Though Gen Zers may be a prime target for marketers, data shows the younger generation is poised to take a cost-conscious approach to holiday shopping this year.

• Gen Zers, as they face life transitions and early careers in a turbulent economy, expect to cut their holiday spending by 23%, more than any other generation, according to a September report from PwC.
• It's a marked reversal from the previous year, when Gen Z’s holiday budgets leapt 37% YoY, per PwC.

As advertisers set their strategies for the Black Friday through Cyber Monday (BFCM) stretch, here's what they need to know about Gen Z's holiday shopping expectations.

Gen Z has big plans for BFCM

With Gen Z aiming to cut costs, they plan to show up in full force for the BFCM weekend, when deals could help consumers stretch their budgets.

Gen Zers, more than any other generation, plan to participate in holiday shopping with 92% looking to take part, according to an August 2025 survey from McKinsey.

• And 17% of Gen Zers plan to start their shopping during the Black Friday weekend, again more than other generations, per McKinsey.

Looming tariff threats are at least part of the reason for Gen Z's holiday spending retreat. Some 24% of US holiday shoppers ages 18-29 will buy gifts earlier to avoid possible tariff-related price increases this year, according to July 2025 data from CivicScience.

What messaging speaks to Gen Z

Marketers have a great deal to gain from understanding how Gen Z shops according to their beliefs and identities.

• A full three-fourths of Gen Zers would spend more on a holiday gift from a brand that aligns with their values, according to Salsify's 2025 Holiday Pulse Report, more than millennials (66%), Gen Xers (53%), and baby boomers (50%).
• And over a third (34%) of Gen Zers say sustainability or health and wellness are top factors when considering holiday gifts, compared with 27% overall, according to PwC.

Reviews are a key way to reach Gen Z, with 45% of them considering reviews important when deciding what to buy for holiday gifts, more than any other generation, according to Klayvio's 2025 BFCM Forecast.

• Gen Z also cares more about variety (27%) than other generations, per Klayvio.

Additionally, text message marketing channels could be a key way to Gen Z shoppers.

• This younger generation is 25% more likely to prefer SMS marketing and 33% more likely to prefer mobile notifications for new product reveals than the general population, according to Klayvio's report.

Loyalty programs might not be the best way to connect with Gen Z audiences during the holiday season. While 22% of baby boomers and 21% of Gen Xers consider loyalty programs important when considering what gifts to buy, only 10% of Gen Zers feel the same, per Klayvio.

How Gen Z plans to shop

Where and how Gen Z will approach their shopping will evolve this year as new tools and channels create value for audiences.

Gen Zers, and younger generations in general, are ready to lean into AI for product discovery, price comparisons, and research. Over half (56%) of Gen Zers think AI tools would be valuable for holiday shopping, according to Salsify's 2025 Holiday Pulse Report.

• Millennial shoppers (13%) are most likely to use AI chatbots to discover gift ideas, followed by Gen Zers (11%), Gen Xers (8%), and baby boomers (2%), according to Salsify.

Meanwhile, social media will play a outsized role as both a purchase point and discovery vehicle for Gen Z.

• Some 35% of US Gen Zers said they're likely to buy holiday gifts directly through social media, almost double the average of all generations (18%), according to a June 2025 report from Basis Technologies.
• Over 4 in 10 (43%) of Gen Zers use social media to discover gift ideas, according to PwC.

TikTok in particular drives discovery. Around 70% of Gen Zers typically discover products on the social platform and nearly half find it the most useful social media channel for research, according to Basis Technologies.