Written by: Eric Bank
Edited by: Lillian Guevara-Castro
Reviewed by: Adam West
Key Takeaways
- Gen Z concert attendees are borrowing money and employing BNPL plans to pay for entertainment tickets.
- People value entertainment experiences more than long-term financial priorities such as savings.
- Lenders and issuers need to review risk models as consumer debt for non-essential spending continues a steady ascent.
American consumers may be modifying their spending in response to inflation and economic instability, but one consumer segment has shown a surprising strength: live entertainment.
Amid increasing ticket prices that have risen more than 32% since 2020, according to Billboard, young consumers are attending concerts in record numbers — even if it means going into debt to do so.
Recent reports from Billboard, Cash App, and Bank of America present a clear picture of just how much fans are willing to spend to see their artists perform live. As reported by Bank of America, Americans last year spent an average of $150 a month on entertainment, and concerts were the most popular activity.
Concert expenditure among some super fans has reached $300 a month. Gen Z, specifically, has also proved a surprising willingness to pay for their fandom, often using Buy Now, Pay Later (BNPL) options, credit cards, or loans.
This desire for live music isn’t a cultural trend — rather, it’s a reflection of changing consumer behavior and spending priorities. Young consumers now prioritize experiences over material purchases or long-term savings.
Over half of Gen Z concert-goers said they used BNPL as a financing option for travel, rooms, tickets, and even outfits, according to a survey conducted by Cash App. The average amount spent on concerts by Gen Z respondents in the last two years was $2,100 and almost 1 in 5 admitted they spent what they could not afford.
As this pattern continues, lenders may see rising utilization rates paired with payment irregularities in younger cohorts, especially those juggling BNPL with traditional credit.
The Times Are Changing
The numbers indicate a worldview in which identity, community, and social media visibility take precedence over fiscal responsibility. Social sites heighten the fear of missing out (FOMO), making concerts must-attend events.
As Lindsay Bryan-Podvin, Financial Therapist for Cash App, noted:
“Gen Z’s ‘do it for the plot’ approach to life may be eclipsing the Millennial YOLO when it comes to spending on music-centric experiences. While saving for a house might feel out of reach, a weekend festival is doable. I always encourage topping off emergency savings while saving for epic shows.”
The effects of this trend are of concern for lenders and issuers. Underwriting models may have to change as more consumers shift toward taking on unsecured debt for discretionary spending.
Traditional credit scoring won’t necessarily measure the intent or frequency of those spending habits. BNPL data, which may not be included in credit reports, creates another level of complexity.
Card issuers and lenders targeting the subprime market can capitalize on these emerging trends — provided they take the risk into account. If gig-economy wallets are draining rainy-day funds or forgoing credit card payments on concerts, it may be a sign of increasing fragility in their financial situation.
Alternatively, cards or other offerings featuring flexible payments or budget counseling may be striking at exactly the right moment for this group of consumers.
Concert spending may look frivolous at face value, but they indicate a profound reordering of priorities on the part of younger Americans. In a business geared toward forecasting risk and controlling repayment patterns, they’re not just a trend — here they’re a market signal and a warning bell combined.
