Filipino youth are optimistic for the future

More than four in five Filipino youth have a positive outlook for the next five years, according to a new collaborative study by Vero Advocacy and Kadence International. However, this optimism is tempered by a strong demand for urgent reforms in employment, education, and healthcare.

The study surveyed over 2,700 Gen Z and Millennials across six Southeast Asian countries, including 453 respondents from the Philippines. Vero Advocacy, a government relations arm, and Kadence International, a global market research agency, aim to explore the shared perspectives of these generations, uncovering their aspirations and challenges to help guide governments and the private sector in developing policies and initiatives that address current needs and drive long-term growth.

According to the survey, 43% of Gen Z Filipinos expect a “much better” future, and 42% anticipate a “better” life in the next five years – only slightly higher than the combined optimism rate of Millennial Filipinos, which stands at 84%. Overall, Filipino youth are more optimistic than their peers in Singapore (69%) and Malaysia (77%), with similar levels of hope for the future as young people in Indonesia (89%), Vietnam (89%), and Thailand (87%).

Both Gen Zs and Millennials in the Philippines, however, identified employment opportunities, quality education, and accessible healthcare as their top challenges. Though these issues are prevalent across the surveyed markets, satisfaction rates for these three areas of concern were the lowest among Filipino respondents. Other concerns include environmental protection, affordable housing, and effective taxation and resource management.

Employment opportunities – or the lack thereof – create uncertainty

Many young Filipinos feel uncertain about their professional futures, with 35% of Gen Z and Millennial respondents expressing a dissatisfaction over job security. Indeed, Filipino youth were the least satisfied with job security among the six countries surveyed, with a 29% satisfaction rate that lags far behind the second lowest satisfaction rate of 43% for Malaysia.

It comes as no surprise, then, that 31% of Gen Z Filipinos and 36% of Millennial Filipinos ranked employment opportunities as the top challenge they face, with most citing a lack of jobs as a key issue. For these young generations, securing a stable job is directly tied to achieving a stable life, as it ensures not just the ability to meet daily needs, but also long-term access to healthcare, housing, and further education.

To help address this issue, Filipino youth are calling for job creation programs and better employment services like career counseling and job placement schemes. These can provide students with the mentorship and opportunities they need to succeed in their chosen careers. Many also feel that additional training and education can help bridge the gap between workers and employers, helping young people align their skills with the evolving work landscape and establish sustainable careers.

High education costs education limit opportunities for Filipino youth

As with job security, Filipinos are the least satisfied with the cost of education in the region, with a satisfaction rate of 43% for Gen Z and 38% for Millennials.

Most respondents cited high costs as the main impediment to accessing quality education in the country, as families must contend with not just tuition, but also other school-related expenses like books, notebooks, uniforms, daily allowance, and special projects, school year after school year. The high cost of education is one of the main reasons why many young people forego secondary and tertiary education in the country, which further limits their employment opportunities and prevents them from building stable careers—and, by extension, a stable future.

Aside from cost, 31% of Gen Z and 30% of Millennial Filipinos cite the quality of education as the top challenge faced by the country. Many believe that the government should prioritize investments in educational facilities and technology, as well as enhanced professional development for educators. Gen Z Filipinos were more likely to indicate more support for students with special needs as something they would like to see in the future, while Millennial Filipinos raise the importance of regular review of and updates to school curricula to better prepare students for the future.

Healthcare access remains elusive for Filipino youth

Despite healthcare being a constitutional right, six out of ten Filipinos die without seeing a doctor, according to statistics from the Department of Health. Access to healthcare remains elusive for most Filipinos, with 10% of Filipino Gen Zs and 14% of Filipino Millennials citing it as the top challenge faced by the country.

Similar to employment opportunities and education costs, Philippine satisfaction rates for healthcare are the lowest in the regional survey, with only 36% of Filipino youth (39% of Gen Z and 34% of Millennials) saying they are satisfied with the current healthcare system in the country. 50% indicate that the high costs of healthcare services and treatments are a major challenge to accessing healthcare, while 25% point to the limited availability of facilities and equipment.

To improve the situation, survey respondents feel that the government must address issues of affordability, accessibility, and quality of healthcare services in the country.

Affordable housing options and better living conditions:

Young Southeast Asians, who are ushering in a new wave of urban mobility as they seek education and careers in major cities, dream of homes that offer comfort, security, and access to essential services, such as public transport, healthcare, and education. This is often tied to the broader goal of becoming financially independent and moving out of their family homes in the name of freedom, convenience, and personal growth.

All hands in: Recommendations for public policy and private initiatives

“As Southeast Asia’s youth are poised to drive the region’s future,” explained Pongsiri, Managing Partner at Vero Advocacy, “addressing these challenges is not just beneficial but essential for harnessing their full potential and ensuring a sustainable and inclusive economic growth.”

With its expertise in government relations in Southeast Asia, Vero Advocacy recognizes the essential link between youth, private stakeholders, and government. By understanding young people’s concerns, Vero Advocacy underscores the need for meaningful engagement and effective responses from governments and companies to create inclusive and sustainable policies and initiatives.

• Youth-Centric Policies – Governments should prioritize initiatives that guarantee access to quality education, expand job opportunities, and improve healthcare affordability and accessibility. By focusing on these areas, they can create a supportive environment for young people to thrive.

• Genuine Youth Engagement – It is crucial to involve young people in policy dialogues and decision-making processes. Their insights and perspectives should be actively sought, ensuring that their voices are both heard and valued in shaping policies that impact their future.

• Dedicated Spaces for Youth Advocacy – Establishing dedicated forums or platforms where youth can freely share their advocacy efforts is vital. These spaces should facilitate open dialogue, encourage innovative thinking, and provide opportunities for young individuals to highlight their contributions to national development.

• Support for Entrepreneurs – The private sector should develop entrepreneurial programs that leverage existing resources and expertise. By offering funding and training, businesses can nurture creativity and business acumen, empowering a new generation of innovators and leaders.

• Corporate Social Responsibility – Businesses should embed youth-centric goals into their Corporate Social Responsibility (CSR) strategies, focusing on initiatives that uplift communities and address social issues pertinent to young people. This alignment will foster a more inclusive approach to social development.

“With Gen Z and Millennials comprising over half of the Philippine population, it is critical for leaders and changemakers to listen to their needs,” said Gio Tingson, Youth Advocate and former Chairperson of the National Youth Commission. “Many of us often hear and repeat Dr. Jose Rizal’s statement about youth being the hope of the motherland. But while it is true that young people are eager to effect change, it is just as important for us to listen to them and empower them with the tools they need to succeed and build a future that is sustainable for all.”

Source: Adobo Mag

Filipino Gen Zs prioritize self-reward when shopping, study finds

Filipino Gen Z spend primarily to reward themselves, according to a joint study by the Filipino-focused sociocultural research firm The Fourth Wall and communications firm Uniquecorn Strategies.

About three out of four Filipino Gen Z consumers living in urban areas said they shop online because they believe that they deserve it. This shopping philosophy is driven by their desire for happiness, fear of missing out on trends, and the need to reward themselves for overcoming work or study-related stress.

The survey revealed that 50% of a typical Filipino Gen Z’s finances come from parental allowances, while the other 50% come from full-time work, businesses, or side gigs. On average, they make six online purchases per month, ranging from a minimum of one to a maximum of 10.

“The young generation is rapidly becoming a significant portion of the consumer market, and is already shaping market trends, especially the e-commerce space,” said John Brylle L. Bae, research director at The Fourth Wall.

“This self-rewarding behavior among Filipino Gen Zs stem from their growing self-awareness, driving them to seek rewards that affirm that sense of self-worth,” he added.

Mr. Bae also attributed this behavior to the Filipino “sayang” mindset, where daily struggles and deprivations lead them to seize rewarding opportunities out of fear of missing out.

The study adds that urban Filipino Gen Zs are intelligent buyers as they splurge based on quality (81%) and price competitiveness (10%). They are most likely to repurchase from the same brand that consistently delivers high-quality and affordable products, but are also willing to try other brands even if they are emotionally attached to their current ones.

The study also found that Filipino Gen Zs buy based on trust and personal affinity. Upon hearing about a product, 81% of them do not purchase immediately but search customer reviews first on shopping platforms and Google.

They still primarily rely on word of mouth to discover products (60%), while others rank social commerce ads (59%) as important to their shopping experience. They take cues from the people they deeply trust, friends, and family. They are also more influenced by honest, objective or out-of-pocket reviews from influencers or content creators with appropriate expertise.

Gen Z is known as the first generation to grow up with the internet and digital devices practically glued to their hands, which means they prefer the convenience of online shopping. Almost all the respondents (92%) use their own mobile phones for purchases and prefer cashless payment methods (53%).

Given this, Uniquecorn Strategies Founder and CEO Dean Bernales said that it is important to understand the consumer behavior of the younger generation.

“Online retailers should pay close attention to the shopping desires and needs of Filipino Gen Zs. Brands need to reassess their supply chain strategies and enhance their social commerce platforms to build trust, create personal connections, and develop a relatable image to capture the young market,” Mr. Bernales said.

As a result, the study identifies several key opportunities for brands to connect with Filipino Gen Z consumers more effectively. There is a significant potential for advertising on more personal yet credible emerging media platforms such as podcasts. Brands can leverage self-expression and identity in their branding to establish a personal affinity with target customer personas.

Additionally, adapting different messaging strategies and formats to align with influencers’ content can appeal to their niche audiences. Creating personalized subscription models for fast-moving consumer goods (FMCGs) can offer an immersive experience while promoting convenience and catering to personal preferences.

Tapping into Gen Z’s hobbies, interests, and desired personal images when developing brands, products, and services can further enhance their engagement and loyalty.

Citing prior research, the study noted that there are about 41 million Gen Zs in the Philippines, making up for about 38% of the total population, according to Philippine Statistics Authority’s latest official 2020 census.

Source: Business World

Reasons to be cheerful about Generation Z

They are not doomed to be poor and anxious

A vast cohort is coming of age. Globally, some 2bn people were born between 1997 and 2012, and so are part of “Generation Z”. In America and Britain this group makes up a fifth of the population, rivalling the share of baby-boomers; in India and Nigeria the young far outnumber the old. For each generation there is a simple narrative: that boomers were shaped by post-war plenty, for example, or millennials by the financial crisis of 2007-09. For Gen Z the popular view is that smartphones have made them miserable and they will live grimmer lives than their elders.

More and more people in the West tell pollsters that today’s children will be worse off than their parents. Youngsters themselves worry about everything from the difficulty of buying a home to the looming dangers from climate change. Social scientists fret that Gen Z-ers, having spent their formative years doomscrolling and suffering from FOMO, are now gripped by an epidemic of anxiety and depression. Politicians in America and Britain are mulling banning smartphones and restricting social media for the under-16s; parents and schoolteachers everywhere are trying to police screen time.

All this can make it hard to feel optimistic about Gen Z. But when you look around the world, and at a wider set of measures, the Zoomers are far from doomed. In many respects, they are doing rather well.

For a start, the popular narrative makes an important omission: the roughly four-fifths of the world’s 12- to 27-year-olds who live in emerging economies. Thanks to growth and the spread of technology, youngsters in places like Jakarta, Mumbai or Nairobi are far better off than their parents were. They are richer, healthier and more educated; those who have smartphones are better informed and connected. Small wonder that, in a survey by the UN in 2021, the young in emerging economies were more optimistic than those in the rich world.

Yet in some places there is a fear that the rapid progress of recent decades might fail to repeat itself. That anxiety is evident in China. Thanks to economic uncertainty and an emphasis on quantity over quality in higher education, over a third of degree-holders there may be unemployed.

In the rich world the picture is rosier than people think. Those of Gen Z who are in work—and in America there are nearly as many of them in workplaces now as there are boomers—are doing nicely. Red-hot demand for workers helps, as does the fact that Gen Z-ers are wisely acquiring marketable skills. More of them are pursuing science, engineering and medical degrees; the humanities have fallen out of favor.

Wages for Gen Z are rising at a much faster pace than they are for older workers, and the youth-unemployment rate across the rich world is at its lowest in decades. In America the income of the average Zoomer, after adjusting for taxes and transfers, comfortably exceeds that of a millennial or a Gen X-er at the same age, in real terms. True, housing affordability has worsened since the 1980s. But, thanks to Gen Z-ers’ stronger wage growth, house prices as a multiple of earnings are roughly where they were for millennials a decade ago. And young people today are at least able to put more of their salaries into savings.

Already Gen Z-ers are transforming the world of work. They have bargaining power—and they know it. Many millennials came of age in the shadow of the global financial crisis; they felt so precarious that they were afraid to ask for pay rises. Gen Z seems to have fewer qualms about quitting for a better opportunity, or taking things slowly and enjoying life. Bosses, unused to being on the back foot, complain. But older workers will be quietly thankful if overall pay and perks go up.

Gen Z will shape society in other ways, too. Young people’s concern about climate change will, as they reach voting age, make states more likely to act. More broadly, Zoomers tell pollsters they want bigger government. They may change their minds when they have to pay more taxes—or they may not.

They are a serious bunch, less given to late nights, binge drinking and promiscuity than their elders were. There is a dark side to this. They socialize in person less, have less sex, and are more likely to say they are lonely. Reported rates of anxiety and depression are rising in much of the West. Some of this probably reflects a greater willingness to open up about mental health. But other factors play a role.

The extent to which social media fuel mental distress among the young is furiously debated. In the West the rise in anxiety coincides with the adoption of social media. However, hard evidence of causation is limited, and most of it comes from studies of adults in the rich world.

What is clear is that Generation Z has been at the sharp end of a technological revolution. The speed with which smartphones and then social-media apps were adopted around the world left users, and young people in particular, scrambling to figure out how best to navigate them. Social media have brought benefits, such as entertainment and connectivity, but also costs. Some content may be harmful, and time spent scrolling could have been devoted to study or sleep.

OK Zoomer

Transformative technologies often have downsides. In the past, people have adapted: think of the seat belts and regulations that made cars less deadly. Encouragingly, there are signs that social-media habits are already shifting as users weigh the costs and the benefits. Instead of posting about themselves publicly, for example, many are retreating to private groups on messaging apps. So far, the evidence that would justify a blanket ban on smartphones for the young does not exist, though schools should be free to bar them from classrooms, and parents are right to restrict screen time.

It is only natural for the old to worry about the young. If that leads to better mental-health treatment, or fewer restrictions on building more homes, well and good. But celebrate Gen Z’s resourcefulness, and its successes, too.

Source: Economist