Gen Z is tightening its purse strings while Boomers are being more sustainable, cost-of-living crisis study shows

A recent study by advertising and marketing experts M&C Saatchi has revealed that young consumers are dramatically cutting their spending on non-essential goods and services, and turning to non-sustainable products in financial desperation.

The study polled around 1,500 consumers across various generations and found a notable rise in consumers’ financial anxiety and a sudden sense of prudence compared to similar studies in 2022 and 2023.

It seems that certain factors have finally added up, leading to financial concern, these including the 13 bank interest rate hikes over the past two years, the increase in inflation, and particularly the insane price gouging that has been going on in supermarkets for basic groceries alone.

While women say they are feeling the pinch more sharply than men, one of the more surprising findings of the study is the shift in young people planning to cut their spending on sustainable products.

It appears Gen Z are cutting back on sustainable products they once insisted others turn to, while the Boomer generation are only just starting to pick up on those products and appear to be keen to spend on those even in the current climate.

Nearly two-thirds (around 65%) of consumers aged 18-24 said they plan to buy less sustainable products compared with 48% of Boomers (aged 60-69) and 55% of Gen Xers (aged 40 to 59).

There certainly seems to be a dissonance between intention and action. While Zoomers might want to do the right thing, if they are down to their last dollars, they’ll choose to sacrifice their own values.

Women (62%) are more likely to buy unsustainable products than men (53%)

Experts suggest, then, that brands need to focus not only on issues of sustainability but on how to give good value in their products, otherwise it might be the Boomers and Gen Xers who next stop considering ethical issues along with financial ones.

Antonino Tati