In a new survey, Gen Z Shoppers said they plan to spend 23% less on this year’s holiday gifts.
US holiday spending slips were found in the survey, especially among Gen Z.
According to CNBC, US holiday shoppers are hoping to pull back this season.
They do – News
Sayre Balk, 24, is spending less on holiday gifts this year. The administrative assistant has just moved to New York City and feels her wallet has been in a pinch and “all prices rise” from the move.
According to the new holiday outlook, other Gen Z shoppers are also cutting holiday spending by an average of 23%.
Overall, US consumers of all ages say they will be 5% less this holiday season, citing rising prices, tariffs and increased costs of living, according to the latest PWC 2025 holiday outlook.
According to the global professional services company, this was the first notable decline since the Covid-19 pandemic broke out in 2020.
Gen Z shoppers spent more time on vacation last year
However, Gen Z shoppers, ages 13 to 28, have particularly dramatically reversed their planned holiday spending compared to last year’s results. Last year, they planned to spend 37% on holiday shopping, she said.
Gen Z is somewhere else this year, she said. Their average age is 22, so Furman said he was “old.” There are more people and she said she has mortgages.
“They have more expenses compared to last year, so they’re more budget aware and trying to grow the dollar even further,” Furman said.
“We are pleased to announce that Shika Jain, a consumer/retailer at Simon Kucher, a commercial strategy consulting firm, said:
Simon-Kucher also has a new holiday shopping report that surveyed consumers in July, with Gen Z shoppers projecting a mere 1% reduction in holiday shopping budgets from $814 to $805, while millennials are up 14% year-on-year.
Gen Z loves to indulge in experiences, such as concerts and holidays.
Furman said Gen Z is willing to compromise on their experiences, such as “they are heavily affected by inflation,” including concert tickets and holidays.
Jane agreed, and over time Gen Z “moved away from material possessions, travelled to travel and experiences, and other memories.
“What that means is they have to pull back spending on more important goods and services,” Jain told USA Today.
47% of Gen Zers spent more than $100 on “traveling and experience,” compared to 43% of all consumers, Jain said.
Shoppers say wages can afford discretionary spending
Balk usually doesn’t spend more than $300 on holiday shopping, as the family is small and only gives gifts to parents and close friends.
She says that friends and family members “understand how expensive life is and expect nothing from me. But they feel lucky that the notion that they cannot provide gifts to your friends and family is of course upsetting.
“Today’s job market feels it is impossible to find a job that pays enough to provide discretionary spending such as gifts, concert tickets, shopping and more.
Betty Lin-Fisher is a consumer reporter for USA Today. Contact her at blinfisher @usatoday.com or follow her on X, Facebook, or Instagram @Blinfisher, @Blinfisher.bsky.social.. Sign up for the free The Daily Money Newsletter, including Fridays’ Consumer News.
