U.S. Holiday Spending Slips, Especially Among Gen Zers, Survey Finds

U.S. holiday shoppers expect to pull back this season, according to CNBC. A PwC survey shows average planned spending of $1,552 on gifts, travel, and entertainment, down 5% from last year. The sharpest cut comes from Gen Z, whose members said they plan to spend 23% less, a major reversal from 2024 when they anticipated spending 37% more. PwC’s Ali Furman said Gen Z, raised amid rising costs, values price transparency and views cheaper “dupes” as smart shopping rather than downgrades. She added that the generation, averaging 22 years old, faces smaller salaries, debt and rising costs while prioritizing experiences like concerts and travel over material goods. PwC’s Ali Furman said Gen Z is value-driven, prioritizing experiences like concerts and travel while facing tighter budgets from lower salaries and rising costs. Baby boomers are the only group planning to spend more, with a 5% increase. Retailers now face a cautious consumer base amid tariff concerns and price sensitivity.