At least with clothing, you're getting clothing out if it (though frankly I prefer the system of my high school which was to have a uniform; evens the playing field, particularly for me as a working class child at a grammar school in an upper class area).
My issue with Fornite is the speed and cost with which they produce this stuff. I see my nephews spending 10s of £s at a time every week or so.
I'm not sure how I'll deal with the peer pressure issue, my child is too young right now, but Fornite has a strong affinity to children, I'd argue it's mostly played by children and the culture is a real issue which they're doing nothing to resolve that I can see.
Being the only brownish person in a very white middle and upper class grammar school in a very white part of England at the time _was_ something to be picked out on.
Electronic communications & transactions enable theses mechanics to happen faster & without schedule constraints if left unchecked. Same as for bullying by the way.
As far as social interaction goes we live in uncharted territory. Does it necessarily mean that it's bad? On the other side of the spectrum this enable YouthForClimate, BLM, and things yet to come...
It's really hard to analyze thing as they happen, this is not new either ;)
PS: Also not spoiling you kid seems like a good old advice still standing!
But I totally recall that my parents in theirs 30's were desperate that I requested to wear mostly "surfers's brand clothing" which was the big hype when I was a teenager.
Peer pressure is a thing, videogame is one way to express it, but I don't think it's the root cause.