!

Now, you’ve got to go to the store,

look through their inventory,

hoping to find one that comes close to saying what you want to say.

Then, you ‘get’ to pay 3 or 4 bucks for the card!

And then another trip to the Post Office for the stamp.

 

Or, you’ve got another option.

How about 62 cents for a card!

How about over 15,000 cards to choose from?

Want to add your own pictures? 93 cents!

And, you can write your own note - in your own writing.

And do it all online!

They print the card, stamp it and mail it for you.

 

Did I mention you can do all this without ever leaving your home?

More at: www. SendOutCards. com / kenw (without the spaces).

9/11/2010 7:49 AM
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How 'bout a Starbucks cup of coffee?  Or cell phone service?  I pay about $2/month for my cell phone.  Or drinks/dessert at a restaurant?  Or food at the airport?  Or Ticketmaster fees?  Or ATM fees?  All of these are outrageously priced and I will not allow my daughter to purchase any of these?
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Add to this beer, food and merchandise at any NFL or NBA event.  You can't help people who are stuck on stupid.  
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The part about textbook prices skyrocketing 186% seems a little odd.   I just checked 1986 prices for gasoline, and they were 93 cents per gallon.   I just filled up at 2.89, which is a 211% increase over the 1986 prices.   I haven't checked the consumer price index, but textbooks seem like a normal deal.   Of course, textbooks have always been expensive, with the excuse being that they are printed in a limited supply.

The other items seem more like bad deals.

9/10/2010 1:07 AM
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A big reason for all these outrageous prices could be because for so long people have been willing to pay them.  As a whole we  have a much stronger influence on the market than we may realize, and if we are willing to do some research and exercise some responsibility with our purchases than maybe prices will change.   If you can't afford to pay $6 for popcorn or you're not willing to, that may change things.  Or even if you think tickets are too pricey, you can wait until the movie comes out on dvd.  If enough people are willing to do that, it may send a message to movie producers.  In the end, if you don't think it's worth the cost, you don't necessarily have to buy it.

What's happening with the economy now is  partially the result of prices growing faster than our paychecks, and people just aren't able or willing to pay for it anymore, especially in the housing and auto market.   But the concept that companies are too important to fail only enables irresponsible corporations that are unwilling to respond to consumer needs. 

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