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According to a report, Gen Alpha will will have $1.7 trillion in spending power and a $5.46 trillion economic impact by 2029
Nikhil Kamath said that the younger generation defines culture, trends and consumer needs. (News18 Hindi/File)
It may sound unconventional, but Zerodha co-founder and self-made billionaire Nikhil Kamath believes that seeking advice from children can be beneficial for making career or business decisions. Kamath posits that the younger generation holds the key to understanding future trends and consumer behaviour, particularly when establishing a new business.
In LinkedIn CEO Ryan Roslansky’s The Path video series, Kamath said, “Don’t go to the older generation to know what you should do in the next 20 years. Look at what the kids are doing. Look at what a 16-year-old boy wants and what he will need in the next 10 years.”
“Look ahead, look at the younger generation for inspiration, not the older generation,” he added.
Nikhil Kamath’s journey
Kamath’s own business journey began in his teens. He started his business by buying and selling mobile phones while studying in class IX. Later he left school and worked in a call centre. At the same time, in his free time, he learned stock trading on his own, which inspired him to move forward in the finance sector.
In 2010, he started Zerodha along with his brother. This platform is today one of the largest trading platforms in India with more than 10 million users. Due to this, Kamath earned a net worth of about $3 billion, according to Forbes.
In 2021, Kamath founded a venture capital firm called Gruhas, which supports start-ups in areas such as artificial intelligence and cleantech. These areas are especially relevant to the younger generation.
Reason to learn from the younger generation
Kamath said that the younger generation defines culture, trends and consumer needs. He believes that advice from older generations often does not match current needs and behaviours.
Kamath said that for instance, teens at present have online habits focused on platforms like YouTube, TikTok and
Instagram, which set trends in fashion, entertainment and lifestyle. Understanding these trends is vital for businesses that want to stay relevant.
What does the data say?
According to the Pew Research Centre’s 2024 report, about half of teens are “mostly” online. According to McCrindle’s research, Gen Alpha (children born between 2010-2024) will represent $1.7 trillion in spending power and $5.46 trillion in economic impact by 2029.
Businesses born from young thinking
History has many examples of innovation inspired by youth. Mark Zuckerberg launched Facebook based on his and his peers’ college social habits. Similarly, Pinterest co-founder Ben Silbermann created it inspired by his childhood collecting habit.
