Ketiz Singh

The Invisible Influence of Social Media on Your Financial Decisions

Are You Falling for the Social Media Trap?

Hey there, young Indian reader! Let me ask you a question – if you had access to half a million pounds, how would you use it? Buy a house, start your own business, splurge on luxury products, or buy luxury cars?

Most people would choose to invest in a house or start a business, but I made the mistake of wasting over half a million pounds on luxury products and cars in the last decade. This isn’t a tale of bragging about my financial mistakes, but a cautionary story about the invisible influences of social media in our lives.

The Grasp of Social Media

Every day, we spend over 150 minutes on social media apps, yet we fail to realize its impact on our daily lives. Social media influences over 80% of consumer purchases based on friends’ posts and over 75% based on companies we follow online. It affects everyone, regardless of income level or background.

Even wealthy individuals making over 100,000 pounds a year feel pressured to keep up with an expensive lifestyle portrayed on social media. This phenomenon, known as the “man in the car paradox,” makes us believe that luxury items seen online will bring us fulfillment, but it’s far from reality.

Taking Control of Your Financial Decisions

As a tech entrepreneur, I learned the hard way that luxury isn’t the key to belonging. To combat the negative effects of social media on our finances, here are some steps I follow:

• Limit Your Social Media Usage: Spend a maximum of 30 minutes a day on social media to free up time for more meaningful activities.
• Follow Value-Adding Accounts: Only follow accounts that provide educational or inspiring content, and be cautious of the hidden agendas behind every post.
• Implement a 48-Hour Rule: Wait 48 hours before making impulse purchases influenced by social media, especially on time-limited items designed to trigger the fear of missing out.

It’s essential to understand the “data rot effect,” where one purchase leads to a cycle of overconsumption to match that initial buy. By following these steps, we can break free from this cycle and invest our time and money wisely for a better future.

Remember, social media should enhance our lives, not control our decisions. Take charge of your financial well-being and make informed choices that align with your values and goals. You’ve got this!

Thank you for reading, and stay mindful of the influences around you.