How is the digital native generation spending their money?

GenZ is a unique generation. While it shares some spending habits with its predecessors, the Millennials, it has its own distinct identity. For instance, GenZ-ers spend most of their money on technology, lifestyle, and eating out. GenZ likes variety in options and price diversity when purchasing, according to research from NRF and IBM. A significant departure from previous generations is the frequent buying of luxury items. GenZ is less obsessed with brands and more with quality, which leads them to buy/invest in products that are more suitable for their use than for their notional value. So, they may be buying something valuable, but they probably won’t be buying the most expensive item on the shelf. The Millennials, on the other hand, are still more brand-conscious. The following screen grabs from Dentsu’s research on Indian Millennials and GenZ (conducted in May 2021) show a preference for brands and the frequency of purchases of both generations.

Brands GenZ and Millennials spend on

The spending habits of Millennials and GenZ vary. While Millennials, who are entering their late 30s/early 40s, spend more on utility and day-to-day requirements (apps like Zomato and Amazon have more Millennial users than GenZ), GenZ spends more on lifestyle products, streaming services, and electronics. Brands like Netflix, Nykaa, Myntra, and Ajio have seen a surge in their GenZ customer base, which has led them to invest in their social media marketing and attract more customers from this generation. In addition, it has been observed that Millennials stick to the same established brands. However, GenZ has shown more flexibility in that regard. This has led brands like WOW Skincare to enter the mainstream just because of their popularity with GenZ.


Electronics and lifestyle brands like boAt, JBL, and Harman Kardon also attract GenZ customers. Indian GenZ’s aesthetic preferences are a blend of Indian sensibilities and Western influence (the latter more than the former). This explains why they spend a lot of money on clothing brands like Zara, Louie Phillipe, and H&M. Zoomers are also big sneakerheads, which explains their preference for brands like Adidas and Skechers. Most Zoomers are also students, so they spend much time on e-Learning platforms. Coursera, Udemy, and Unacademy have the highest GenZ consumer base. The music streaming platform and industry giant Spotify also boasts a vast GenZ base.


GenZ is also very health-conscious and has started tapping into that market segment with brands like MaxProtein. Apple and Samsung are the preferred smartphone brands.

Galgal and managing your finances

With Galgal, you can make the most of your money. Our services emotionally connect you with your money and help you figure out how to work within a budget. The Spending Feature on the Galgal app helps you spend without guilt. It splits the money the moment you get it and tells you how much money you have left. It also assigns a tag (which can be customized) to each of your expenditures/transactions, making it easier to track them. Galgal also asks you about your feelings each time you spend, as this helps in saving the excess amount left over after your transactions are completed.

GenZ is the first digitally native generation and our services help you achieve your goals in a simpler, easy-to-use, and accessible way. We want you to make the most of your money, and we do that by understanding you, your habits, and your sensibilities. Join our waitlist and start your journey to a financially healthy future!

Download Now