A new TikTok trend called “Underconsumercore” is gaining traction online. The trend promotes minimalism and thrift, encouraging people to maximise the usefulness of their purchases and only buy what they truly need, challenging the culture of consumerism.
Instead of showing off piles of clothes, makeup, or overflowing refrigerator shelves, users post videos showcasing their thrift store purchases, frugal wardrobes, and practical, well-used everyday items.
This growing trend can be linked to some of the challenges facing young people today, including increasing economic pressures, environmental concerns, and societal pressures, all of which are especially impacting Gen Z and young millennials. If you’re also feeling financially strained, you might identify with this trend.
Similar to the trend towards less influence, underconsumption seems to be a reaction to overconsumption, especially as influencers normalize overconsumption by posting howl videos. By promoting underconsumption, online users are rejecting and rebelling against this aspect of “influencer culture”.
No two people in their 20s are the same. Some of you may be saving for a mortgage, others struggling to pay rent. Some of you may be swiping on dating apps, others trying to figure out parenting. Whatever your current challenge, our Quarter Life series has a post for you to share in a group chat and remind you that you’re not alone.
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Born out of necessity
Young people are likely doing so as a way of adapting to growing economic pressures.
For example, according to the Education Data Initiative, the average federal student loan debt balance in the United States is $37,574 per borrower. Student loans are a significant financial burden, often forcing young people to prioritize loan repayment over discretionary spending.
Inflation also continues to erode the purchasing power of Gen Z. Despite signs of economic easing, such as interest rate cuts in Canada, the cumulative effect of high prices continues to strain young people’s finances.
The underlying trend towards underconsumption represents a growing awareness of and adaptation to these economic realities, but it is not the only reason.Another driver of the underconsumption trend appears to be environmental consciousness.
Environmental concerns
Mass consumerism causes serious environmental problems, including the generation of large amounts of waste. In Chile’s Atacama Desert, an estimated 11,000 to 59,000 tonnes of used clothing are left in landfills. This is just one example of how overconsumption pollutes the environment.
A report by ThredUp, an online vintage resale platform, found that 65% of Gen Z respondents want to shop more sustainably. However, a third feel “addicted to fast fashion,” and 72% said they have purchased fast fashion in 2022. Similarly, researchers at Sheffield Hallam University found that 90% of university students have purchased fast fashion in 2022.
Nonetheless, many of these consumers are concerned about sustainability and are actively seeking ways to act more responsibly. Our recent research has found a consistent shift in consumer attitudes towards sustainability practices, especially in fashion. This is especially true for Gen Z, who rely heavily on social media for shopping inspiration.
Younger consumers are becoming more conscious of the environmental impact of their purchasing decisions and are increasingly drawn to sustainable fashion content.
A man looks at a pile of used clothes near the La Mura neighborhood in Alto Hospicio, Chile, on December 13, 2021. Chile is a big importer of used clothing, and unsold goods are dumped there. (AP Photo/Matthias Delacroix)
This shift in consumer attitudes coincides with a broader cultural phenomenon known as the “Marie Kondo effect,” named after the Japanese organizing consultant who advocates keeping only what brings you value and joy. Kondo’s influence has led to a growing interest in deliberate consumption.
However, it is important to note that in some cases, sustainable consumption behavior may be driven by selfish rather than purely altruistic motives. Choosing to consume less or more carefully allows young people to project an image of thoughtfulness, responsibility and uniqueness – qualities that are increasingly valued in the world of social media.
How to be a healthier consumer
If you’re interested in implementing healthier consumption habits, it’s important to understand how to maintain this lifestyle in the long term. There are two main strategies for doing this:
First, find ways to balance frugality with quality of life to maintain your overall happiness. Research shows that combining experiential spending (like travel) with material purchases (like a new smartphone) leads to greater happiness and satisfaction.
If you want to consume less, you don’t have to completely forgo material purchases in favor of experiences; a thoughtful approach is key. (AP Photo/Lindsay Wasson)
Don’t completely forego material purchases in favor of experiences. Instead, a thoughtful approach that includes both types of spending, albeit at lower overall levels, is likely to lead to better results. This approach focuses on conscious consumption rather than total restriction.
Next, focus on improving your financial literacy. Start by creating a budget to ensure your basic needs and basic expenses are met. Work to understand what types of financial products and solutions fit your specific needs. This will help you avoid overspending and make choices that support your long-term financial stability.
Financially literate people can choose products that fit their needs and values without being swayed by pushy marketing and unnecessary features that lead to overconsumption. For example, younger consumers tend to spend more on credit cards that offer attractive rewards, which leads to overconsumption and budget strain in the long run.
While the tendency to under-consumption has potential benefits, it is important to approach it in a balanced way. Combining healthy spending habits with financial literacy is important, but it does not lead to poverty; rather, it should lead to making informed choices that are consistent with your personal values and goals. Done right, under-consumption can lead to financial stability and a more purposeful lifestyle.
