A new report reveals fascinating details about Generation Z’s spending habits, uncovering how they manage their money and what brands attract their attention. With a staggering $450 billion in global purchasing power, Gen Z is not just shaping trends; they’re also calling the shots on what products sell and what companies succeed.

Key Gen Z Spending and Buying Statistics

Gen Z is a generation that has grown up in a world of smartphones and social media, and it colors every aspect of their spending. Here are some essential facts:

• Gen Z makes up 40% of global consumers and is set to surpass Gen X in online shopping volume by 2025.
• In the U.S. alone, this generation has a disposable income of around $360 billion!
• They are known for their love of social media; 41% discover new products primarily via short-form videos.
• More than half, 55%, are using buy now, pay later services to help manage their purchases.

Gen Z’s Attitudes Toward Brands

What motivates Gen Z’s buying decisions? A significant factor is their desire for brands that reflect their social beliefs. They are likely to support companies that address social issues:

• 50% of Gen Z believes brands should take clear public stands on social issues.
• A remarkable 69% want companies to support racial justice initiatives.
• Additionally, 68% identify as eco-friendly shoppers and are willing to pay more for sustainable products.

How Gen Z Decides Where to Spend

When it comes to choosing brands, adoption of technology plays a major role in Gen Z’s shopping behaviors. They prefer mobile shopping and often seek out special deals:

• 74% of Gen Z prefers shopping on their phones compared to other devices.
• 80% of them wait for sales before making a purchase.
• 36% report that they boycotted a brand last year due to ethics or sustainability concerns.

What Motivates Gen Z to Spend

Besides ethical considerations, convenience and trends heavily influence this generation’s spending. Here are some motivating factors:

• 47% of Gen Z says they make impulsive purchases.
• 61% follow brands on social media, seeking inspiration for their next buy.
• More than half, 55%, has bought something based on an influencer’s recommendation.

Gen Z’s Preferred Payment Methods

When it comes to payments, Gen Z is embracing technology. Their preferences reveal how they like to manage their transactions:

• 52% prefer to use debit cards, while 12% opt for mobile payment options like Venmo or Cash App.
• 55% found success with buy now, pay later services, feeling it gives them more control over their finances.

Gen Z’s Online Spending Habits

This generation’s online shopping is heavily influenced by social media. Here’s why they favor shopping this way:

• 71% of Gen Z finds new products primarily on social media platforms.
• 47% have used YouTube for product research, showing a preference for video content.
• 30% claim they shop online for convenience, while 20% seek better prices.

Gen Z’s Saving and Investing Habits

Saving and investing are also important for Gen Z, and they show a unique approach compared to previous generations:

• 42% claim to save more than ever before, holding an average of 36% of their money in savings.
• 37% actively invest, with many leading a significant interest in stocks and other assets.
• 47% express they invest partly because of the fear of missing out on trends and opportunities.

Miscellaneous Gen Z Spending & Buying Statistics

As this generation continues to shape the market landscape, here are some intriguing insights:

• 80% prefers to buy secondhand or rental items, showcasing their desire for sustainability.
• 30% of Gen Z individuals identify as content creators or influencers, adding to their unique spending habits.
• 54% have tried product subscriptions, showcasing their interest in novelty and convenience.