Where Young Generations Rule the Spending Class

The global Generation Z will be the largest, wealthiest and highest-spending generation in history, according to a report by World Data lab, Nielsen and GfK. While wealth accumulation has slowed from generation to generation, the average Gen Z member will still be wealthier than the average Millennials, even at the same life stages, the report estimates. Even more important is Gen Z's strength in numbers. As population growth is slowing in many parts of the world, Gen Z is expected to be the last and only generation to reach 2 billion people, with a strong showing in developing and middle-income countries that have kept up population growth for longer.

In 2024, the report estimates that the global Gen Z was making up almost a quarter of the globe's population - more than any other generation- , while contributing 17 percent of global consumer spending as many of them are still coming of age. In 2030, Gen Z will still be the world's biggest generation, but by that time, its spend will have risen to 19 percent.

While this is still behind 2030 spending of Millennials and Gen X on average, even by 2030, huge differences will have emerged globally. In Sub-Saharan Africa, where population growth has made Gen Z the strongest, their consumer spending will make up 30 percent of the market - around the same as that of Millennials. In Latin American and the APAC region, Gen Z spending will be around 20 percent of consumer spending opposite around a quarter of Millennial as well as Gen X consumer spending. In Europe and North America, where population and also wealth growth have been slower, Gen Z will only make up a slice of around 15 percent of consumer spending by 2030. In the two regions, Gen X and Baby Boomers will still hold more than half of consumer spending in 2030.