The Impact of Digital Influencer Marketing on Financial Decision-Making Among Generation Y
Keywords:
Influencer Marketing, Generation Y, Financial Behavior, InfluencersAbstract
The abstract, falling within the 150–250-word range, must succinctly outline the overall scope and articulate the principal outcomes achieved, methodologies applied, the significance of the work, and the conclusions drawn. It should refrain from incorporating figure numbers, table numbers, references, or displayed mathematical expressions. The focus should prioritize findings over methodologies. Avoid the utilization of abbreviations in this section. In the era of digital transformation, Generation Y frequently relies on digital influencers and social media for getting insights about financial concepts. Influencers serve as a key source of providing financial knowledge by simplifying the financial concepts in fun and relatable content, which has emerged to shape the financial behavior of Generation Y. With the increased reliance of this generation on social media and financial influencers, there is a need to study this generation to make more relatable and credible sources of content to engage this generation. Influencer marketers do their marketing in promoting financial services and products after knowing those influencers who engage this generation more often. However, it's important to understand the role of digital influencers in shaping financial decision-making among Generation Y and how these shape financial behavior and investment decisions, which is still underexplored in previous studies. This chapter focuses on these gaps, analyzes the role of influencers' credibility in shaping financial decisions, and assesses how this generation's personality traits and financial literacy interact with digital influencer marketing in influencing Generation Y's financial decisions. Furthermore, this chapter is based on a comprehensive review of existing studies to examine the relation of influencers and influencer marketing in influencing Generation Y in the digital environment, which identifies that Generation Y prefers the relatable content only from those influencers who provide credible sources of information, but their demographic factors have a major role in being influenced by these influencers. As this generation Y is disciplined, these influencers help to increase their financial literacy by boosting trust in financial content and digital platforms. Hence, further studies should focus on demographic factors, which also vary in this generation's perspective, especially in financial management, and influencer marketing should focus on this generation in promoting financial products and engaging with this generation more often.
References
[1] Gross, J., & von Wangenheim, F. (2022). Influencer Marketing on Instagram: Empirical Research on Social Media Engagement with Sponsored Posts. Journal of Interactive Advertising, 22(1), 1–22.
[2] Kádeková, Z., & Holienčinová, M. (2018). Influencer marketing as a modern phenomenon creating a new frontier of virtual opportunities. Communication Today, 9(2), 90–105.
[3] Pawar, J., Gaikwad, A., & Fernandes, M. (2024). A study of the relationship between the financial literacy and financial decisions of Gen Y. Journal of Advanced Zoology, 45(S-4), 444–452. https://www.researchgate.net/publication/387003263
[4] Chopra, A., Avhad, V., & Jaju, S. (2021). Influencer marketing: An exploratory study to identify antecedents of consumer behavior of millennial. Business Perspectives and Research, 9(1), 77–91. https://doi.org/10.1177/2278533720923486
[5] Walzhofer, N., Riekeberg, M., & Follert, F. (2022). From White Collar to Influencer Marketing? How Banks Can Reach Young Customers. International Journal of Financial Studies, 10(3), 79. https://doi.org/10.3390/ijfs10030079
[6] Dauda, I., Nurjannah, D., Mohyib, A., Ambarwati, T., Cahyono, Y., Haryoko, A. E., Handoko, A. L., Putra, R. S., Wijoyo, H., Ariyanto, A., & Jihadi, M. (2022). The effect of digital marketing, digital finance and digital payment on finance performance of Indonesian SMEs. International Journal of Data and Network Science, 6(1), 37–44. https://doi.org/10.52c67/j.ijdns.2021.10.006
[7] Sheikh, M. (2026, April 9). Social media demographics to inform your 2026 strategy. Sprout Social. https://sproutsocial.com/insights/new-social-media-demographics/
[8] Olajide, O., Pandey, S., & Pandey, I. (2024). Social media for investment advice and financial satisfaction: Does generation matter? Journal of Risk and Financial Management, 17(9), 410. https://doi.org/10.3390/jrfm17090410
[9] Windasari, N. A., Kusumawati, N., Larasati, N., & Amelia, R. P. (2022). Digital-only banking experience: Insights from Gen Y and Gen Z. Journal of Innovation & Knowledge, 7(2), 100170. https://doi.org/10.1016/j.jik.2022.100170.
[10] Cao, Y., Gong, F., & Zeng, T. (2020). Antecedents and consequences of using social media for personal finance. Journal of Financial Counseling and Planning, 31(1), 162–176. https://doi.org/10.1891/JFCP-18-00049
[11] Anshika Singh Tanwar, Harish Chaudhry & Manish Kumar Srivastava (2022) Trends in Influencer Marketing: A Review and Bibliometric Analysis, Journal of Interactive Advertising, 22:1, 1-27. DOI: 10.1080/15252019.2021.2007822.
[12] Komal Shamim & Tahir Islam (2022) Digital influencer marketing: How message credibility and media credibility affect trust and impulsive buying, Journal of Global Scholars of Marketing Science, 32:4, 601-626, DOI: 10.1080/21639159.2022. 2052342
[13] De Regt, A., Cheng, Z., Fawaz, R. (2023). Young People Under ‘Finfluencer’: The Rise of Financial Influencers on Instagram: An Abstract. In: Jochims, B., Allen, J. (eds) Optimistic Marketing in Challenging Times: Serving Ever-Shifting Customer Needs. AMSAC 2022. Developments in Marketing Science: Proceedings of the Academy of Marketing Science. Springer, Cham. https://doi.org/10.1007/978-3-031-24687-6_106.
[14] Adam S. Hayes & Ambreen T. Ben-Shmuel (2024). Under the influencer: Financial influencers, economic meaning-making and the financialization of digital life, Economy and Society, 53:3, 478-503, DOI: 10.1080/03085147.2024.2381980.
[15] Brown, D., & Hayes, N. (2008). Influencer marketing: Who really influences your customers? Elsevier/Butterworth-Heinemann.
[16] Anisa, N. A., Arifin, S., Setyowati, L., Hidayah, N., & Megasari, A. D. (2020). Financial literacy on impulsive buying behavior in Y generation. Quantitative Economics and Management Studies, 1(1), 70–75. https://doi.org/10.35877/454RI.qems80
[17] Bevan-Dye, A., & Motaung, L. G. (2023). Ascertaining the antecedents of Generation Y consumers’ perceived utility of celebrity influencers’ fashion content on Instagram and consequent fashion brand predispositions and purchase intentions.
[18] Nekkanti, S., Kalani, A., Narwani, M., Chauhan, R., Maseleno, A., & Isnanto, R. R. (2024). Analyzing the impact of financial socialization and social media influence on young consumers' behavioral patterns. Global Journal of Innovation in Economics and Administration, 1(4), 560. https://doi.org/10.38035/gijea.v1i4
[19] Martaningrat, N. W. S., & Kurniawan, Y. (2024). The impact of financial influencers, social influencers, and FOMO economy on the decision-making of investment on the millennial generation and Gen Z of Indonesia. EcoHumanism, 3(3). https://doi.org/10.62754/joe.v3i3.3604.
[20] Killins, R. N. (2023). The financial literacy of Generation Y and the influence that personality traits have on financial knowledge: Evidence from Canada. School of Accounting and Financial Services, Seneca College.
[21] K. M. Anwarul Islam and Muhammad Saifuddin Khan (2024). The role of financial literacy, digital literacy, and financial self-efficacy in FinTech adoption. Investment Management and Financial innovations, 21(2), 370-380. doi:10.21511/imfi.21(2).2024.30.
[22] Potrich, A. C. G., V. K. M., & M.-D. W. (2016). Development of a financial literacy model for university students. Management Research Review, 39(3), 356–376.
[23] Yanto, H., I. N., K. K., R. N. M., & B. N. (2021). The roles of peers and social media in building financial literacy among the millennial generation: A case of Indonesian economics and business students. Cogent Social Sciences, 7(1), 1947579, DOI: 10.1080/23311886.2021.
[24] Cardoso, A.; Pereira, M.S.; Silva, A.; Souza, A.; Oliveira, I.; Figueiredo, J. The Influence of Digital Influencers on Generation Y’s Adoption of Fintech Banking Services in Brazil. Sustainability 2024, 16, 9604. https://doi.org/10.3390/su16219604.
[25] Missan, I., & Windfried, A. (2017). Investigating the importance of creating a personal budget among millennials, their perception and satisfaction: A case study of Eastern Mediterranean University.
[26] Rinandiyana, L. R., Badriatin, T., Budiman, A., & Subrata, A. (2024). Digital marketing strategy and app-based investment systems: Empowering Gen Z investment interest. Almana: Jurnal Manajemen dan Bisnis, 8(3), 431–441. https://doi.org/10.36555/almana.v8i3.2642
[27] Venkataraman, R., & Venkatesan, T. (2020). A study of savings behavior on financial planning among the millennials. RVIM Journal of Management Research, 12(1), 39–
[28] Fadilah, M. N., Indriawan, N., Khoirunnisa, N., & Mulyantini, S. (2022). Review faktor penentu keputusan investasi pada generasi z & millenial. Manajemen, 2(1), 17–29. https://doi.org/10.51903/manajemen.v2i1.112
[29] Van Thiel, D., & Van Raaij, F. (2017). Explaining customer experience of digital financial advice. Economics World, 5(1), 69–84. https://doi.org/10.17265/2328-7144/2017.01.007.
[30] Anggraeni, F., & Putra, A. (2025). The impact of financial literacy, financial behavior, and fintech adoption on investment decisions among university students. Jurnal Ekonomi, Bisnis dan Humaniora, 8(1), 1–13. https://doi.org/10.53867/jebh.v8i1.13405.
[31] Zikri, F., Mulyana, A., & Ramadhan, B. (2025). Marketing strategy and financial literacy in contemporary coffee businesses in Medan City. Journal of Economics and Business Letters, 8(1), 118–130. https://doi.org/10.55927/jebl.v8i1.3282
[32] Suresh, G. (2024). Impact of financial literacy and behavioural biases on investment decision‑making. FIIB Business Review, 13(1), 72–86. https://doi.org/10.1177/23197145211035481.
[33] Pradana, R. F., Saragih, F. D., & Nugroho, B. Y. (2021). The influence of financial knowledge, financial attitude, and financial behavior on professional millennials’ financial investment choice. In Proceedings of the 1st Paris Van Java International Seminar on Health, Economics, Social Science and Humanities (PVJ-ISHESSH 2020) (Advances in Social Science, Education and Humanities Research, Vol. 535). Atlantis Press. https://doi.org/10.2991/assehr.k.210304.019�
[34] Abu Orabi, M. M. (2024). Role of financial literacy in increasing Fin‑Tech adoption: A study on millennial consumer behavior in Jordan. Journal of Strategic and Marketing Studies, 14(8), 145–153. https://www.aasmr.org/jsms/Vol14/No.8/Vol.14.No.8.10.pdf.
[35] Vewi, V. I., Febrian, E., Effendi, N., & Anwar, M. (2020). Financial literacy among the millennial generation: Relationships between knowledge, skills, attitude, and behavior. Australasian Accounting, Business and Finance Journal, 14(4), 24–43. https://doi.org/10.14453/aabfj.v14i4.3.
[36] Lone, U. M., & Bhat, S. A. (2022). Impact of financial literacy on financial well‑being: A mediational role of financial self‑efficacy. Journal of Financial Services Marketing. https://doi.org/10.1057/s41264-022-00183-8
[37] Kurniawan, M. R. F., & Retnasih, N. R. (2024). The impact of financial literacy and fintech adoption on personal financial management among university students. Proceedings of Accounting, Management, Economics Uniska, 1(1), 651.
[38] Chhillar, N., & Arora, S. (2022). Personal financial management behavior using digital platforms and its domains. Journal of Financial Management, Markets and Institutions, 10(2), 2250009. https://doi.org/10.1142/S2282717X22500098
[39] Bai, R. (2023). Impact of financial literacy, mental budgeting and self control on financial wellbeing: Mediating impact of investment decision making. PLoS ONE, 18(11), e0294466. https://doi.org/10.1371/journal.pone.0294466
[40] Adiputra, I. G. (2021). The influence of financial literacy, financial attitude, and locus of control on financial satisfaction: Evidence from the community in Jakarta. Proceedings of the International Conference on Entrepreneurship (ICOEN), 5(5), 8848. https://doi.org/10.18502/kss.v5i5.8848
[41] Aggarwal, M., Nayak, K. M., & Bhatt, V. (2023). Examining the factors influencing fintech adoption behaviour of Gen Y in India. Cogent Economics & Finance, 11(1), e2197699. https://doi.org/10.1080/23322039.2023.2197699
[42] Kuchciak, Iwa, and Justyna Wiktorowicz. 2021. Empowering Financial Education by Banks—Social Media as a Modern Channel. Journal of Risk and Financial Management 14:118. https://doi.org/10.3390/jrfm14030118.
[43] Solarz, M., & Swacha-Lech, M. (2021). Determinants of the Adoption of Innovative FinTech Services by Millennials. E&M Economics and Management, 24(3), 149–166. https://doi.org/10.15240/tul/001/2021-3-009.
[44] Sa’diyah, C., & Pratika, Y. (2022). Understanding the intention of the millennial generation on investment through the financial technology application. International Journal of Economics, Business and Accounting Research (IJEBAR), 6(2), 1–13. https://jurnal.stie-aas.ac.id/index.php/IJEBAR.
[45] De Veirman, M., Cauberghe, V., & Hudders, L. (2017). Marketing through Instagram influencers: The impact of number of followers and product divergence on brand attitude.
