According to Piper Sandler’s biannual “Taking Stock With Teens” report, teenagers are spending more and shifting their shopping habits, even as they worry about growing economic uncertainty, writes CNBC.
This year, teenagers plan to spend about $2,367 on everything from fast food meals and video games to handbags and sneakers, Piper Sandler found, or roughly $66 billion.
That’s up 9% from reported spending levels in the spring 2021 report and up 4% from Piper Sandler’s fall survey. Reported annual spending by teens peaked at about $3,023 in the spring of 2006.
The report revealed that the teens are also increasingly concerned about the Russian war in Ukraine and less preoccupied with the Covid-19 pandemic.
Athletic apparel brands such as Lululemon Athletica Inc (NASDAQ:LULU) and Nike Inc (NYSE:NKE) are winning out over traditional clothing labels, revealed the report.
Many teens say they’re either unsure of or uninterested in the so-called metaverse — the idea of buying goods through a virtual reality experience.
Retailers including Nike, PacSun, Forever 21, and Ralph Lauren Corp (NYSE:RL) have been dipping their toes in the nascent technology.
Many teenagers also say they’re much more familiar with non-fungible tokens (NFT) than last fall, while only a tiny percentage have purchased one.
71% of teens reported to Piper Sandler that they believe the U.S. economy is getting worse, up from 56% who felt that way last fall and 46% last spring.
When it comes to the metaverse and platforms such as Roblox Corp (NYSE:RBLX) or Decentraland, 26% of teens reported owning some virtual reality device, with just 5% using it daily. 48% said they are either unsure of or not interested in the metaverse.
Photo by SplitShire via Pixabay
