BUSINESS CENTS
Half of Americans
Experience Financial 'FOMO'
PArticle from BPT Website
What is financial FOMO?
Half of Americans (51%) say seeing what others are buying on social media motivates them to spend money due to a fear of missing out. Of those who have made a purchase because of financial FOMO, 10% say they've done so within the past week.
Nearly 70% of Gen Z say they experience financial FOMO, compared to 57% of Millennials and Gen X and 28% of Baby Boomers. Gen Zers (11%) are also more than twice as likely as Millennials to have bought something within the past week due to financial FOMO.
Americans who do experience financial FOMO are most likely to spend money on experiences like dining out (21%) and travel (18%), but others say it's led them to make investments (16%) and spend at events like concerts (15%).
Financial FOMO can be positive
(BPT) - Over 1 in 2 Americans (51%) have made a purchase or investment due to financial FOMO - the fear of missing out on a financial opportunity or experience. New Empower research shows a comparison effect taking place: Nearly one-third (31%) say they often compare their financial situations with others while scrolling social media. But there is a sense of optimism in the act, as most people say seeing others achieve their financial milestones inspires them to improve their own money habits (71%).
Key takeaways
* Nearly 70% of Gen Z feels financial FOMO while scrolling social media.
* Americans are most likely to spend money on dining out (21%) and travel (18%) due to financial FOMO.
* Over 1 in 2 people (57%) have made a financial decision after seeing others' lifestyles online.