No Kidding:

A 2008 report published in the Journal of the American Academy of Child and Adolescent Psychiatry titled "Understanding the Child Consumer" highlighted a marked increase in children's participation in consumer culture. Between 1989 and 2005, children's purchasing power rose from $6.1 billion to $40 billion, and in 2005, children younger than 14 years old influenced $680 billion of parental expenditures. Nearly 20 years later, this sharp upward trend has continued alongside the evolution of technology. The ability to shop via social media and the rise of influencers who cater to children and teens have given young people even more power as consumers—and marketers are taking notice.

“Children are emerging as legitimate consumers whose perspectives and interests are taken into account in ways they were not in previous generations,” said Dan Cook, distinguished professor of childhood studies in the College of Arts and Sciences at Rutgers–Camden. “This does not mean that they ‘get what they want’ all the time, but their cultures, perspectives, and desires must be considered by parents, marketers, and brand managers.”

According to recent data, 60 percent of Gen Z will do some form of holiday shopping via TikTok, Instagram, YouTube, or similar platforms this year. While online shopping has existed for decades, the ascent of influencer culture has created a new avenue for marketers to attract young consumers.

The move to online advertising and social media has complicated things,” said Nathan Fong, associate professor of marketing in the School of Business–Camden. “You've got kids online trying to be influencers among their peers, and the audience doesn't necessarily grasp the distinction between sponsored and organic content. There's lots of potential for persuasion.”

Although young consumers are often still developing their ability to view advertising with a skeptical eye and to resist the allure of sales pitches, Fong believes they have some advantages over older generations in building these skills.

“Kids can be gullible, but it's not as if child consumers are totally defenseless,” Fong said. “Compared to the simpler days of ads during Saturday morning cartoons, kids are picking up more information-literacy skills from a young age. Advertising aimed at children has also been regulated and sometimes litigated.”

While kids are increasingly making their own purchasing decisions, their impact as consumers is not limited to what they themselves buy. In addition to showing up in parents’ credit-card statements, their preferences may influence their entire families in subtle ways.     

“Kids also impact the consumer habits of parents,” Cook said. “For instance, kids can influence the purchase of a family car, what to do on vacations, or even where to live.”

Fong urged holiday shoppers not to fret about finding the perfect gift for kids. Even if they use cash or a gift card to choose what they want for themselves, they may end up happier—and savvier—as a result.

“While it feels great to nail the perfect gift, it's often hard to predict what kids will want, and there's no shame in admitting you don't know,” Fong said. “If they buy something an influencer sold them, and it turns out to be disappointing, at least it could be a valuable lesson!”

_{Creative Design: Karaamat Abdullah}