As the cost of living reaches unprecedented heights and concerns regarding the state of the environment continue to make headlines, more consumers are eager to save the planet and their budgets by investing in more sustainable products and services.
Amongst the growing number of environmentally-conscious consumers is Generation Z, a group of 20-something-year-olds who have strong values associated with sustainability. According to Pew Research, nearly 76% of Gen Zers consider climate change to be one of the biggest concerns our society is currently facing.
It’s no surprise then that there’s been a pushback to fast culture, with this generation’s growing awareness of its environmental impact and desire to make mindful consumer choices. According to a report by Catawiki, an online marketplace that offers weekly auctions, the auction industry has seen massive growth amongst Gen Z hobbyists (18 - 25 year-olds) with the percentage jumping by 21% in 2021.
Younger individuals are gravitating towards auctions as a sustainable option for a few reasons:
Circular Economy: Auctions promote a circular economy by giving pre-owned items a second life. This aligns with the eco-conscious mindset of reducing waste and minimising the environmental footprint associated with manufacturing new products.
Educational Opportunities: Sustainable auctions often provide educational insights into the history, craftsmanship, and environmental impact of items. This educational aspect adds value to the purchasing experience, allowing buyers to make informed and conscious decisions.
Unique Finds: Auctions offer a diverse range of unique, vintage, or artisanal items that are often not readily available in mainstream retail. This appeals to those who seek distinctive, one-of-a-kind pieces while also championing sustainable practices.
Gen Z’s spending habits on the auction floor
As the auction industry breaks free of the perceived notion that it’s only for Boomers and elitists, in-person, and especially online auctions, have begun attracting a younger crowd, and just in time. The devaluation of NFTs, nostalgia and sustainable values have all come together to create the perfect storm. A 2023 report by ThredUp states that 82% of Gen Zers consider the resale value of apparel before purchasing, a trend that translates into the world of collectables.
A first-generation iPod recently sold for $29 000 while Steve Jobs’ Birkenstocks went for a whopping $218 000. Additionally, upcycled and repurposed furniture is attracting younger buyers, offering pieces that are unique, sustainable and environmentally friendly. Ethically sourced jewellery, antiques and collectables, and reimagined objects are just a few more auction categories Gen Z finds itself interested in.
As the auction industry continues to evolve due to new technologies changing how we move through day-to-day activities, auctioneers will need to brace themselves for a major shift in the way future buyers bid. As nostalgia, one-of-a-kind items and a need for sustainability become non-negotiables, many auction houses anticipate the auction space will soon become more inclusive and flexible.
