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Can This Viral TikTok Trend Help Relieve Gen Z's Financial Stress?

illustration of a smartphone, tiktok app, merchandise and dollar bills

 Investop෴edia 🎉/ Photo Illustration by Alice Morgan/ Getty Images

Key Takeaways

  • On TikTok, "underconsumption core" encourages people to buy less and use what they already have.
  • The trend may be a response to fatigue with glitzy influencer culture—but also to inflation.
  • Experts recommend implementing a buying pause period for new purchases and being more intentional about who you’re following on social media.

It's easy to find social-media influencers sharing their fast-fashion hauls, large Stanley cup collections, and painstakingly organized fridges. But with young Americans feeling financial stress, some are telling a different story on Tiktok, showing off how they save money and embrace sustainability.

The videos, tagged "underconsumption core," describe a lifestyle in which people refrain from purchasing new goods until they’ve been worn down or used up, buy second-hand furniture and clothing, and reuse things like jars and containers.

In a video that recently had 2.2 million views, Detroit-based Sabrina Pare shares how she owns just one water bottle, uses every last drop of her makeup products, and we🉐ars clothing for years. Another, from a different creator, from vegetable scraps and altering old clothes to improve the fit.

Pare thinks that "underconsumption core" is popular now in part because people are discontent with the glitzier side of influencer culture. The trend echoes another, from 2023, known as "de-influencing," that discouraged people from purchasing products just because they were popular on social media. 

"People are just kind of burnt out on seeing the typical social media content that usually pushes some type of consumption," Pare said.

But there's also an economic angle. Although inflation has cooled recently, prices for many things remain elevated. Many people have also spent down the savings they built up during the pandemic. This Tiktok trend offers fresh viewpoint to consumers looking for different ways to save, spend and budget.

Buying and Spending Detox: Tips

With e-commerce and shopping features embedded into platforms like TikTok and Meta's (META) Instagram, it can be hard to avoid the pressure to buy. According to NielsenIQ, more than half of Gen-Zers say they’ve used the ‘buy’ buttons on social media networks.

Shelby Orme, a content creꦫator, says she is shopping less, feeling like her consumption is more environmentally sustainable, saving money and finding joy in hobbies that don’t require her to spend.

Pare and Orme recommend a waiꩲting period of few days before making a new purchase. Ormꩵe is also fan of no-buy periods where you choose not to buy anything but necessities for a while.

“It really opens your eyes to how susceptible you are to marketing — but also how often you buy things that you didn't need anyway,” Orme said.

Aja Barber, author of "Consumed," suggests going even further and doing a social media cleanse, avoiding following influencers or people who are just interested in selling you things.

“I think it's [about] monitoring how much time you're spending on social media, but also who you're following on social media and why,” Barber said. People "selling you stuff all day, everyday is not a life improvement.”

Gen Z Spending Pullback Amid Financial Ch♏allenges

There are signs that younger Americans are experiencing significant financial stress. Recent studies indicate that nearly half of Gen-Zers — those born between 1997 and 2012 — need to rely on 澳洲幸运5官方开奖结果体彩网:financial help from families as they face 澳洲꧙幸运5官方开奖结果体彩网ꦬ:higher rents compared to millennials at the same age .

While credit card delinquency rates for all borrowers ticked upward from the last quarter, those between the ages of 18 and 29, had the highest serious delinquency rates, according to a recent New York Fed Study.

Sofia 🎐Baig, an economist at Morning Consult, notes that while Gen-Z are in better financial ℱshape than older generations, they have reduced their discretionary spending recently. 

“What we have seen from Gen Z-ers, in particular, is a drawdown in the spending for non- essentials,” Baig said, citing hotels, airfare and recreation as areas of particular pullback. According to recent Morning Consult data, Gen-Zers spent 22.7% of their income on non-essentials in June 2024, down five percentage-points from June 2023 (27.9%).

“It's not flashing any crazy warning signs," Baig said, "but there are noticeable pullbacks.”

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  1. NielsenIQ. "."

  2. Federal Reserve Bank of New York. "."

  3. Federal Reserve Bank of New York. "."

  4. Morning Consult. ""

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