Doom Spending: The Financial Coping Mechanism We Can't Seem to Quit

Let's be real: who among us hasn't indulged in a little retail therapy when the world feels like it's spinning out of control? That new dress you absolutely had to have for a wedding six months away, the vintage find you haggled down to a fiver on Vinted, or that 'investment piece' trench coat you swear will be in your wardrobe for years – sound familiar? Welcome to the world of doom spending, the financial coping mechanism that's got us all in a chokehold.

Doom spending isn't just about treating yourself; it's a full-blown financial phenomenon that's taken hold, especially among women and Gen Z. It's the art of splurging in the face of uncertainty, a rebellion against the cost-of-living crisis that has us thinking, "If I can't afford a house, I might as well have these shoes."

According to recent data from Klarna, a staggering 78% of Gen Z shoppers admit to making impulse purchases they later regret. It's as if we're collectively deciding that if we can't beat the system, we might as well look fabulous while trying.

Dr. Sarah Johnson, a psychologist specialising in financial behaviors, explains: "Doom spending is often a misguided attempt at control. When the world feels chaotic, clicking 'buy now' gives us a momentary sense of power over our lives."

But why are women, in particular, so susceptible to this financial faux pas? Perhaps it's the targeted marketing that seems to know our deepest insecurities better than our best friends do. Or maybe it's the pink tax that has us paying more for basically everything, making us think, "Well, if I'm going to be overcharged anyway, might as well make it count!"

"I know I should be saving for a deposit, but that feels so far off. So instead, I buy plants. Lots of plants. My apartment looks like a jungle, but at least it's a jungle I own, right?"

For Gen Z, the situation is particularly dire. With homeownership feeling about as attainable as a ticket to the moon, many young adults are throwing caution (and their credit limits) to the wind. A survey by the Financial Conduct Authority found that 45% of 18-24 year olds have used buy-now-pay-later services in the last 12 months, compared to just 25% of 45-54 year olds.

Emily, 23, confesses: "I know I should be saving for a deposit, but that feels so far off. So instead, I buy plants. Lots of plants. My apartment looks like a jungle, but at least it's a jungle I own, right?"

Maria, 32, shares her wake-up call: "I found myself buying expensive skincare products every time I read a negative news article. It was my way of feeling like I was 'investing' in myself, but I ended up with a maxed-out credit card and products I didn't need."

Jasmine, 28, had a similar experience: "After hearing rumors of layoffs at my company, I bought a designer bag. It didn't make me feel more secure; it just added to my financial stres

As if our wallets weren't already crying for mercy, enter the Halloween and Christmas season – the Olympics of doom spending. From Halloween to Christmas, it's like retailers have us under a festive spell, convincing us we need everything from that life-size skeleton for the front garden to a new set of matching family pajamas (because nothing says "Happy Christmas" like coordinated sleepwear, right?)"

Sarah, a 29-year-old marketing executive, confesses: "Last Christmas, I went all out. New decorations, fancy gifts, the works. I told myself it was to make up for the pandemic years, but really, I was just stress-shopping my way through the season. Come January, my credit card bill was scarier than any Halloween horror movie."

The pressure to create the 'perfect' Christmas experience often leads us straight into the arms of consumerism. We're bombarded with images of picture-perfect homes, Instagram-worthy meals, and gifts that promise to make our loved ones' dreams come true. It's enough to make anyone reach for their credit card faster than you can say "Black Friday deal."

But remember, the most meaningful memories rarely come with a price tag. As we navigate this season of giving (and spending), it's worth asking ourselves: Are we buying into happiness, or just buying into hype?

So, how do we move from doom spending to a more sustainable version of control? Here are some of my top tips that don't involve living off instant noodles or selling your soul to the gig economy:

1. The 24-Hour Rule: Before hitting 'checkout', wait a day. If you still want it tomorrow, it might be worth it. If not, you've just saved yourself from another "what was I thinking?" moment.

2. Budget Like a Boss: Create a 'treat yo'self' fund. Allocate a set amount each month for guilt-free spending. When it's gone, it's gone – until next month, that is.

3. Find Your Thrill: Discover activities that give you the same dopamine hit as shopping. Maybe it's mastering a new skill or finally nailing that recipe you've been eyeing on TikTok.

4. Unsubscribe and Unfollow: Those newsletter subscriptions and Instagram ads are the equivalent of having a chocolate cake in your fridge when you're trying to diet. Out of sight, out of mind (and out of cart).

5. Talk It Out: Join a money-savvy squad. Sharing your financial goals (and failures) can be as therapeutic as a good gossip session – and way more productive. We have the perfect one here.

55% of people who engage in regular financial planning feel more in control of their lives (Money and Pensions Service).

Remember, breaking the doom spending cycle doesn't mean never treating yourself again. It's about finding that sweet spot between "I deserve this" and "I can afford this."

A study by the Money and Pensions Service found that 55% of people who engage in regular financial planning feel more in control of their lives. So, the next time you find yourself hovering over that 'buy now' button, take a deep breath and ask yourself: "Is this a want, a need, or a doom-induced desire?" Your future self (and your bank account) will thank you.

Ready to transform your relationship with money from doom to bloom? Join our community of savvy spenders who are mastering the art of mindful moolah management.

If you’re keen to improve your financial wellness then this is the perfect place for you, packed with tips, expert advice, and money transformations. Your journey from financial chaos to cash queen starts here!

Remember, every time you resist an impulse buy, you're not just saving money – you're investing in your peace of mind. And isn't that the most stylish accessory of all?

Speak to a Financial Conduct Authority registered financial adviser before taking financial advice, and think carefully before making any decision.

If you’re concerned about debt, please get in touch with Step Change. If you’re worried about your mental health, you can contact Mind or Samaritans.