Mental Health, Gen Z, Retail
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October 22, 2025

Is There Anything Truly Surprising About Gen Z’s Shopping Habits?

According to Numerator’s most recent data provided via its “Discover the Gen Z Consumer” fact sheet, U.S. Gen Z shoppers are exhibiting some traits that may be somewhat predictable to some onlookers, but also some surprising facts that don’t necessarily accord with their younger age.

Up front: Gen Z households (those born after 1995) represent just 8% of the total U.S. population, but are quickly making a claim to becoming a highly influential and prized consumer demographic. They spend an average of just $28 per shopping trip — however, they also make around 580 shopping trips per year, totaling an average annual spend of approximately $16,500.

Other notable pieces of info pulled from the fact sheet:

  • Walmart leads, with Amazon and Costco following: Gen Z showed preference to shop at Walmart (16%), Amazon (9%), Costco (6%), and Target (also 6%) most frequently, with Kroger (4%), McDonald’s (4%), and Albertsons (2%) coming up next.
  • Gen Z shoppers are a diverse lot: Less than half of Gen Z shoppers identify as Caucasian (48%), with Hispanic/Latino (26%), Black/African American (12%), and Asian (12%) being the next most commonly claimed ethnicities. A vast majority do not have children (72%), perhaps expected due to their younger age, and nearly half (43%) fall in the lower-income category. “Gen Z is also spread out across urban (43%), suburban (34%) and rural (23%) geographies,” the fact sheet authors from Numerator noted.
  • They’re also big on genuineness and authenticity: More than a quarter (27%) of Gen Z shoppers polled said that brands simply don’t connect with them in authentic or genuine ways — and they’re also the shoppers most likely to walk away (23% more likely than the average consumer) if competitors grow stale to their tastes. Over half (57%) stated they prefer to customize products to express themselves.

Nostalgia Appeals Greatly to Gen Z Shoppers, Despite Their Youth

While nostalgia is often framed as a marketing device best employed to target older consumers (elder millennials and above), Numerator’s findings suggest that Gen Zers are strongly influenced by nostalgia.

The line items most likely to drive Gen Z interest — and spend — included: old restaurant design and decor, like ’90s Taco Bell or red-roof Pizza Hut (41%); retro-inspired packaging or branding (40%); classic menu items, namely the McDonald’s McRib, or the Taco Bell Mexican pizza (33%); established jingles or slogans (32%); dining experiences or rituals, like family night or after-school visits (32%); ads or commercials from their younger years (29%); kids’ meals or toys, including Happy Meals or movie collabs (28%); and childhood mascots or characters, with Ronald McDonald and even The Noid being mentioned (25%).

“Nostalgia is a powerful emotional purchase driver. In the QSR category, where brand heritage and visual identity play critical roles, tapping into Gen Z’s longing for the past offers a compelling opportunity to drive relevance and sales,” Numerator reported.

Falling more in line with common narratives around social media purchasing habits, Gen Zers were also far more likely (82% more likely) than the average polled consumer to say that social media and digital ads had held sway over their purchasing decisions. A full 21% of Gen Z respondents said they had bought via TikTok Shop over the past month, while 17% said they’d done business over Facebook Shop or Facebook Marketplace, 10% through Instagram Checkout, 8% through YouTube Shopping, and 6% via Pinterest.

Discussion Questions

Is it surprising to you that Gen Z shoppers are responding so strongly to nostalgia-based marketing? Why or why not?

What aspects of the data correspond to your own experiences or research concerning the contemporary U.S. Gen Z consumer, and which statistics conflict, if any?

How can brands which may have fallen out of favor with Gen Zers rekindle interest through appeals to either customization, nostalgia, or digital channels? Can you think of any prime candidates?

Poll

12 Comments
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Neil Saunders

I don’t think there are any stunning insights here. However, it is interesting to see the strength of Walmart, which underlines how much the chain’s efforts to connect with younger generations have paid off. The point around Gen Z not feeling like brands connect properly with them is also one to note. From our recent youth study with Pacsun, one of the clear takeouts was how younger generations want brands to engage with them beyond a surface level. Pacsun has done this by using some of its young customers to create content for the brand and by making connections in the wider community via sporting events and similar initiatives. It’s an interesting case study in creating a true sense of community.

Last edited 1 month ago by Neil Saunders
Craig Sundstrom
Craig Sundstrom

The question I’ve waited – months? years? decades? – for: “is there anything truly surprising …?” No; there’s not even anything slightly surprising.

Neil Saunders
Famed Member

I had to laugh (I agree)!

Craig Sundstrom
Craig Sundstrom
Noble Member
Reply to  Neil Saunders

Questions so easy a bot can handle them !

Mohamed Amer, PhD

Nostalgia isn’t about memory, but meaning. Gen Z cohort is the first generation to come of age entirely in the 21st century’s crisis era—from the Financial Crisis through a pandemic, climate anxiety, and persistent economic instability. When 41% respond to ’90s Taco Bell aesthetics, they’re romanticizing a time that feels simpler, more authentic, and less algorithmically curated than their current reality.

For brands looking to recapture Gen Z interest, the formula is clear but requires authenticity: Claire’s, recently acquired by Ames Watson, sits on a goldmine if they play it right. They already have the mall footprint (795+ stores), the ear-piercing ritual Gen Z craves (32% value dining experiences/rituals), and deep nostalgic equity. The play: transform stores into Y2K customization hubs where Gen Z can design custom jewelry, host piercing parties, and create TikTok content. Levi’s could execute a similar playbook: lean harder into their ’90s workwear heritage while offering in-store customization (embroidery, distressing, fit alterations). Both have brand equity; they need to let Gen Z remix it.

There is execution risk: Gen Z can smell performative nostalgia instantly. The 27% who say brands don’t connect authentically aren’t wrong. Claire’s PE owners need to resist the urge to optimize for quick ROI. For Gen Z, nostalgia without substance is just naked exploitation. Would Claire’s PE owners have the patience for it?

Brian Numainville

Nothing here feels all that surprising. Gen Z’s shopping behavior is exactly what you’d expect from a generation raised online yet craving something real. They move fluidly between digital convenience and emotional authenticity, which explains their love of nostalgia. The brands that win with Gen Z won’t just chase trends, but rather, they’ll offer experiences that feel human, grounded, and worth remembering.

Brian Cluster

Great to be back on the discussion board.

One of the points on the retail side that was a bit surprising is that the Gen Z share of own spend at Costco is higher than average. I would assume that Genz is a smaller household with likely less annual income than the average US household and it seems hard to leave Costco without dropping $200. It would be interesting to see what categories over index.

Secondly, I was surprised that the most important element for Nostalgia is the design of classic restaurants. I thought that food or beverage brand/packaging or menu items would be more important than retro restaurants. Maybe the recent logo challenge from Crackle Barrel drove some of this response?

Lisa Goller
Lisa Goller

Lately, nostalgia has been chic because it reminds consumers of all ages of a time when life felt comparatively simpler, and more comforting and predictable.

Nostalgia-based marketing may resonate with Gen Zs because it also resonates with their Gen X parents who shop on their kids’ behalf.

As ’80s-themed Stranger Things returns to our screens next month, its related merchandise (t-shirts, cereal, coffee mugs) may appeal to the whole family.

Scott Norris
Scott Norris
Active Member
Reply to  Lisa Goller

Was going to say something similar – much of Gen Z was taught how to shop by their Gen X parents, and they *still* shop together; especially as “hanging out with your teenage friends at the mall” has become an endangered activity. Just this weekend I was guiding my 19-year-old daughter thru Target’s women’s career-wear department – you’d never catch a Boomer dad doing that back in the day. And so in these shared trips of course us Xers pass on the lore from the 80s/90s – it’s no wonder Zs want to experience what we took for granted!

Lisa Goller
Lisa Goller
Noble Member
Reply to  Scott Norris

I’ve been sharing ’90s nostalgia with my Gen Zs as the Blue Jays aim to win the World Series this week. It’s exciting to see a new generation get hooked on something other than Roblox and TikTok, and demand blue licensed merch.

Scott Benedict
Scott Benedict

It’s not surprising at all that Generation Z shoppers respond strongly to nostalgia-based marketing. In fact, the data show that many Gen Z consumers—despite their youth—are drawn to ‘90s and early-2000s aesthetics, retro branding, and revival icons, because these elements offer something emotionally meaningful: a feeling of simpler times in a complex, fast-changing world. I can confirm that trend with Gen Z members of my own family.

That said, some of the statistics align more clearly with other research than others. For example, the high share of Gen Zers preferring customization (57% said they like to personalize products) and feeling disconnected from brands (27% said brands don’t feel authentic) both reflect what I’ve seen in broader trend data.  On the other hand, the extent to which nostalgia directly drives purchase behavior still feels somewhat more speculative—brands tapping nostalgia may get attention, but converting that into lasting loyalty is more complex.

For brands that have faded from Gen Z relevance, there’s a clear second-act opportunity through customization, nostalgia, and digital channel innovation. Think of legacy brands like Abercrombie & Fitch or Coach—both have used retro collections, archives, and limited drops to reignite interest. Leveraging nostalgia with a modern twist (e.g., “vault” or “heritage” drops), offering personalized versions of iconic items, and meeting Gen Z where they are (TikTok, Instagram, gaming) can rekindle engagement. The key is authenticity, relevance, and seamless digital-first execution rather than simply riffing on past styles.

Anil Patel
Anil Patel

Gen Z is a fascinating group of customers. They explore constantly but quickly notice when a brand feels inauthentic. Nostalgia plays a significant role in their decisions, as they connect with brands that remind them of experiences from their childhood, even while discovering products online and through social media.

For retailers, the real opportunity lies in combining heritage with personalization. Brands that genuinely embrace their past while providing Gen Z customers ways to customize or co-create their experiences are the ones that will remain relevant. Success comes not from marketing hype, but from creating experiences that truly matter to this generation.

BrainTrust

"I was surprised that the most important element for nostalgia is the design of classic restaurants, thinking food or beverage brand/packaging or menu items would be on top."
Avatar of Brian Cluster

Brian Cluster

Insights Consultant


"Nostalgia-based marketing may resonate with Gen Zs because it also resonates with their Gen X parents who shop on their kids’ behalf. "
Avatar of Lisa Goller

Lisa Goller

B2B Content Strategist


"Nothing here feels all that surprising. Gen Z’s shopping behavior is exactly what you’d expect from a generation raised online yet craving something real."
Avatar of Brian Numainville

Brian Numainville

Principal, The Feedback Group


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