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Charging Ahead: An Exploratory Study of Financial Decision-Making among Millennial Consumers

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Consumer Knowledge and Financial Decisions

Part of the book series: International Series on Consumer Science ((ISCS))

Abstract

Evidence suggests that members of Generation Y, or “Millennials,” have weaker financial management skills than other generations. In this chapter, we seek to extend our understanding of Millennials’ financial decisions. We present findings from a qualitative study that explores the reactions of Millennial consumers to typical credit card scenarios, such as whether to accept a new credit card offer or to pay off an outstanding balance. We find that Millennials rely on simple decision heuristics when making financial decisions, have limited understanding of financial and credit principles, and often struggle with self-control in spending.

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Author information

Authors and Affiliations

  1. Marketing Department, The George Washington University School of Business, Funger Hall, Suite 301, 2201 G Street NW, Washington, D.C., 20052, USA

    Vanessa Gail Perry

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  1. Vanessa Gail Perry
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Correspondence to Vanessa Gail Perry .

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Editors and Affiliations

  1. Dept. Economics, University of Maryland, Baltimore County, Hilltop Circle 1000, Baltimore, 21250, Maryland, USA

    Douglas J. Lamdin

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Perry, V.G. (2011). Charging Ahead: An Exploratory Study of Financial Decision-Making among Millennial Consumers. In: Lamdin, D. (eds) Consumer Knowledge and Financial Decisions. International Series on Consumer Science. Springer, New York, NY. https://doi.org/10.1007/978-1-4614-0475-0_9

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