The Gen Z Effect on Holiday Shopping 🛒

If you’re a marketer, you probably know that Gen Z is the cohort to watch right now. They’re not just setting trends on social media; they’re also putting their money where their Reels are—especially during the holiday season. Let’s take a look at how these younger shoppers are shaking things up and what it means for retailers.

Gen Z is Spending BIG on the Holidays 💸

Gen Z is stepping up their holiday game this year with a 37% increase in spending over last year. On average, they’re planning to shell out a whopping $1,752 💀 on gifts, experiences, and yes, even a little self-gifting (more on that in a bit). #thatswild

Compare that to your typical holiday shopper, and it’s clear: Gen Z is ready to outspend everyone else.

Why the big jump?

As more of these digital natives enter the workforce and snag higher-paying jobs, their purchasing power is skyrocketing. And that means they’re willing to splurge a little more this holiday season.

🎯 The Big Takeaway: Gen Z’s growing spending power makes them a key demographic this season. Craft campaigns that appeal to their tastes and values—like highlighting sustainability or inclusivity—and you’ll be speaking their language.

Digital Savvy Meets In-Store Shopping 🛍️

While older generations are known for sticking to traditional in-store shopping, Gen Z isn’t so predictable. In fact, they’re blending online and offline shopping in interesting ways. According to PWC, 72% of Gen Z consumers think it’s important to have self-checkout options when shopping in-store, while 70% want to see mobile payments. This group loves speed and efficiency, and that extends to their holiday shopping experience.

Interestingly, despite their digital-first approach, Gen Z isn’t saying goodbye to brick-and-mortar stores. Sixty percent plan to make in-person visits during the holidays, with a solid 21% of them turning their shopping trips into full-blown experiences. For them, shopping isn’t just about the purchase—it’s an event to be shared on social media.

🎯 The Big Takeaway: Retailers, it’s time to up your tech game in-store. Self-checkout, mobile payment options, and app integration aren’t just perks—they’re must-haves for winning over Gen Z this holiday season.

It’s the Season for Self-Gifting 🎁

Here’s something fun: Gen Z loves to treat themselves during the holiday season. A whopping 37% of their holiday budget is earmarked for self-gifting, compared to 32% for the average shopper. Why? For this group, it’s not just about giving to others; it’s about indulging in a little “treat yourself” moment, too.

This trend has huge implications for marketers. While you should still craft messages around gifting for friends and family, don’t forget to include campaigns that speak to self-rewards and self-care. Think, “You deserve this holiday splurge,” or “Go ahead, gift yourself something special.”

🎯 Takeaway for Marketers: Create holiday messaging that includes self-gifting language. Highlight limited-edition items, exclusive collections, and must-have products that Gen Z shoppers would love to snag for themselves.

Blending Digital and In-Store Shopping 📱+ 🏬

Yes, Gen Z loves a good online deal, but they’re also injecting life back into physical retail spaces. They want to shop in stores that offer more than just products—they’re looking for experiences. Whether it’s interactive displays, influencer pop-ups, or Instagrammable decor, retailers that blur the line between online and offline shopping are winning big.

Gen Z’s comfort with technology is shaping their expectations for in-store experiences. Seventy-two percent say that self-checkout is important, and mobile payments and brand apps are also high on their wish list. This generation is redefining the traditional shopping trip and pushing retailers to modernize their approach.

🎯 Takeaway for Marketers: Invest in creating experiential retail spaces and digital tools like self-checkout kiosks and mobile payment integrations. Retailers that can blend online convenience with in-store experiences will capture Gen Z’s attention and their holiday dollars.

Final Thoughts

The bottom line? Gen Z is rewriting the holiday shopping playbook. They’re spending more, expecting more (👈🏽that part), and willing to shell out for brands that meet their standards of convenience and authenticity. Retailers who can seamlessly blend online and offline experiences while speaking to Gen Z’s desire for inclusivity and self-expression will win big this holiday season.

Keep your campaigns innovative, your messaging relevant, and don’t be afraid to lean into what makes your brand stand out. Gen Z’s got the cash to spend this season—make sure they’re spending it with you.

Happy selling! 🎄✨