How have memes helped to defuse geopolitical tensions around the world? Why are consumers bracing themselves for a wealth gap summer? And why has a Reformation outfit caused consternation in South Asia?
Below we explore three topics on our radar this month and their impact on consumers. By scanning the headlines, keeping tabs on social media conversations and tuning into the zeitgeist, we connect the dots between our trends and the wider world so that you can make sense of what’s happening now and what it means for you.
1. Make memes, not war: Social media defuses geopolitical tensions
What’s happening?
The world held its breath in April and May when long-simmering tensions between the nuclear powers India and Pakistan threatened to escalate. The situation was quickly resolved with the announcement of a ceasefire that was welcomed by global leaders. Less widely reported around the world was how the sharing of humorous internet memes by citizens from both countries, particularly in younger age groups, helped to defuse tensions.
A terrorist attack in Pahalgam in Kashmir in April led to the suspension of the Indus Waters Treaty, which is an important water-sharing agreement between the two countries. This led to a flood of humorous posts on platforms such as Instagram. In one Reel, a Pakistani teenager said, “Please restart the Indus motor for a bit, I need to do skincare,” while an Indian user commented in response: “Let me talk to Modi Ji; no messing with skincare.” Many posts featured Pakistani actor and influencer Hania Aamir, who is popular in both countries. One video that went viral showed an Indian man sending a box filled with water bottles to Hania Aamir from India.
Another target for online commentary was India’s Operation Sindoor, where its armed forces allegedly struck terrorist targets in Pakistan. Again, commenters from both sides tried to see the funny side of this serious development, with some noting that the real attack coincided with a planned “mock drill” by India, suggesting that the event had been staged as a distraction by the Indian army.
Some observers have credited this “meme diplomacy” or “hashtag geopolitics” with playing a role in defusing the situation between the two nations and contributing to the swift resolution, though it is likely that tensions between the nations will continue. The term “TikTok diplomacy” has also been applied to the current tariff tensions between the US and China, with the New York Times reporting on how social media videos posted by Chinese businesses are designed to win the hearts and minds of consumers in America, bypassing the trade tensions at government level.
There are other ways that humorous social media activity is being used for positive ends. A series of posts on TikTok extolls the virtues of America’s national parks through videos featuring muscular men. The so-called “thirst trap” content did not originate from official national park channels, but was quickly endorsed as a positive way of highlighting the natural charms America has to offer, thanks to the millions of views received.
Action for brands:
Recognize the power of memes as a channel of communication that transcends borders. Younger consumers in particular can readily relate to them. While these groups may welcome meme-driven content from companies, brands need to be careful to position them in a way that chimes with their wider values. While memes often deal with frivolous topics, in an environment of escalating global tensions, they could increasingly be weaponized by governments and activists to make serious points or act as propaganda. At the same time, the collective action that can be unleashed via social media could act as a positive force that de-escalates tensions and brings citizens of the world together.
2. Is it a dupatta or a Scandinavian scarf? Fashion’s latest controversy
What’s happening?
When celebrity-endorsed fashion brand Reformation released its summer collection of 20 items, one particular piece of clothing sparked outrage among the South Asian community. A three-piece outfit from the capsule collection, which includes a skirt, a flowy top and a long scarf, resembles a combination of clothing that has long been a staple in South Asian tradition – a lehenga. The three-piece set, a collaboration with influencer Devon Lee Carlson, is accused of borrowing heavily from South Asian style without acknowledging its roots.
TikTok and Instagram videos criticizing the capsule collection have gone viral, with creator sigh.sai.sigh’s video on the topic garnering around one million views at the time of writing. Another creator commented: “Where is your accountability as a brand? Why are you silent on the cultural appropriation of South Asian designs and aesthetics? If you’re inspired by our culture, the least you can do is acknowledge it – respectfully and transparently. Do better.”
While Carlson hasn’t responded to the criticism, a spokesperson for Reformation said in a statement to the New York Times that it respects “the origin of this criticism given South Asian culture’s influence on Western style”.
This isn’t the first time South Asian consumers have felt affronted by fashion-related cultural oversight. Last year, fashion rental company Bipty sparked backlash after posting a video where an employee dissected a fashion trend where women drape long scarfs around their necks in a flowy style: “The vibe, the aura, what is it? It’s very European, it’s very classy,” she says. The video, now deleted, also referred to the style as part of a “Scandinavian summer” aesthetic. Many, however, pointed out the striking resemblance to the traditional South Asian dupatta, commonly worn with other South Asian apparel such as lehengas and salwar-kameez. In response, Bipty’s founder Natalia Ohanesian issued an apology, admitting the look was “clearly not European” and stating: “We are very sorry to the South Asian communities that were offended.”
Terms like “Scandinavian scarf” and “Scandinavian summer dresses” have since been co-opted by South Asians online while donning traditional wear, clearly mocking the misstep. In the wake of the backlash, some Scandinavian creators also weighed in, clarifying how they weren’t the ones to popularize the term, and pointing out that the discourse around the Scandinavian scarf emerged from the US.
Action for brands:
Explore the strategic potential of cultural appreciation. Consumers want to champion marginalized communities and fringe voices in a respectful manner. While the lines between cultural appropriation and influence are often blurred, culture can be shared if done with the most positive intentions. For brands, it’s about giving traditional roots due credit and properly acknowledging diverse aesthetics.
3. Surviving a summer of unequal spending
What’s happening?
As the sun emerges, so do spending habits that reveal a deeper social divide. For some consumers, summer 2025 is shaping up to be a season of indulgence, travel, and social flexing – but for others, mounting pressure and hidden debt are disrupting plans. We’re entering a wealth-gap summer, where financial inequality is a lived social tension, playing out in friend groups, families and feeds.
And as the economic situation remains uncertain and inflation continues to climb thanks partly to tariffs, the stakes for savvy financial management climb higher.
The term money dysmorphia has emerged to describe situations where people’s perception of their financial status skews their behavior – either leading to over- or under-spending that is out of line with their financial reality. One driver is social media creating a perception that everyone is out spending money lavishly and having constant fun – meaning viewers feel comparatively poor. Meanwhile the pressure to spend significant amounts of money on socializing and milestone events such as birthdays and weddings reveals disparities in wealth among friendship groups. And with media and social media increasingly hosting ads, and some research suggesting consumers actively see around 100 ads a day, prompts to spend money are frequent. Business models such as Temu’s, highlighted by its slogan “Shop Like a Billionaire”, mean consumers can be persuaded to spend in ways that do not match their financial situation.
As we explore in our recent report The at-risk vs. the resilient, a significant proportion of consumers are financially vulnerable. Among the 25-34 age group, we found that the proportions of consumers who are at-risk and those who are more resilient financially are quite similar (see the report for full definitions). For example, in Britain, 19% of this age group is more resilient while 17% is defined as at-risk. Globally, 21% of 25-34s are at-risk and 17% are resilient. These differing situations are likely to exacerbate feelings of money dysmorphia as consumers see their peers having lived experiences at odds to their own.
And it is not only young consumers who are impacted: research reveals that almost half (46%) of Baby Boomers in the UK don’t feel their household income is keeping up with inflation. These consumers may be quietly relying on credit to keep their households going.
Meanwhile, younger consumers are increasingly debt-saddled. Consumers aged 22-24 in the US ended 2023 with an average credit card balance of $2,834; 26% higher than the inflation-adjusted balance for the same age group a decade prior ($2,248).
Many appear to be turning to credit and getting into debt to fund lifestyle habits like workout classes and experiences such as festivals, with around 60% of Coachella attendees using buy-now-pay-later services to purchase tickets.
Actions for brands:
Support consumers to open up about money, without shame. The financial landscape consumers are navigating today is not just about budgets – it’s about identity and belonging too. But brands should be sensitive if they get involved in these conversations. Consider providing a blueprint for how to have tricky conversations in this space, and tips for how to navigate them such as suggesting free or low-cost group activities or ways to agree a budget ahead of time for social occasions.
Provide tools and education for consumer who are overspending. Consider how to help them live within their means, from podcasts around budgeting to low-balance alerts and the ability to set up separate pots for essential expenses.
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These signals are part of a longer report published on Collision, our dynamic trends intelligence platform. Members get access to these reports at the beginning of every month, so they always have a finger on the pulse of consumers and culture. If you’re interested in learning more about Collision and how the platform can make a difference to your business, get in touch today.
