‘Jjantech’ Made Fun... MZ Generation's Unique Saving Methods

Changes in Consumption Patterns of 20s and 30s Generations Toward Frugality Amid High Inflation
Also Shows Traits of Seeking Fun Through Unique Saving Methods

Walking app tech that rewards points upon reaching targets is attracting the interest of the MZ generation. The photo is not related to the specific content of the article. [Image source=Pixabay]

[Asia Economy Intern Reporter Lee Gyehwa] As the '3 highs' phenomenon of high interest rates, high inflation, and high exchange rates continues, the consumption patterns of the 20s and 30s generation, who used to boldly spend money to enjoy the present rather than prepare for the future, are shifting towards a frugal style. Unlike previous generations who saved unconditionally, they are very interested in sharing information with each other and finding ways to enjoy daily life as well.

Recently, among the 20s and 30s generation, so-called 'Jjantech (Jja-da + Finance)' consumption, which meticulously manages even small amounts, is spreading. As prices of daily necessities such as ramen and public utility fees like gas and electricity have risen, disposable income has decreased, leading them to tighten their belts. On the 14th, the Bank of Korea's Monetary Policy Committee forecasted that domestic consumer prices would show a high increase of around 5-6% for a considerable period due to inflationary pressures influenced by the rising exchange rate.

The 20s and 30s generation accept saving as a trend, unlike previous generations. While the baby boomers (born between 1955 and 1963), who experienced extreme poverty after the Korean War, practiced extreme saving such as 'tightening belts and wringing out dry dishcloths,' today's young generation posts saving certification shots on social networking services (SNS) like Instagram and YouTube and shares important 'honey tip' information with each other, pursuing fun as well.

As a result, young people naturally seek unique saving methods. For example, being familiar with digital environments such as smartphones, they are highly interested in 'Apptech,' which allows them to earn small rewards while going about daily life using applications (apps). The 'Toss Pedometer' used by 4 million people, the 'Walking Challenge' in Samsung Financial Group's integrated app, and 'KB Daily Walking' within the Kookmin Bank app provide small points when goals are achieved. Considering that the basic bus and subway fares are 1,200 won and 1,250 won respectively, one can earn enough points in a month to cover daily round-trip transportation and coffee costs. Since points can be earned just by walking during commuting and lunch breaks without much effort, and health is also taken care of, 'walking apptech' is popular among young people.

Also, the MZ generation moves around apps in finance, retail, and gaming sectors to engage in 'digital waste picking.' This refers to collecting small amounts of cash or points daily by checking in on apps, watching ads, or completing missions. Consequently, financial products and services targeting the digital waste picking craze are emerging one after another. Kakao Bank introduced '26-day Savings' with Baedal Minjok. By saving 500 to 2,000 won daily for 26 days and accumulating up to 52,000 won, users can receive Baedal Minjok gift certificates. Kim, a 30-year-old office worker, said, "After joining apptech and reaching the goals, I earn 100 to 200 won in rewards. I thought it was insignificant because it was a small amount, but after accumulating, it became a considerable sum."

This content was produced with the assistance of AI translation services.