How to Sell to Gen Z during the Holidays (2022)

October 18, 2022

Gen Z is the rising generation with its older members at the advent of their careers and claiming their share of spending power. While we’ve discussed Gen Z’s values before, we wondered about their buying decisions and motivations related to the holiday season. Recently, we uncovered three key themes as part of our quantitative 2022 Holiday Shopper Study.  

1. Match their passion for the holidays.

Gen Z possesses a passion for the holidays that stands out against the older generations.  They are looking forward to spending time with friends and family, but they’re also looking to give meaningful gifts to those they love.   

According to our 2022 Holiday Shopper study, 72% of Gen Z says they’re looking forward to holiday shopping.  Their excitement for holiday shopping is coupled with a pragmatic approach to spending.  

They are planning to spend within their means and not go “all out”, expecting to spend an average of $478 which is the lowest spending budget of all the generations. 

Overall, Gen Z is being intentional with their finances this holiday season, as well as, with the products they plan to gift to their friends and family. Gen Z is also more likely to want to browse and get out of the house than older cohorts. 

2. Learn the categories of gifts that Gen Z wants to shop this year

Gen Zers are motivated to shop smart and within their budget. The top categories Gen Zs plan to gift this holiday season include:

  • Apparel (73%)  
  • Video games / toys (64%)  
  • Gift cards (54%)  
  • Electronics (48%)  
  • Beauty (42%) 

Designer apparel, video game consoles, and electronics of all types can retail for more than $100 each — about 1/5 of each Gen Zer’s budget. 

3. Use deals to earn their attention

Deals have struck a major chord with Gen Z this holiday season, as 92% of Gen Z says they will take advantage of a deal day like Black Friday or Cyber Monday (vs. 79% of Gen X and 75% of Boomers). This may be, in part, because Gen Z is also more likely to indicate feelings of financial insecurity, versus older cohorts. 

Offering significant deals in the categories that Gen Z wants can be the perfect way to get them shopping with your brand instead of a competitor.  

Aside from deals, Gen Z is also the generation most likely to shop at dollar stores and outlet stores. 

Retailers can attempt a similar strategy of too-good-to-miss sales that get a Gen Z shopper in the door (or on the website) before showcasing other products. While this idea may not be new in the context of holiday shopping, it’s important to note that data indicates it’ll be most powerful with Gen Z.  

Brands looking to engage Gen Z can start with a big sale on products in Gen Z’s preferred categories while catering to their $478 budget.  

The holidays will be here soon – get your holiday report now.

82% of consumers say they’re going to have their holiday shopping done by the start of December, with 54% saying they’re going to do it in November.  

That time is coming up quickly! Download your free report today so your business can plan, execute, and enjoy the holiday shopping season knowing that you’re meeting your consumers’ expectations.

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