Consumer Behavior

Gen Z not cutting spend despite inflation

Adobe Stock

March 22, 2023

Inflation isn't prompting the Gen Z consumer from shopping and 32% are online doing just that.

Those are top findings from Jungle Scout data revealed in its "Q! 2023 Consumer Trends Report," conducted quarterly.

The data revealed Gen Z consumers are the least likely to report that inflation is impacting spend and are the most reluctant to cut spending compared to other generations, according to a press release on the findings.

Additional findings include:

• 43% of Gen Z consumers start their online product searches on TikTok, a higher number than those who start on Google.
• 32% of Gen Z consumers shop online at least once daily compared to 25% of Millennials, 15% of Gen X and 7% of Baby Boomers.
• Gen Z consumers are the most likely to shop secondhand online to save money, with 42% purchasing a pre-owned item online in the past year.
• Consumer behavior and attitude toward inflation differs greatly by generation.
• Millennials are more worried about their finances than any other generation and are nearly twice as likely to have an unstable household income compared to Baby Boomers.
• Baby Boomers are 78% more likely than Gen Z to purchase items on sale and are more likely than any other generation to use credit cards with money-saving perks.
• 56% of Gen X and 43% of Millennials are cutting back on fun/impulse purchases to save money, compared to only 37% of Gen Z consumers.

"In the world of e-commerce, one size does not fit all," Michael Scheschuk, president of small and medium business at Jungle Scout, said in the release. "Businesses must understand each generation's unique values, preferences and behaviors to create tailored strategies. As the youngest and newest cohort of shoppers, Gen Z offers invaluable insights into the current and future trends shaping retail."