Why is Gen Z Going Broke to Look Rich? A Qualitative Analysis of Social Media, Lifestyle Signalling and Aspirational Consumption

Abstract:
This study examines why some Gen Z consumers appear willing to compromise financial stability in order to maintain an image of success. It explores how social media exposure, social comparison, lifestyle aspirations and access to credit shape spending behaviour among young consumers.

The study adopts an exploratory qualitative research design based on semi-structured depth interviews with 18 Gen Z participants aged primarily 18–25. Interview transcripts were analysed using in-vivo coding to identify recurring categories and broader themes.

Three major themes emerged: curated reality and fear of missing out, lifestyle masking and social signalling, and impulsive and lifestyle-oriented spending. The findings suggest that repeated exposure to curated lifestyles can shape social benchmarks, encourage aspirational identity-building and increase the symbolic role of consumption. Access to instalment credit appeared to facilitate some status-oriented purchases, although credit was not a universal driver across participants.

The study concludes with implications for financial institutions, marketers, social media creators and policymakers, including responsible credit design, authentic marketing, healthier digital narratives and stronger financial literacy.