How the young spend their money

Review of the article:

This article provides an in-depth look at the shopping habits of young people, also known as Gen-
Zs and millennials. It examines the economic shocks that have shaped their outlook, their
preference for convenience, their use of social media to discover brands, and their desire for
personalization. It also looks at their values-driven approach to shopping, their willingness to pay
premiums for environmentally friendly products, and their tendency to indulge in quick commerce.
The article provides a comprehensive overview of the young consumer and the implications for
businesses.

Summary
Young people today are a complex and paradoxical group. They have thin wallets and expensive
tastes, and they want their shopping to be both seamless and personal. They have been shaped
by the global financial crisis of 2007-09 and the covid-19 pandemic, leading to pessimism about
their future and impulsive spending of limited resources. They have easy access to means of
spreading payments, and they often prefer subscriptions and shared access to products rather
than outright ownership. They are heavily influenced by the attention economy, with social media
and apps playing a big role in how they discover brands. They are also more values-driven than
previous generations, with a focus on identity and climate change. However, they are also driven
by convenience and instant gratification, leading to unsustainable consumer habits. Businesses
should take note of these complexities and paradoxes when targeting young consumers.

Important Points:
a. Young people have thin wallets and expensive tastes.
b. They prize convenience and a social conscience.
c. They want their shopping to be at once seamless and personal.
d. They crave authenticity while being constantly immersed in an ersatz digital world.
e. They have been shaped by the global financial crisis of 2007-09 and the ensuing recession,
as well as the covid-19 pandemic.
f. They often use “buy now, pay later” apps and subscriptions.
g. They discover brands through social media and prefer to make purchases outside social
media.
h. They want their shopping to be totally hiccup-free.
i. They are hypersensitive to any brand that pretends to be something it isn’t.
j. They are values-driven and care about climate change.
k. They are willing to pay a premium for more environmentally friendly products.
l. They are contradictory, as they are only human.

New words I learnt from this article:

Woke: (adjective) Aware of and actively attentive to important facts and issues (especially issues
of social justice).
Broke: (adjective) Having no money; penniless.
Complicated: (adjective) Difficult to understand, analyze, or solve.
New concepts I learnt from this article:
1. Woke Shopping: Consumers are increasingly looking for brands that align with their values and beliefs,
and are willing to pay a premium for products that are ethically and sustainably produced.
2. Subscription Shopping: Young people are increasingly opting for subscription services over outright
ownership, as they prefer the convenience and flexibility of having access to products without the
commitment of ownership.
3. Social Shopping: Social media has become a powerful tool for discovering new brands and products,
and young people are increasingly using it to find inspiration and make purchases.
4. Quick Commerce: Young people are increasingly looking for convenience and speed when it comes to
shopping, and are willing to sacrifice environmental sustainability for the sake of convenience.
5. Personalised Shopping: Young people are looking for a personalised shopping experience, and are more
likely to make purchases if they feel like the brand is speaking directly to them.