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Financial Basics Foundation warns of e-commerce ‘gamification’ targeting Gen Z shoppers
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Financial Basics Foundation warns of e-commerce ‘gamification’ targeting Gen Z shoppers
The Financial Basics Foundation has raised concerns over the impact of increasingly sophisticated digital marketing tactics on young consumers during Financial Literacy Month, highlighting the need for stronger financial education to counter the influence of online retailers like Shein and Temu.
Financial Basics Foundation warns of e-commerce ‘gamification’ targeting Gen Z shoppers
The Financial Basics Foundation has raised concerns over the impact of increasingly sophisticated digital marketing tactics on young consumers during Financial Literacy Month, highlighting the need for stronger financial education to counter the influence of online retailers like Shein and Temu.
The not-for-profit organisation is urging schools, parents and young people to build awareness of how retailers use gamification, influencer marketing and hyper-personalised online experiences to encourage excessive spending among young Australians.
Katrina Samios, CEO of Financial Basics Foundation, said that financial literacy must evolve to address the modern pressures young people face online.
“Financial literacy isn’t just about saving, investing and interest rates,” Ms Samios said.
“It’s about being able to recognise value, making informed financial decisions and resisting the draw of manipulative marketing campaigns.”
“Retailers use sophisticated digital tactics to create a sense of urgency and drive impulse spending, often targeting young consumers who may not fully understand the long-term financial impact of their purchases.”
Recent data from Roy Morgan showed that Temu and Shein have more than 2 million monthly users in Australia, generating over $8 billion in annual sales. Gen Z consumers make up 15 per cent of Temu users and 23 per cent of Shein’s customer base.
These shoppers are drawn to discounts, social media recommendations and highly tailored suggestions, according to research by NIQ. Most users are repeat customers, with 40 per cent making four or more purchases in 12 months.
The foundation warned that e-commerce platforms are increasingly deploying gamified features—such as prize wheels, countdown deals and progress bars—to drive purchases. These features are designed to limit decision-making time and increase emotional responses, making it harder for young consumers to stick to budgets.
Social media platforms also play a key role in shaping shopping behaviour, with influencer-driven ‘hauls’ and trend-focused content encouraging fast fashion consumption and over-purchasing.
“E-commerce platforms are becoming increasingly sophisticated in how they lure young consumers, often using tactics that encourage impulse spending, making it easy to lose track of financial limits,” Ms Samios said.
To combat these challenges, the foundation is promoting its Financial Rules of Thumb—a free online resource designed to help young people understand marketing tactics, practice conscious spending, and build better financial habits.
“At Financial Basics Foundation we aim to empower young people with the life skills to think critically about marketing tactics and make informed spending choices,” Ms Samios said.
“By developing financial capability throughout their formative years, young people build strong financial habits that help set them up for a more secure financial future.”
The foundation’s resources are used in over 2,000 high schools across Australia, with more than 30,000 students engaging annually with its ESSI Money simulation game, which teaches core skills in earning, saving, and spending.
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