{"id":165326,"date":"2024-10-10T18:01:55","date_gmt":"2024-10-11T00:01:55","guid":{"rendered":"https:\/\/tecscience.tec.mx\/en\/?p=165326"},"modified":"2024-10-10T18:08:24","modified_gmt":"2024-10-11T00:08:24","slug":"generation-z","status":"publish","type":"post","link":"https:\/\/tecscience.tec.mx\/en\/human-social\/generation-z\/","title":{"rendered":"Key Insights into Generation Z’s Consumption Habits"},"content":{"rendered":"\n

Entertainment and leisure activities \u2014such as concerts and outings with friends\u2014 followed by emergencies and education, are central to the saving and spending habits of Generation Z college students<\/strong>, according to a report released by researchers from the School of Business at Tec de Monterrey.<\/p>\n\n\n\n

The study, titled Generation Z and Their Financial Culture<\/strong><\/em>, delves into how college-aged centennials manage their personal finances<\/strong> and the value of accessible financial education, as noted by Kathia Ramos<\/a>, director of the Bachelor\u2019s in Finance program at Tec.<\/p>\n\n\n\n

The report reveals that the percentage of young people saving for entertainment and leisure ranges from 30% to 38%<\/strong>, varying by gender. When it comes to emergency savings, the most significant portion is among individuals identifying as non-binary, with 46.2%, in stark contrast to the lower percentage (18%) of both men and women.<\/p>\n\n\n\n

\u201cWhat’s particularly striking is their confidence in formal saving<\/strong>, meaning through traditional or digital banks<\/strong>. This is an intriguing characteristic, as previous generations often displayed a certain mistrust or unfamiliarity with the banking system due to the crises of the ’90s and earlier decades,\u201d Ramos points out.<\/p>\n\n\n\n

The study further explores the financial culture and education of centennials<\/strong>, examining their income sources, savings, expenditures, and credit usage, along with their integration into the financial system.<\/p>\n\n\n\n

Financial Culture and Education Among Generation Z<\/h2>\n\n\n\n

This report, conducted by researchers at the Center for Financial Access, Inclusion, and Research (FAIR Center)<\/a><\/strong> at the School of Business<\/strong>, surveyed 653 undergraduate and graduate students from Tec who were born between 1995 and 2004. The sample included 323 women, 317 men, and 13 individuals identifying as non-binary.<\/p>\n\n\n\n

In addition to their confidence in the banking system, the researchers highlight that, as digital natives, these students access financial services through platforms like online banking. Notably, four out of ten respondents reported using apps to manage their finances<\/strong>.<\/p>\n\n\n\n

The study also examines key spending categories, with food accounting for about 50% of expenses<\/strong>, followed by entertainment, education, healthcare, personal care, and transportation<\/strong>. The most commonly used form of credit is the bank card<\/strong>, utilized by 47.3% of men, 23.5% of women, and 23.1% of non-binary individuals.<\/p>\n\n\n\n

Regarding financial education, the study indicates that centennials are already familiar with concepts such as retirement accounts (afore), credit bureaus, cryptocurrencies, inflation, and risk diversification.<\/strong> Their primary sources of information for achieving future economic well-being include university courses, external sources like family, and social media.<\/p>\n\n\n\n

\u201cThe difference in this generation lies in their financial culture<\/strong>, which they build based on the education they receive about various products and services and how the financial system works,\u201d adds Ramos.<\/p>\n\n\n\n

The study is descriptive in nature and aims to provide a clearer picture of Generation Z’s habits concerning money management, saving, and investing<\/strong>, according to Osmar Zavaleta<\/a>, associate dean of research at the School of Business and EGADE Business School at Tec.<\/p>\n\n\n\n

\u201cThis insight could be invaluable for financial institutions, allowing them to tailor their products and services to better suit the characteristics and preferences of this generation. For instance, we refer to this generation as digital natives or consumers of specific products and services.\u201d<\/p>\n\n\n\n

Series of Reports on Generation Z<\/h2>\n\n\n\n

Zavaleta tells TecScience<\/strong><\/em> that this report is part of the Gen Z Series<\/a>, which consists of four volumes<\/strong> that explore the behaviors, values, and concerns of centennials in the following areas:<\/p>\n\n\n\n