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Insight of the Day: From flex to frugal: Gen Z rejects hyper-consumption

Summary: The article discusses the rise of "underconsumption-core," an anti-materialist trend gaining popularity across the West and China. This trend encourages a scaled-back lifestyle, prioritizing frugality, maximizing existing goods, and rejecting excessive consumption.

Findings:

  • Underconsumption-core is gaining popularity on social media platforms like TikTok and Xiaohongshu.

  • The trend emphasizes reusing items, minimalist routines, secondhand goods, and buying only what is needed.

  • It reflects a shift in consumer values among Gen Z towards conscious and simple living.

  • Economic volatility, environmental concerns, and influencer fatigue are driving the trend.

  • In China, the trend is also associated with "low desire lifestyle" and "exquisite poverty."

  • Despite growing cynicism towards influencers, they still hold significant sway over consumer choices.

Key Takeaway: The rise of underconsumption-core signifies a shift away from hyper-consumerism towards a more mindful and sustainable approach to consumption.

Trend:  The trend is a rejection of excessive consumerism and a movement toward conscious consumption.

Consumer Motivation: Consumers are motivated by a desire for authenticity, sustainability, and financial prudence.

Driving Trend: Economic factors, environmental concerns, and social media are driving this trend.

Target Audience: The article primarily focuses on Gen Z in both Western countries and China.

Product/Service Description: The article explores a trend rather than specific products or services. It indirectly refers to various consumer goods, highlighting how the underconsumption trend affects the purchasing and usage of these items.

Consumer Age: The main focus is on Gen Z (typically individuals born between the mid-1990s and early 2010s).

Conclusions: The trend of underconsumption-core reflects a significant shift in consumer values, emphasizing mindful and sustainable consumption habits.

Implications for Brands: Brands need to adapt to this trend by focusing on sustainability, transparency, and offering products with long-term value.

Implications for Society: This trend could lead to reduced environmental impact and a shift away from the negative aspects of consumer culture.

Big Trend Implied: The big trend implied is the growing importance of conscious consumerism and the demand for brands to align with sustainable and ethical practices.

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