With a spending power hitting trillions of dollars, millennials are fast becoming a force to be reckoned with in the market. But experts and analysts are raising concerns whether all this power is being used wisely and companies are harnessing that buying power.
Millennials, those born between the early 1980s and the early 2000s and also known as Generation Y, are estimated to have a combined global spending power of $2.45 trillion in 2015, according to research by Youbrand. However, this generation has also grown up against a backdrop of austerity and financial uncertainty, meaning that young people—and their cash—are pulled often in opposite directions between consumption and aspiration and wanting to play it safe.
Indeed, 18-to-34-year-olds tends to be more burdened with debt and asset-light than their parents' generation, making them more fiscally conservative, according to research by investment banks.