Is ’Underconsumption Core’ Hurting Small Cafés?: Part One

“Underconsumption core” is Gen Z’s response to financial distress, and it’s spreading like wildfire across social media. But how does it impact small coffee shops?

BY EMILY JOY MENESES
BARISTA MAGAZINE ONLINE

If you’re on social media, chances are that you’ve heard of “underconsumption core.” This growing trend amongst younger generations is encouraging a more frugal, simplified lifestyle.

The Origins of ’Underconsumption Core’

Underconsumption devotees are documenting their “underconsumption journeys” online. They’re choosing to steer away from excessive consumption and going out—including for coffee runs. Influencers pushing for underconsumption can often be found sharing coffee recipes online, with the hope of discouraging viewers from spending their hard-earned money at cafés.

When jumping into this discussion, it’s important to note that although “underconsumption” is trending on social media, it’s more than just a trend; it’s a response to severe economic downturns in many parts of the world. But with the movement spreading across the internet, we couldn’t help but wonder how small coffee shops are being affected. Today, we’ll delve into the origins of the “underconsumption core” trend, its key motivations, and how the movement has been impacting small businesses—particularly cafés.

Inside an empty café. An espresso machine is in front of the back wall, while coffee bags are for sale to the right.
“Underconsumption core“ is Gen Z’s response to economic downturns—but is their ability to spend less affecting small coffee shops? Photo by Drew Coffman.

Popularizing Frugality

In a world where excess and overconsumption tend to be glamorized, the “underconsumption core” movement is emerging as a form of resistance. In the United States, it’s seen as the younger generation’s response to growing financial distress, with more people being increasingly burdened by student loans, rising prices, and stagnant wages.

“Underconsumption” and the habits that come with the lifestyle have always been a natural part of low-income folks’ lives. But as more people are being negatively affected by the current state of the economy, this way of living is becoming increasingly popular across economic classes.

How Small Cafés Are Being Impacted

“Underconsumption core” encourages people to reduce unnecessary spending and be more selective in their purchases. But the trend isn’t just about restricting spending. It’s also a philosophy that reshapes daily choices. Participants may skip the daily coffee run, choosing to instead brew coffee at home. Across the internet, more emphasis is being placed on making quality coffee at home. While these habits may be financially beneficial to individuals, they can have a long-lasting negative impact on small businesses, including cafés.

“Purchasing power has decreased and people are more picky (now) on what they consume,” shares Barista Magazine Online reader André Hungaro. “It turns out coffee is just not on people’s priority list.”

A hand putting loose change in a glass jar.
Underconsumption isn’t just about limiting spending. It’s an outlook that shapes how people make daily choices. Photo by Frank van Hulst

“I think (fewer people are going to cafés)—mostly due to more affordable equipment, better knowledge on how to make coffee at home, and the rise of more at-home baristas revealing tricks to help said home coffee makers,” shares another Barista Magazine Online reader, Steve T. “Also, our attention span is reducing, then add in technology (turning) more people into homebodies, it makes sense to stay home instead. (Why) spend $8 with tip on a coffee, when you can spend $12-$25 for a bag that yields 12 cups? You end up saving a lot of money. Rising housing costs make extra spending hard on commodities that you can somewhat ‘replace.‘”

Embracing the Movement

At first glance, it may seem like the underconsumption movement is negatively impacting small businesses. Some coffee shop owners, though, suggest that embracing the movement, rather than resisting it, can help your café in the long run.

“We agree and always have been advocating that buying quality, consuming less and being more mindful about resources is essential—it’s not really a new idea, but it feels like social media has amplified awareness around it,” shares London-based café Sendero Coffee. “Embracing minimalism and preserving resources is definitely a positive shift, but it shouldn’t come at the cost of human connection. Coffee shops and restaurants aren’t just places to consume—they’re spaces for communication and exchange, which will always hold value. The focus might shift toward more quality and intentionality, but their importance remains.”

A cash register inside a shop.
With more people being pushed to embrace frugal lifestyles, some coffee shop owners worry that their businesses won’t be able to stay afloat. Photo by Nathan Dumlao.

“As odd as this may seem, we actually encourage people to consume less and we give 10% money back on all of their purchases in-house. We work with single variety farm coffees and traceable ingredients exclusively,” adds Quebec, Canada-based deTerroir café. “We want consumers to eat/drink less, but (consume) better foods. We market ourselves as the ‘sustainable-best-bang-for-your-buck’ option for those looking for better-quality products when they spend their money.”

Stay tuned for part two of this article series, where we’ll further analyze the “underconsumption core” movement and how cafés can adjust to people’s growing desire to consume less.

ABOUT THE AUTHOR

Emily Joy Meneses (she/they) is a writer and musician based in Los Angeles. Her hobbies include foraging, cortados, vintage synths, and connecting with her Filipino roots through music, art, food, and beverage.

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