Monthly Archives: August 2025

Golf Carts Cruising City Streets

If they haven’t arrived already, golf carts could be coming soon to neighborhood streets near you. As consumers look for alternative forms of transportation, these little vehicles are becoming a trendy way to get around. But not everyone is on board.

The pandemic gave golf carts a big boost, with people anxious to get out of the house during the lockdown and interact with others in a socially distanced fashion. Today, demand is at five times its pre-COVID levels, with enthusiasts adopting an entire golf cart lifestyle, using them for most of their outings.

The appeal of golf carts is wide-ranging. Some like that they are less expensive than cars to both purchase and drive, and the electric versions have no emissions. They are popular on social media and have a fashion element to them, being long associated with the wealthy. Today’s versions can be customized to reflect the personal tastes of their owners with everything from premium sound systems and refrigerators to fancy paint jobs and rims. Many just enjoy that golf carts are fun and easy to drive. Since they can access areas that cars cannot, they can eliminate just about all walking. Parking is a breeze.

With their popularity has come backlash. Other drivers complain that slow golf carts impede faster vehicles on the roads and some worry about kids driving them when they don’t have a license or experience on the roads. The size of the carts means they are harder to see and if they are involved in a crash, they do not have airbags or crumple zones to protect occupants. Some don’t even have seatbelts.

Whether golf carts can legally use public roadways is up to state and local governments. Many are looking at their regulations now, determining requirements for street-legal carts and their drivers. With vocal community members on both sides, the decisions are not easy. Even when restrictions are put in place, such rules are not always followed, whether that is willful or due to a lack of awareness.

Activities:

  1. Ask students: Do you think golf carts should be allowed on the streets of your neighborhood (school or home)? Why or why not? What are the current local laws?
  2. The Today Show has a short video about the issues here:  https://www.youtube.com/watch?v=MookuV273I8.
  3. Ask students to form small groups and consider segmentation for the consumer golf cart market. Have them choose two segments that differ substantially in their needs and create a social media ad for each.

Sources: Keilman, John, (11 Aug 2025) Golf Carts Have Taken Over Suburbia. Cue the Resistance, Wall Street Journal. Symes, Steven, (13 Aug 2025) Golf Carts on Public Roads Are Becoming a Problem, Yahoo!Autos.

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Thrifty Trends for Gen Z

McKinsey recently reported on broad consumer spending patterns over the past five years post-COVID. The study notes that consumer sentiment is still worse than it was in early 2020 with persistent uncertainty about the economy, but that spending has been resilient. This indicates an overall weakening of the oft-cited relationship between spending and consumer sentiment. A notable trend has been cross-category adjustments, with consumers trading down in one to allow for a splurge in another.

With Gen Z poised to be the largest and wealthiest generation in history, its spending habits are of particular interest. Compared to others, Gen Z self-defines more often through financial security and career achievement rather than life stages like marriage and child-rearing. Young adults are less optimistic about inflation improving or general increases in economic stability. And yet this group still is likely to pay a premium for convenience.

Purchasing was down by 13% in the first quarter of this year among 18-24 year olds, more than for other age groups. The job market is tight for new graduates, and layoffs often hit recent hires first when they occur. Student loan repayments have restarted as well. Credit delinquencies are highest among young adults, and this group saves less than others too, which is likely to have consequences for future wealth.

Financial pressures seem to have made frugality a trend among Gen Z. Some young people share tips and tricks for managing their tight budgets, such as limiting subscriptions and beauty services, ordering kids’ meals, or even dumpster diving to discover treasures in someone else’s discards. Less expensive activities are growing in popularity too, with young consumers trimming their spending on vacations and dating. They cite examples of group pizza-making at home and enjoying free coffee at high-end furniture stores. One young woman even notes that she uses ChatGPT for therapy sessions.

Activities:

  1. Ask students: Are you worried about the economy? If so, have you made any adjustments to your spending habits?
  2. Have students research trends like ‘underconsumption core’ and ‘no-buy’ on social media. CBS has a short video here:  https://www.youtube.com/watch?v=Iyy2E3RSiyc. What ideas do you find for decreasing spending? Would you try any of them?
  3. Ask students to form small groups and brainstorm ideas for trimming their discretionary budget. Create a short video, social-medial style, describing how you could do it, how much you could save, and what other benefits you might find.

Sources: McKinsey & Company, (09 Jun 2025) State of the Consumer 2025: When disruption becomes permanent, McKinsey.com. Wolfe, Rachel, (24 Jun 2025) Goodbye Fancy Bar, Hello At-Home Pizza Party: Young Americans Cut Back, Wall Street Journal. Burleigh, Emma, (21 Apr 2025) Gen Zers are so terrified of a recession that they’re ditching doom spending, ordering Happy Meals, and using ChatGPT for free therapy, Fortune.com.

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