This generation has been placed at the apex of industry death, but with their crushing student debt, environmental anxiety and passion for ethical consumption, what can we expect?
Their spending habits reflect a stark difference to those of older generations, like Gen X and boomers.
One major issue is that millennials are overall less financially well off than older generations, says a study published by the Federal Reserve Board in 2018. Further, an Experian consumer debt study states that millennials owed an average of $38,877 in student loans as of 2021.
It’s not that millennials aren’t buying anything, they just don’t want to waste their hard-earned money.
Here are some things that millennials are happy to drop from their budget
The wedding industry: Millennials haven’t totally abandoned the institution of marriage. But they are taking a much different approach to their big day. This means cutting costs on traditional wedding elements like centerpieces, extravagant decor and open bars. At a millennial wedding, you’re likely to see a food truck rather than catering, a ceremony in a backyard instead of a pricey venue and a considerably smaller guest list.
Dairy milk: Lots of millennials choose non-dairy milk for environmental reasons. According to a 2020 study by YouGov, one in five millennials have changed their diet to reduce their impact on the planet. Cost effectiveness also plays a factor.
Wasteful products: Single-use items like paper plates, plastic water bottles, straws and shopping bags are also being phased out by this generation.
Houses: Millennials may not be refusing to buy houses, but the economy has made it pretty difficult for them to be able to.
Department stores: Online shopping has become the go-to method for millennials. According to eMarketer, 20.2% of all American online shoppers in 2020 were aged 25-34.