Shopping: Why twentysomethings are splurging on pastries and posh socks

Why it is the topic trending:

• Shifting Priorities of Young Adults: In a world facing economic challenges and a perceived difficulty in achieving traditional milestones like homeownership and starting families, the spending habits of young adults are under scrutiny. Their choice to prioritize small, affordable luxuries over long-term investments is seen as a significant shift in priorities.

• The Rise of the "Small Treats Economy": The coining of this specific term highlights a noticeable economic phenomenon where a significant portion of the under-35 demographic is engaging in similar spending behaviors, suggesting a broader trend rather than isolated incidents.

• Social Media Amplification: The article explicitly mentions TikTok as a platform where this trend is highly visible, indicating that social media plays a crucial role in both the spread of the trend and its documentation, making it a relevant topic of discussion and analysis.

• Relatability and Aspiration: The idea of indulging in affordable luxuries like pastries and posh socks might resonate with a wide audience, especially those facing similar economic constraints. It touches upon the desire for small joys and comfort in uncertain times, making it a relatable topic.

• Satirical Commentary on Economic Conditions: The article itself frames the trend as a form of "rolling satire" on late capitalism, suggesting that this spending behavior is a commentary on the current economic realities faced by young adults. This socio-political undertone adds to the newsworthiness of the topic.

Overview: The article explores the emerging "small treats economy," a phenomenon where individuals under 35 are increasingly spending their money on affordable luxuries such as gourmet pastries, high-end socks, expensive lip balms, deli goods, Ubers, and artisanal ceramics. This trend is seen as a response to the economic realities facing this generation, including rising interest rates and financial instability, which may make larger investments like houses and pensions seem unattainable. Instead, young adults are finding agency and comfort in splurging on small indulgences, which are often documented and shared on social media platforms like TikTok. The article delves into the motivations behind this spending, ranging from escapism and survival to ritual and reward, and identifies six common categories of these "small treats."

Detailed findings:

• The "small treats economy" is taking over TikTok: This indicates the strong influence of social media in both driving and showcasing this trend among those under 35.

• Under-35s are splurging on affordable luxuries: The article focuses on this specific demographic and their tendency to spend on items that are not essential but provide immediate pleasure or a sense of well-being.

• Six common indulgences are identified:

  • Pastries: High-quality, often expensive pastries from "hipster bakehouses" are becoming social hubs and a sought-after indulgence, with people willing to queue and pay upwards of £6.50.

  • Posh socks: Instead of basic, affordable socks, young adults are investing in single pairs of high-quality, often branded socks like Falke costing around £18.

  • Lip balm: Expensive lip balms, often priced over £20 (e.g., Laneige and Rhode), are highly popular and seen as a small luxury and a form of self-care.

  • Deli goods: Premium, often artisanal food items like £35 bottles of olive oil (Graza) and £8 tins of gourmet seafood (Fishwife) are being purchased for everyday meals.

  • Ubers: Despite potentially cheaper alternatives like public transport, young adults are choosing the convenience and perceived comfort of Uber rides.

  • Ceramics: Handcrafted, often unique and expensive ceramic items like bowls and mugs from independent shops are gaining popularity among millennials and younger consumers.

• Motivations include escapism, survival, ritual, and reward: Young adults are using these small treats as a way to cope with financial anxieties, create moments of enjoyment, establish routines, and reward themselves.

• Hannah Connolly, a 27-year-old, is quoted saying: "I don’t have no money because I buy small treats, I buy small treats because I have no money," suggesting that these purchases provide a sense of agency or pleasure in the face of financial limitations.

• The trend is framed as a response to economic realities: Factors like rising interest rates and the difficulty of achieving traditional financial milestones (houses, babies, pensions) are seen as contributing to this focus on immediate, affordable pleasures.

• The reasons why twentysomethings are splurging on pastries and posh socks:

  • Economic Uncertainty and Limited Agency: Facing rising interest rates, a high cost of living, and the difficulty of achieving traditional financial milestones like homeownership, young adults may feel a lack of control over their long-term financial futures. Spending on small treats provides a sense of agency and the ability to make enjoyable purchasing decisions in the present.

  • Desire for Immediate Gratification: With long-term goals potentially feeling out of reach, there's a tendency to seek immediate pleasure and satisfaction through affordable luxuries that offer instant enjoyment.

  • Escapism and Comfort: These small indulgences can act as a temporary escape from the anxieties and pressures of economic uncertainty and daily life, offering moments of comfort and well-being.

  • Ritual and Reward: Buying and enjoying these items can become a comforting ritual or a way to reward oneself, providing structure and small joys in everyday life.

  • Social Media Influence: Platforms like TikTok play a significant role in showcasing and normalizing these spending habits. Young adults see others indulging in these treats, leading to a sense of collective participation and aspiration.

  • Affordable Luxury: These items provide a taste of luxury and a sense of well-being without requiring a significant financial commitment, making them accessible even with limited disposable income.

  • Self-Care: Products like expensive lip balms tap into the broader trend of self-care, where young adults prioritize their well-being, even through small acts of indulgence.

  • Personal Aesthetic and Identity: Choosing specific items like stylish socks or artisanal pastries can contribute to an individual's sense of style and identity, especially as shared online.

  • Perceived Satire of Economic Conditions: The article suggests that this trend could be a form of ironic commentary on the current economic system, with small treats acting as a temporary balm to larger financial anxieties.

Key success factors of product (trend):

• Affordability: The items within the "small treats economy" are generally priced at a level that is accessible to young adults even if they are facing broader financial challenges. They offer a taste of luxury without a significant financial commitment.

• Indulgence and Treat Factor: These purchases are positioned as treats or small indulgences that provide a sense of pleasure, comfort, or reward, offering a momentary escape or boost to well-being.

• Social Media Visibility and Aesthetism: Many of these items, such as artisanal pastries, stylish socks, and aesthetically pleasing deli goods and ceramics, are visually appealing and lend themselves well to being shared on social media platforms, further driving the trend.

• Sense of Agency and Control: In a world where larger financial goals may seem out of reach, splurging on small treats can provide a sense of agency and control over one's own spending and enjoyment.

• Alignment with Self-Care and Well-being: Products like expensive lip balms tap into the broader trend of self-care and prioritizing personal well-being, even through small acts of indulgence.

• Status and Aspiration (at a lower price point): Some of these items, like branded socks or gourmet food, can offer a subtle sense of status or aspiration without the hefty price tag of traditional luxury goods.

Key Takeaway: Twentysomethings and young thirtysomethings are increasingly participating in a "small treats economy," opting to spend their limited disposable income on affordable luxuries as a way to find pleasure, agency, and comfort in the face of economic uncertainties and the perceived unattainability of traditional financial milestones.

Main trend: The main trend is the emergence and growth of the "small treats economy" among young adults under 35, characterized by a prioritization of spending on small, affordable luxuries as a response to economic realities and a search for immediate gratification and agency.

Description of the trend: The "Small Treats Economy": This trend describes a significant shift in spending habits among individuals under the age of 35. Instead of primarily focusing on saving for long-term goals or purchasing big-ticket items, this demographic is increasingly allocating their disposable income towards frequent purchases of small, relatively inexpensive luxuries or "treats." These items, while not necessities, offer a sense of pleasure, comfort, or status and can range from gourmet pastries and high-quality socks to expensive lip balms and artisanal food products. The "small treats economy" is seen not just as a pattern of individual spending but as a broader economic and social phenomenon, potentially reflecting the economic challenges and shifting priorities of this generation in the current socio-economic climate.

What is consumer motivation:

• Seeking Immediate Gratification: In an environment where long-term financial goals may seem distant or unattainable, young adults are motivated to seek immediate pleasure and satisfaction through small indulgences.

• Finding Affordable Luxury: These "small treats" offer a taste of luxury and a sense of well-being without requiring a significant financial outlay, making them accessible even with limited disposable income.

• Experiencing Escapism and Comfort: These purchases can provide a temporary escape from the anxieties and pressures of economic uncertainty and daily life, offering moments of comfort and enjoyment.

• Establishing Rituals and Rewards: The act of purchasing and enjoying these small treats can become a form of self-reward or a comforting ritual that provides structure and pleasure in daily life.

• Achieving a Sense of Agency: In a world where larger financial control may feel limited, choosing to spend on these small treats can offer a sense of personal agency and decision-making power.

• Building a Personal Aesthetic and Identity: The selection and enjoyment of items like stylish socks, artisanal ceramics, or gourmet food can contribute to an individual's sense of style and identity, particularly as shared on social media.

What is driving trend:

• Economic Uncertainty and Precarity: Rising interest rates, the high cost of living, student debt, and the difficulty of entering the housing market contribute to a sense of financial instability among young adults, making long-term investments seem less feasible in the short term.

• Social Media Influence and Peer Culture: Platforms like TikTok play a significant role in showcasing and normalizing the "small treats economy," with individuals sharing their purchases and experiences, leading to a sense of collective participation and aspiration.

• Delayed Achievement of Traditional Milestones: The postponement of traditional life milestones such as homeownership, marriage, and starting families may lead to a shift in spending priorities towards more immediate pleasures.

• Increased Focus on Self-Care and Well-being: The broader cultural emphasis on self-care and prioritizing mental health may lead young adults to justify these small indulgences as investments in their well-being.

• Marketing and Consumer Culture: Brands are increasingly targeting young adults with marketing that promotes affordable luxuries and emphasizes the emotional benefits of small indulgences.

• Perceived Satire of Late Capitalism: The article itself suggests that this trend is a form of ironic commentary on the current economic system, with small treats acting as a temporary balm to larger financial anxieties.

What is motivation beyond the trend:

• Seeking Joy and Pleasure in Daily Life: Beyond just coping with economic hardship, humans have a fundamental desire for small joys and pleasures that enhance their daily experiences.

• Expressing Individuality and Taste: Choices in items like ceramics or deli goods can be a way for individuals to express their unique taste and preferences.

• Connecting with Others: Visiting "hipster bakehouses" or sharing finds on social media can be a way for young adults to connect with like-minded individuals and participate in shared cultural experiences.

• Creating Moments of Beauty and Delight: Items like artisanal pastries or aesthetically pleasing ceramics can bring a sense of beauty and delight into everyday life.

Description of consumers article is referring to: The article refers to twentysomethings and young thirtysomethings, specifically mentioning the demographic under 35.

• Who are they? This group typically includes individuals born between the early 1990s and the late 1990s to early 2000s (twentysomethings) and those born in the late 1980s to early 1990s (young thirtysomethings). They are often characterized by their experience in the digital age and facing specific economic conditions.

• What kind of products they like? The article indicates a preference for "affordable luxuries" or "small treats" across various categories including food (pastries, deli goods), fashion (posh socks, potentially lip balm and phone cases as style items), and lifestyle (Ubers for convenience, artisanal ceramics for home). These items often have a quality or aesthetic appeal that goes beyond basic necessities.

• What is their age? Roughly 20 to 34 years old in 2025.

• What is their gender? The article does not specify gender preferences for this trend; it seems to be prevalent across genders within the age group.

• What is their income? The article implies that this group may not have high disposable income due to economic factors, hence the focus on "affordable" luxuries. Income levels likely vary within this age range, but the common thread is the prioritization of spending on small treats rather than larger investments.

• What is their lifestyle? Their lifestyles are likely diverse, ranging from early career professionals to those still establishing themselves. Many are active on social media and influenced by online trends. They value experiences and may prioritize spending on things that bring immediate enjoyment or enhance their daily lives.

• What are their category article is referring shopping preferences? They seem to shop across various categories, including food and beverage, fashion accessories, personal care, and homewares. Their shopping is likely influenced by aesthetics, quality (even if in small quantities), and the desire for a treat or indulgence. Convenience (like using Uber) also plays a role.

• Are they low, occasional or frequent category shoppers? They appear to be frequent shoppers within the "small treats" categories, regularly purchasing pastries, posh socks, lip balms, etc., as part of their lifestyle.

• What are their general shopping preferences - how they shop products, shopping motivations? They are likely influenced by social media and online trends. They may seek out unique or artisanal items (e.g., from "hipster bakehouses" or independent ceramic artists). Their shopping motivations include immediate gratification, self-reward, and a desire to enhance their daily lives with small pleasures, possibly as a way to cope with broader economic anxieties.

Conclusions: The "small treats economy" highlights a significant shift in spending patterns among young adults under 35, driven by economic realities and a desire for immediate gratification and agency. By splurging on affordable luxuries across various categories, this generation is finding comfort, establishing rituals, and perhaps even subtly commenting on the challenges they face in achieving traditional financial milestones. This trend, amplified by social media, suggests a reevaluation of priorities where small, frequent indulgences are valued as a way to enhance daily life in an uncertain economic landscape.

Implications for brands:

• Opportunity to Cater to Affordable Luxury: Brands can tap into this trend by offering high-quality, aesthetically pleasing products at price points accessible to young adults.

• Emphasis on Indulgence and Self-Reward: Marketing messages should focus on the treat aspect of products and how they contribute to self-care and well-being.

• Leverage Social Media for Visibility: Brands should utilize platforms like TikTok to showcase their affordable luxury items and engage with the "small treats economy" trend.

• Consider Emotional Connection and Storytelling: Brands that can connect with the emotional drivers behind this trend (escapism, reward, agency) will likely resonate more effectively with young consumers.

• Focus on Quality Over Quantity (in some cases): The trend towards higher-quality single items (like Falke socks) over multipacks suggests an opportunity to market premium quality even in smaller, more affordable products.

Implication for society:

• Reflection of Economic Realities: The "small treats economy" can be seen as a symptom of broader economic challenges faced by young adults, including stagnant wage growth relative to the cost of living and difficulties in wealth accumulation.

• Potential Shift in Consumer Values: The trend might indicate a change in values, with a greater emphasis on immediate experiences and pleasures rather than solely focusing on long-term investments.

• Impact on Savings and Investment: The increased spending on small treats might have implications for the amount of money young adults are able to save or invest for the future.

• Social Commentary Through Spending: As the article suggests, this trend could be interpreted as a form of subtle commentary on the current economic system and the perceived unattainability of traditional markers of success.

Implications for consumers:

• Increased Spending on Non-Essential Items: Young adults may find themselves allocating a significant portion of their disposable income to these small treats.

• Potential for Short-Term Pleasure and Reduced Long-Term Savings: While these purchases offer immediate gratification, they might come at the expense of saving for future goals.

• Emphasis on Experiencing Small Joys: Consumers may find more satisfaction in frequent small indulgences that enhance their daily lives.

• Influence of Social Media on Spending Habits: Young adults may feel pressure to participate in this trend or to showcase their purchases on social media.

• Focus on Quality Over Quantity in Certain Categories: They might opt for fewer but higher-quality items in categories aligned with this trend.

Implication for Future:

• Continued Growth of the Affordable Luxury Market: Brands catering to the "small treats economy" may see continued growth as long as economic conditions for young adults remain challenging.

• Evolution of Spending Priorities: Future generations' spending priorities may continue to reflect a balance between long-term goals and immediate gratification, potentially solidifying the importance of affordable luxuries.

• More Brands Tailoring to This Market Segment: We might see more brands specifically targeting young adults with product lines and marketing strategies that align with the "small treats" trend.

• Potential for a Re-evaluation if Economic Conditions Improve: If the economic outlook for young adults improves significantly, their spending priorities might shift back towards more traditional investments and purchases.

Consumer Trend: Affordable Indulgence: Consumers, particularly young adults, are increasingly seeking out and spending on small, relatively inexpensive items that provide a sense of luxury, pleasure, or treat, often as a way to enhance their daily lives or cope with broader economic pressures.

Consumer Sub Trend: Socially Validated Spending: The popularity of the "small treats economy" is heavily influenced and validated by social media platforms, where users share their purchases and experiences, contributing to the normalization and aspiration around these indulgences.

Big Social Trend: Shifting Priorities in Adulthood: The focus on immediate pleasures over traditional markers of adult success (like homeownership) among young adults may reflect a larger societal trend of changing priorities and timelines for achieving life goals in the face of evolving economic landscapes.

Worldwide Social Trend: Global Desire for Small Luxuries in Economic Uncertainty: The tendency to seek comfort and pleasure in small, affordable luxuries during times of economic uncertainty is likely not limited to the UK and could be observed in similar patterns of consumption among young adults in other parts of the world facing similar economic challenges.

Social Drive: Pleasure and Reward: The fundamental human drive to seek pleasure and reward is a key motivator behind the "small treats economy," with these purchases offering a readily accessible source of positive reinforcement and enjoyment.

Learnings for brands to use in 2025:

• Understand the Psychological Drivers: Recognize that these purchases are often driven by a need for comfort, agency, and small joys, not just functional needs.

• Highlight Value Beyond Price: While affordability is key, emphasize the quality, aesthetic appeal, or emotional benefits of the "small treat" products.

• Engage Authentically on Social Media: Connect with young consumers on platforms they use to share their "small treat" experiences, using relatable and genuine content.

• Consider Limited-Edition or Themed "Treat" Collections: Offer special, limited-time products that tap into the desire for novelty and indulgence within an accessible price range.

• Facilitate Sharing and Community: Encourage consumers to share their purchases and experiences online, fostering a sense of community around the brand and the "small treats" trend.

Strategy Recommendations for brands to follow in 2025:

• Develop Product Lines Focused on Affordable Luxury: Create product offerings specifically designed to appeal to the "small treats" mentality, with price points that resonate with young adults.

• Implement Social Media Marketing Campaigns: Utilize platforms like TikTok and Instagram to showcase products in the context of the "small treats economy," using relevant hashtags and engaging with user-generated content.

• Collaborate with Influencers in Relevant Niches: Partner with social media influencers who authentically embody and promote the "small treats" lifestyle to reach target audiences effectively.

• Offer Bundles or Curated "Treat Boxes": Create attractively packaged bundles of smaller items that align with the trend, providing a convenient way for consumers to indulge.

• Incorporate "Treat Yourself" Messaging: Frame marketing communications around the idea of self-care, reward, and the joy of small indulgences to resonate with the motivations behind this trend.

Final sentence: In 2025, brands looking to connect with young adults should embrace the "small treats economy" by offering affordable luxuries that tap into desires for pleasure, comfort, and social sharing, and by authentically engaging with consumers on the platforms where this trend thrives.

Final Note:

• Core Trend: Affordable Indulgence: The increasing tendency for young adults to spend on small, relatively inexpensive luxuries.

• Core Strategy: Cater to the "Treat Yourself" Mentality: Brands should focus on offering products that provide a sense of indulgence and well-being at an accessible price point.

• Core Industry Trend: Evolution of Consumer Priorities in Young Adults: A shift towards valuing immediate pleasures and small luxuries in the face of economic uncertainty.

• Core Consumer Motivation: Seeking Pleasure and Agency in Limited Financial Circumstances: Young adults are using small treats to find enjoyment and a sense of control within their economic realities.

Final Conclusion: The "small treats economy" is a significant indicator of the current priorities and coping mechanisms of young adults in 2025. For brands, understanding this trend and the motivations behind it is crucial for developing effective marketing and product strategies that resonate with this influential demographic. By focusing on affordable luxury, emphasizing the emotional benefits of small indulgences, and engaging with consumers on social media, brands can successfully tap into this growing market and build meaningful connections with the next generation of consumers.

Core Trend Detailed: Affordable Indulgence describes a significant shift in consumer spending, particularly among younger generations like Gen Z and millennials, where individuals prioritize the purchase of small, relatively inexpensive items that offer a sense of luxury, pleasure, or treat. This trend is characterized by a willingness to spend slightly more than necessary on everyday items or to acquire non-essential goods that provide immediate gratification and enhance the quality of daily life. It reflects a potential change in values, where frequent, small indulgences are favored over saving for larger, less immediate purchases, possibly as a response to economic uncertainties or a desire for consistent, accessible sources of enjoyment.

Key Characteristics of the Core trend:

• Emphasis on Small Luxuries: Consumers are opting for higher-quality, aesthetically pleasing, or specialty versions of everyday items, as well as small, non-essential goods that feel like a treat.

• Accessible Price Points: The items within this trend are generally affordable enough to be purchased regularly without significant financial strain.

• Focus on Sensory Pleasure: Many of these indulgences, such as gourmet food and high-end personal care items, appeal to the senses and provide immediate pleasure.

• Integration into Daily Routines: These small treats are often incorporated into daily rituals, providing moments of comfort, reward, or escape.

• Social Media Visibility: The trend is often amplified by social media, with consumers sharing their indulgent purchases, further popularizing specific items and brands.

Market and Cultural Signals Supporting the Trend:

• Twentysomethings Splurging on Pastries and Posh Socks: The article itself provides numerous examples of specific product categories within this trend, including high-end baked goods and expensive socks.

• TikTok's "Small Treats Economy": The significant presence of this phenomenon on social media platforms like TikTok demonstrates its cultural relevance and the degree to which young consumers are engaging with and sharing this trend.

• Increased Interest in Gourmet and Artisanal Food Items: The popularity of premium olive oils and tinned seafood indicates a willingness to spend more for a perceived higher quality in everyday food.

• Demand for High-End Lip Balms and Self-Care Products: The enthusiasm for expensive lip balms points to a broader trend of investing in small indulgences within the realm of personal care and self-care.

• Preference for Convenient but Slightly More Luxurious Options like Ubers: Choosing Uber over cheaper alternatives for the sake of comfort and convenience aligns with the desire for small, immediate upgrades to daily life.

How the Trend Is Changing Consumer Behavior:

• More Frequent Small Purchases: Consumers are likely making more frequent purchases of these smaller, indulgent items rather than saving for larger, less frequent splurges.

• Greater Willingness to Spend on Non-Essentials: There is a shift towards allocating disposable income to non-essential items that provide immediate pleasure or enhance daily routines.

• Influence of Aesthetics and Branding: The visual appeal and brand perception of these small treats play a significant role in consumer choice, as many are shared and discussed online.

• Potential Prioritization of Experiences (even small ones): The trend might reflect a broader prioritization of experiences and moments of enjoyment, even in the form of a delicious pastry or a comfortable pair of socks.

• Seeking Out "Instagrammable" or Shareable Items: The desire to share purchases on social media can influence which "small treats" consumers choose to buy.

Implications Across the Ecosystem:

• For Brands and CPGs:

  • Opportunity to develop and market premium versions of everyday products at accessible price points.

  • Focus on creating visually appealing and "shareable" products.

  • Emphasis on marketing that highlights the indulgent and self-rewarding aspects of these items.

• For Retailers:

  • Curating selections of affordable luxury items in categories like food, fashion accessories, and home goods.

  • Creating appealing in-store displays that showcase these "treat" products.

  • Potentially partnering with local artisans or specialty brands that align with this trend.

• For Consumers:

  • Experiencing more frequent moments of pleasure and enjoyment through these small indulgences.

  • Potential trade-off between spending on these treats and saving for longer-term financial goals.

  • Increased exposure to and influence from social media trends in their purchasing decisions.

Strategic Forecast:

• Continued Growth in the Affordable Luxury Segment: The "Affordable Indulgence" trend is likely to persist, especially among younger generations, as long as economic conditions and social media influence remain strong.

• More Brands Entering This Market: Expect to see more brands, both established and new, tailoring their offerings to cater to this demand for small luxuries.

• Evolution of "Must-Have" Small Treats: Specific items and categories within this trend may shift over time, influenced by social media and changing consumer preferences.

• Potential Integration with Subscription Services: We might see more subscription services offering curated boxes of "small treats" across various categories.

• Emphasis on Authenticity and Craftsmanship: Consumers may increasingly value artisanal or handcrafted items that offer a sense of uniqueness and quality within the affordable luxury space.

Final Thought: The "Affordable Indulgence" trend among young adults signifies a contemporary approach to consumerism, where the pursuit of small, accessible luxuries offers a means of immediate gratification and personal well-being, reflecting a shift in priorities within the context of current economic and social landscapes.

Source: https://www.thetimes.com/life-style/fashion/article/small-treats-economy-gen-z-nbn3zk6l2