What Gen Z Says You Should Skip

Additional Coverage:

11 Things You Should Never Buy, According to Gen Z (cheapism.com)

Gen Z’s Spending Revolution: 11 Items This Generation Is Deciding to Skip

The youngest generation of adults, Gen Z, is fundamentally reshaping consumer culture. Having grown up entirely immersed in technology, navigated online schooling during a global pandemic, and with constant access to breaking news, this demographic possesses distinct priorities and ideologies that are profoundly influencing their spending habits.

Already building a reputation for challenging traditional consumer norms, Gen Z is investing earlier and more broadly than their predecessors, placing a high value on sustainability and brand ethics. As they increasingly enter the workforce, their collective spending power is creating a clear shift in what they’re buying and, perhaps more tellingly, what they’re choosing to forego.

Here are 11 things that, according to shifts in Gen Z’s spending habits and values, you might find them passing on:

1. Real Estate

While some Gen Z individuals are indeed stepping onto the property ladder, research indicates a significant level of buyer’s remorse. A study by home insurance company Kin found that 42% of Gen Z homeowners regretted their purchase, a figure significantly higher than millennials or Gen X. Many in this generation are discovering that renting offers less stress and frees up capital to invest in other avenues, such as the stock market or cryptocurrency.

2. A Traditional Bachelor’s Degree

The conventional four-year university path is losing some of its luster for Gen Z. Studies show a growing number are opting for trade-based schooling, vocational programs, and other practical, hands-on higher education alternatives. Reports suggest that over 60% of Gen Z students are open to educational options beyond traditional college or university institutions, seeking more direct routes to career readiness.

3. Alcoholic Beverages

Gen Z appears to be turning down a drink more often than previous generations. Studies reveal they consume 20% less alcohol per capita than millennials, a trend observed across the U.S., Europe, Australia, and New Zealand. While economic factors may play a role, researchers also attribute this shift to a greater awareness of the health risks associated with regular alcohol consumption.

4. Full-Price Clothing

When it comes to apparel, Gen Z is a generation of savvy shoppers. According to Gen Z consultant Jason Dorsey, this group is largely unwilling to pay full price for anything.

This quest for savings means brand loyalty often takes a backseat. Furthermore, 80% of Gen Z consumers are more likely to shop for secondhand items before buying new, a trend driven by both thriftiness and a strong eco-consciousness.

5. Luxury and Designer Goods

While quality is still appreciated, the allure of luxury labels holds less sway over Gen Z. They tend to forgo the “keeping up with the Joneses” mentality, prioritizing financial security over flashy brand names. As one Gen Z respondent told Business Insider, “I like to save and would rather have money in the bank than be broke.”

6. Cable and Satellite TV

The era of traditional cable and satellite television is largely over for Gen Z. Research shows only about one-third of Americans aged 18-29 get their TV content this way, a sharp decline from 2015. This generation, much like millennials, overwhelmingly prefers streaming platforms and independent content creators found on platforms like YouTube.

7. Lavish Engagements and Weddings

Gen Z is opting for more intimate and meaningful celebrations rather than extravagant, over-the-top engagements and weddings. They prioritize experiences that truly reflect the couple’s values. As floral designer Melissa Sullivan observed, “Many would rather invest in an unforgettable honeymoon or post-wedding experience than allocate the majority of their budget to the wedding day.”

8. Formal Office Attire

The days of mandatory power suits for office work are fading. A report from GoBankingRates indicates Gen Z favors more casual work attire. Seth Geftic, VP of product marketing at Huntress Labs, notes that Gen Z leans towards comfortable, remote-friendly wear, adapting to a new work culture without sacrificing professionalism.

9. New Cars

Gen Z consumers are taking the advice about new car depreciation to heart. Financial expert Melanie Musson explains that while older generations might buy new, Gen Z tends to seek out used cars that have already undergone their most significant depreciation, making them a more financially sound investment.

10. Flat Sheets

When it comes to bedding, the flat sheet is falling out of favor with Gen Z. While they embrace “dopamine decor” in other areas, many find flat sheets unnecessary.

As Scary Mommy writer Katie Bingham-Smith recounted, her Gen Z children view them as “dumb and a waste of time,” often finding them wadded up on the floor. For many, a fitted sheet and a cozy blanket for cocooning are all that’s needed.

11. Cosmetics Tested on Animals

Ethical consumerism is paramount for Gen Z, especially concerning animal welfare. Many teens utilize apps like Yuka to scan product barcodes and assess health impacts, including whether cosmetics are tested on animals. Products found to be linked to animal testing are often rejected outright, with some Gen Z consumers even taking to platforms like TikTok to publicly discard such items and alert their peers.