March 26, 2026
ArturVerkhovetskiy/Depositphotos.com
As Boomers ‘Age Out of Peak Purchasing,’ How Can National Brands Retain Interest With Gen Z?
According to a recent First Insight study titled “Is Gen Z Still Choosing Your Brand,” while Gen Zers and baby boomers still choose national brands at No. 1 across most categories versus private label, DTC, and premium alternatives, a major gulf is emerging when it comes to interest, desire to learn or know more, and perhaps even future purchase intent.
“Gen Z still picks national brands when you put four options in front of them. What this data shows is that they’re noticing them less, exploring them less, and in categories like vitamins, they’re a coin flip away from choosing a challenger instead,” said Viki Zabala, Chief Strategy and Growth Officer at First Insight, via a press release.
“The brands that will win the next decade are the ones that understand exactly where they stand in the Gen Z value hierarchy — by category, by channel — and take action before that gap becomes permanent. As Boomers age out of peak purchasing, this isn’t a cycle. It’s a handoff. And right now, challengers are on the receiving end,” Zabala added.
In a summary attached to the report, three embedded signals indicated that the current lead being held by national brands is in danger of eroding.
- The attention gap is widening: Younger U.S. consumers are affording national brands 24% less shelf attention than their boomer counterparts. Filling that gap are store brand, DTC, and premium brand challengers.
- Then, curiosity is shifting: More than one-third (38%) of Gen Z purchasing decisions rest on factors which “most national brands don’t measure or under invest in,” per the report. Further, “challengers are built for exactly those signals.”
- Preference is undergoing rapid change: A majority (59%) of Gen Z consumers are trading down in staples. In particular categories, notably vitamins, a former 20% national brand lead has broken down to just 2% with zoomer buyers.
With Gen Z buyers trading down to private-label food and beverage options (31% said as much) and household goods (24%) at much higher rates than older Americans — in favor of splurging on the pet, health and beauty, and wellness categories — yet another gulf has emerged: When asked “which product stands out to you first?” on the shelf, Gen Z shoppers reliably choose established national brands far less often than boomer buyers. On multi-purpose cleaners, boomers selected the national brand 68% of the time (versus just 44% for Gen Z); and on facial cleansers they chose the national brand 79% of the time (against 52% for zoomers).
“Instead, Gen Z consumers more frequently noticed private-label, premium and direct-to-consumer brands. This shift suggests traditional brand recognition may be losing its advantage among younger shoppers. Visual packaging, clarity, modern design, and contemporary positioning are driving first
attention,” the report claimed.
“The shelf functions like a social feed — and Gen Z scrolls past what feels dated,” it added, pivoting to note that when it came to purchase intentions across CPG categories, “The moat around legacy brands is shrinking with the generation that matters most for long-term growth.”
BrainTrust
Nicholas Morine
Recent Discussions
Discussion Questions
Do you believe that national brands may be in relative trouble versus competitors as boomers ‘age out’ of peak purchasing power in favor of millennials and Gen Z? Why or why not?
How can national brands reverse the trend indicated in the study? What moves are essential for them to make right away?
Poll
Loading …
There is growing evidence that national brands face increasing pressure as purchasing power shifts from Boomers to Millennials and Gen Z. Research consistently points to several drivers behind the rise of private brands: improved product quality, sharper pricing, stronger retailer loyalty programs, and more effective merchandising and placement. Younger shoppers, in particular, tend to be less brand-loyal than previous generations and more willing to experiment—especially when private labels deliver comparable quality at a better value. In that sense, the challenge for national brands is not simply demographic change, but a broader evolution in how consumers evaluate value and trust.
That said, national brands are far from being in “trouble” across the board. Many still offer advantages in innovation, marketing reach, and emotional brand equity. However, they must work harder to justify their price premium. This means leaning into differentiated innovation, stronger storytelling, and clearer value propositions. National brands also need to collaborate more closely with retailers, ensuring their products are supported by compelling digital content, in-store merchandising, and omnichannel visibility that resonates with younger consumers.
To reverse the trend, national brands should move quickly in a few key areas: invest in innovation that clearly differentiates from private label alternatives; strengthen digital and social engagement, particularly with Gen Z and Millennials; and rethink pack sizes, pricing, and promotional strategies to align with value-conscious shoppers. The rise of private brands reflects structural changes in retail, not just temporary consumer behavior. National brands that adapt to those realities—while leveraging their strengths in innovation and brand-building—will be best positioned to remain competitive in the years ahead.
RW’s preoccupation with – and, unfortunately, oversimplification of – demographic effects on consumption continues:. I would submit that loss of brand loyalty has ocurred across all age cohorts…it has much less to do with some mythical “aging out” effect. (Of course this is probably of litlle comfort: it means the situation is actually worse)
The line “As Boomers Age Out of Peak Purchasing” made me laugh out loud. The youngest Baby Boomers are 62, we’re not exactly lining up for the exit. Let’s not write off an entire generation that still has plenty of spending power left. Plus, there are two whole generations between Boomers and Gen Z. What about them?
Of course, Gen Z notices private label and direct-to-consumer brands first because that’s what fills their social media feeds. TikTok and Instagram are full of those brands. I can’t remember the last time a national brand showed on my feed on either of those social medias. Facebook? Sure, but then Facebook caters to my generation.
If you want to capture Gen Z’s attention, show up where they are, and play by their rules.
Yes, the power of national brands is slowly eroding, as reflected in the signals outlined in the article. The issue isn’t that these brands have lost all relevance, but that they are beginning to lose attention, curiosity, and cultural resonance with the next generation of consumers.
At the core is a mismatch between how national brands were built and how Gen Z discovers and evaluates products. Gen Z shops in a way that mirrors digital behavior—fast, visual, and driven by immediacy, identity, and clarity of value—which inherently favors challenger brands designed for scroll-stopping impact. Elements like visual packaging, clarity, modern design, and contemporary positioning play an outsized role, and Gen Z also places greater weight on a brand’s stated social consciousness—an area where many national brands have historically underinvested or under-communicated.
That said, leading national brands are not on an inevitable path to decline. What’s required is a more Darwinian approach to product and brand management: adapt or risk irrelevance. These companies have the resources to respond decisively—either by competing aggressively on value or by creating meaningful, differentiated premium offerings—while avoiding the trap of being diluted in the middle.
In parallel, they should actively explore brand extensions or new ventures that operate credibly within the challenger space, allowing them to meet Gen Z where they are while neutralizing competitive threats. The opportunity isn’t just to defend share, but to evolve how demand is created and captured in the emerging new consumer landscape.
Brand awareness and trust with every generation is built by showing what makes their product different or better, in sharing stories, and proving it works. And it has to be relevant in language, meeting customers where they are on their life’s journey. But brands would be foolish to wean off Boomers to get to the masses of Gen Z now without embracing Gen X and Millenials, who happening to be in their prime earning years now.
More Discussions
Is Supply Chain Volatility Here To Stay?
Can we expect an ongoing volatility to remain in terms of retail supply chain?Has Same-Day Delivery Become an Expectation Across Retail?
Are expectations around retail delivery speed in flux?OpenAI Names the Infrastructure Standard for Agentic Commerce
Will OpenAI or Google (or another entity) set the gold standard for agentic commerce?
There is growing evidence that national brands face increasing pressure as purchasing power shifts from Boomers to Millennials and Gen Z. Research consistently points to several drivers behind the rise of private brands: improved product quality, sharper pricing, stronger retailer loyalty programs, and more effective merchandising and placement. Younger shoppers, in particular, tend to be less brand-loyal than previous generations and more willing to experiment—especially when private labels deliver comparable quality at a better value. In that sense, the challenge for national brands is not simply demographic change, but a broader evolution in how consumers evaluate value and trust.
That said, national brands are far from being in “trouble” across the board. Many still offer advantages in innovation, marketing reach, and emotional brand equity. However, they must work harder to justify their price premium. This means leaning into differentiated innovation, stronger storytelling, and clearer value propositions. National brands also need to collaborate more closely with retailers, ensuring their products are supported by compelling digital content, in-store merchandising, and omnichannel visibility that resonates with younger consumers.
To reverse the trend, national brands should move quickly in a few key areas: invest in innovation that clearly differentiates from private label alternatives; strengthen digital and social engagement, particularly with Gen Z and Millennials; and rethink pack sizes, pricing, and promotional strategies to align with value-conscious shoppers. The rise of private brands reflects structural changes in retail, not just temporary consumer behavior. National brands that adapt to those realities—while leveraging their strengths in innovation and brand-building—will be best positioned to remain competitive in the years ahead.
RW’s preoccupation with – and, unfortunately, oversimplification of – demographic effects on consumption continues:. I would submit that loss of brand loyalty has ocurred across all age cohorts…it has much less to do with some mythical “aging out” effect. (Of course this is probably of litlle comfort: it means the situation is actually worse)
The line “As Boomers Age Out of Peak Purchasing” made me laugh out loud. The youngest Baby Boomers are 62, we’re not exactly lining up for the exit. Let’s not write off an entire generation that still has plenty of spending power left. Plus, there are two whole generations between Boomers and Gen Z. What about them?
Of course, Gen Z notices private label and direct-to-consumer brands first because that’s what fills their social media feeds. TikTok and Instagram are full of those brands. I can’t remember the last time a national brand showed on my feed on either of those social medias. Facebook? Sure, but then Facebook caters to my generation.
If you want to capture Gen Z’s attention, show up where they are, and play by their rules.
Yes, the power of national brands is slowly eroding, as reflected in the signals outlined in the article. The issue isn’t that these brands have lost all relevance, but that they are beginning to lose attention, curiosity, and cultural resonance with the next generation of consumers.
At the core is a mismatch between how national brands were built and how Gen Z discovers and evaluates products. Gen Z shops in a way that mirrors digital behavior—fast, visual, and driven by immediacy, identity, and clarity of value—which inherently favors challenger brands designed for scroll-stopping impact. Elements like visual packaging, clarity, modern design, and contemporary positioning play an outsized role, and Gen Z also places greater weight on a brand’s stated social consciousness—an area where many national brands have historically underinvested or under-communicated.
That said, leading national brands are not on an inevitable path to decline. What’s required is a more Darwinian approach to product and brand management: adapt or risk irrelevance. These companies have the resources to respond decisively—either by competing aggressively on value or by creating meaningful, differentiated premium offerings—while avoiding the trap of being diluted in the middle.
In parallel, they should actively explore brand extensions or new ventures that operate credibly within the challenger space, allowing them to meet Gen Z where they are while neutralizing competitive threats. The opportunity isn’t just to defend share, but to evolve how demand is created and captured in the emerging new consumer landscape.
Brand awareness and trust with every generation is built by showing what makes their product different or better, in sharing stories, and proving it works. And it has to be relevant in language, meeting customers where they are on their life’s journey. But brands would be foolish to wean off Boomers to get to the masses of Gen Z now without embracing Gen X and Millenials, who happening to be in their prime earning years now.