While Gen Z has dominated marketers’' attention towards younger generations, Gen Alpha is entering the consumer landscape.

While 8- to 14-year-olds are often grouped with their older peers, the two generations have distinguishable differences. Gen Alpha has constant access to information, a real understanding of brands, and significant influence over how their parents shop, making it helpful for marketers to understand their needs.

• Gen Alpha drives 42% of household purchases and commands $101 billion in direct purchasing power, according to a July DKC News report surveying Gen Alpha parents.

“Brands that are interested in the way consumers are spending need to be paying attention to Gen Alpha,” said Matthew Traub, president at DKC. “Even if you think your audience isn’t 14-year-olds, it could very well be their millennial parents.”

Gen Alpha is earning their own money from new income sources

While kids have long earned money from chores and odd jobs, Gen Alpha is unique in expanding their income using technology.

• The average Gen Alpha child has $67 to spend weekly, per DKC News’' report.
• 20% are making money from online selling and reselling, per the report.

“They are entrepreneurs, and that spirit makes their economic impact greater than any other generation,” said Traub. “The fact that they have these [digital] tools and are using them is really unique.”

Gen Alphas have money to spend but are selective with it. 78% of parents describe their kids as cost-conscious, and 50% say their child prompted them to use a price comparison platform, per the report.

What this means for marketers: Since Gen Alphas have direct spending power, marketers should focus on the messages and experiences that persuade them to part with their own money.

They understand how brands operate

Gen Alphas can be strong brand advocates, but they’re also quick to call out a brand’s flaws.

• 86% of parents say their Gen Alpha children are very attentive to specific brands, and 80% know the brands disliked by their Gen Alpha children, per DKC News’ report.
• 46% of parents have increased their focus on sustainability due to the impact of their Gen Alpha child, per the reportstudy.

“They are so well informed in the tools they use and the knowledge they gain from these tools,” said Traub, referring to the digital platforms used by Gen Alpha. “They understand corporate values more than you would ever expect 8- to 14-year-olds would.”

What this means for marketers: Marketers should recognize how Gen Alpha’s brand awareness and commitment to social responsibility make a case for values-driven marketing.

They sway purchasing decisions across every category

Gen Alpha influences typical categories like food and TV for children, but their perspectives are gaining leverage amid more thoughtful purchases.

• Gen Alpha parents say their child has changed their fashion (42%), travel (34%), and car and transportation (23%) purchases, per the report.
• Gen Alpha is making their parents more digitally savvy shoppers. 61% of parents report making more online purchases because of their Gen Alpha child.

“Kids have always had opinions, and it’s not surprising that they have thoughts on what food or toy to get, but they’re now influencing other decisions in a significant way,” said Traub.

Unlike past generations, where families watched TV together, Gen Alpha and their parents now share and discuss content through group chats, creating more collaborative family purchasing decisions, said Traub.

“There is a seamless fluidity of finances between Gen Alpha and their parents,” said Traub. “If you’re a travel company, you need to consider that the influence a 10-year-old is having on their family vacation choices is significant.”

What this means for marketers: Gen Alpha now shapes household decisions beyond everyday purchases, so messaging must resonate with both kids and parents across categories and price points.