Gen Alpha is already planning to be your boss

It’s time to stop calling Gen Z the youngest generation in the workforce. Gen Alpha has entered the chat. Although the oldest Gen Alphas have only just hit their teen years, they are deeply financially motivated and ready to be put to work.

If you happen to be living with a Gen Alpha who seems strangely fixated on earning their own money—or who is obsessed with brands and products—you know that we’re raising a generation of hustlers (even if they’re just hustling us). But new data from public relations and marketing firm DKC is shedding even more light on the financial intrigue behind Gen Alpha.

The firm surveyed 1,000 parents of 8- to 15-year-olds about their children’s financial interest and conduct.

The results build on previous research, which found that Gen Alphas, while mostly still in middle school, are massively savvy financially. According to the new survey, a staggering number of Gen Alphas are already earning an income. In total, 95% are making money. But the ways they’re lining their pockets differ. 

The bank of mom and dad

For now, the earnings mostly come from their parents.

Some 85% percent receive an allowance, though most of the parents surveyed (55%) said their kids have to earn it. Good behavior and grades earn money for 67% of Gen Alphas; 78% get paid for doing chores.

However, Gen Alphas aren’t just earning inside their homes. More than half (57%) earn money through babysitting, lawn care, and other jobs, while another 14% use the internet to sell or resell items. 

The earnings are more than pocket change. On average, Gen Alphas have $52 per week of their own money, up from $45 two years ago. That comes out to a whopping $2,704 per year.

A wild time to be coming of age

The world of Gen Alpha—largely happening online—is made up of influencers doing fascinating and sometimes ridiculous things to earn a buck (or millions of them). Whether it’s platforms based on doing good deeds for others, embarrassing themselves for clicks, or taking on inventive tasks like power-washing neighbors’ trash cans, the options to start earning are regularly in their faces.

Likewise, so are brands and products, which is probably why they’re such an influential part of the household when it comes to how money is spent.

Per the new research, parents said about half of household spending decisions come from their Gen Alpha child. Some 69% of the parents surveyed said they learn about brands from their Gen Alpha kids; 71% said they’ve even changed their own consumer choices after learning about brands from their child. 

Sixty-one percent of Gen Alpha parents shop frequently with their children. But they also pay attention to what their kids are looking at online: 54% pay specific attention to influencers their child likes, and nearly half (49%) buy products from ads their child enjoys.

And what is Gen Alpha into? No big surprises here. The top categories where the big spenders are shelling out are food (75%), gaming (71%), entertainment (62%), and clothing (62%).

It’s not always easy raising a generation of kids who are already so interested in earning and spending money.

For starters, they’re constantly ambling for the newest game, pair of shoes, squishy, or viral beverage.

However, parents in DKC’s survey said that kids today aren’t just interested in making money; they’re money-smart, too. A decisive 98% of parents of Gen Alpha kids said they’re teaching their kids about budgeting, or are planning to. 

We know from DKC’s previous research that not only are Gen Alphas attentive to brands (87%), but they also care about a brand’s values (69%).

Of course, when millennial parents were kids, issues like how a company treats their employees or whether they were environmentally conscious simply weren’t on our radar. But today, everything about brands is findable online. As with most things, Gen Alphas are usually the first ones to find it.

View the full article