Treatonomics — a portmanteau of “treat” and “economics” — describes a consumer trend that ranges from small everyday indulgences to larger, life-affirming experiences bought to lift spirits in uncertain economic times.

The phenomenon isn’t new. The “lipstick effect” — the idea that lipstick sales rise during downturns — dates back to the Great Depression and resurfaced in the 2000s when Leonard Lauder, former chairman of Estée Lauder, noted a sales spike after the Sept. 11 attacks.

The logic is simple: you may not be able to afford a new dress or sofa, but you can buy a lipstick, a throw, or a new tablecloth. Spending on modest “pick-me-ups” is well established: consumers often turn to makeup, perfume, candles — or collectible rubber ducks or Labubu dolls — for a quick morale boost when times are tight.

The modern rise of treatonomics — dubbed “little treat culture” by Gen Z users on TikTok — is less about indulgent guilt and more about carving out guilt-free moments of joy.

People may economize on day-to-day costs, buy more own-brand groceries, or otherwise tighten budgets, yet still splurge on experiences: a live musical or concert ticket that costs more than US$100, for example.

For singles or those without children, the focus of celebration has shifted too: instead of weddings and baby showers, people throw breakup parties, celebrate dog birthdays, and invest in high-effort self-care routines. In short, treatonomics reflects a pragmatic, joy-seeking response to economic unease.