Gen Z vs. Millennials: Their Spending Habits Differ

One key difference between Zillennials and Millennials is their living arrangements. A majority of Zillennials cohabitate with others, whether it be with romantic partners, family members, or friends. This shared housing arrangement may partially explain why this cohort has more discretionary income than older consumers.

With 54% of Zillennials working full-time and having fewer expenses, they are 30% more likely to say they do not live paycheck-to-paycheck compared to Millennials and bridge Millennials. Zillennials are also more diverse and independent than previous generations.

They are more likely to self-identify as a minority and value diversity and independence as traits that set their micro-generation apart. As digital natives, they prefer shopping on the more continent channel to them (ie. in-store, online, on app) but also lead the charge in consumer demand for cross-channel experiences.

This generation’s unique experiences and characteristics make them an attractive target market for disruptive brands. For instance, Zillennials have longer attention spans than Gen Z, making them more likely to engage with long-form content. They also make values-driven purchasing…