Here’s why businesses can’t ignore the GenZ

The GenZ are likely to turn out to be the biggest spenders the world has ever witnessed and match their global peers. GenZ are those born between 1997 and 2012 and why they matter to businesses worldwide is that they dominate businesses globally with their spending power. 

World Data Lab, Nielsen, and GfX in a collaborative study conducted in mid-2024 discovered the increasing spending power of this age group worldwide, with special concentration in sub-Saharan Africa, Middle East, South Africa, Australia, New Zealand, and Chile.

A Nielen IQ report titled SpendZ also highlighted some specific characteristics of the GenZ. According to the report, the GenZ display a strong sentiment about what they consume, and also that they are averse to buying from companies with poor environmental standards. The GenZ are also big on the authenticity of what they consume. They are also influenced by internet chatter and what others have to say about a brand is important to them as they consider reviews before making a purchase.

The report also highlighted that the GenZ market would reach $12 trillion by 2030, making them the wealthiest generation anywhere in the world. By 2034, this age group will add more than 9 million dollars in spending globally – which is significantly higher than any other generation. The GenZ currently makes up 25 percent of the world’s population.

So, what are the GenZ likely to pick during a typical shopping spree? Clothing and shoes are among their top purchase and 65 percent of those purchases are made online. 

Leisure, sports, hobby items, and beauty products are popular online purchases, with 39 percent buying in these categories. Jewellery and accessories are bought online by 33 percent of Gen Z. Other online purchases include groceries, automobile parts or accessories, pharmaceutical products, and children's products. Home and garden items are purchased online by 21 percent of Gen Z.