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NielsenIQ (“NIQ”), in collaboration with World Data Lab (WDL), today issued a comprehensive generational spending report focused on Gen X. The X Factor: How Generation X is quietly driving trillions in consumer spending reveals that Gen X—those born between 1965 and 1980—is the most influential and overlooked consumer cohort of the next decade. An authority on generational spend, NIQ found that despite being smaller in size than Millennials or Gen Z, Gen X would form the world’s second-largest consumer market—second only to the U.S. and roughly twice the size of China’s total spending—in 2025.
“Gen X is at the center of a major economic shift—driving spending across categories while managing the demands of multiple generations,” said Marta Cyhan-Bowles, Chief Communications Officer & Head of Global Marketing COE at NIQ. “The data is clear—Gen X’s influence is profound and far too frequently overlooked by brands. This cohort will continue to shape the future of the global consumer economy for years to come.”
The X Factor, NIQ’s latest report on generational insights, builds on the groundbreaking Spend Z report on Gen Z’s spending power. While many brands have pivoted to courting Gen Z, they have been missing out on significant opportunities with Gen X consumers. In fact, Gen Xers (currently ages 45 to 60 years old) have been in their peak spending years since 2021—and will continue as the world’s highest-spending cohort until 2033. They will spend $15.2 trillion in 2025 alone and by 2035, their annual spend will peak at $23 trillion.
“Gen Xers are the gatekeepers of trillions in spending, effectively serving as the CFOs of three generations—their own, their children’s, and their parents’,” said Wolfgang Fengler, Co-founder & CEO of World Data Lab. “Brands and retailers that invest in them today will see measurable growth and long-term return on investment.”
Key highlights: · In the next five years (2025-2030), Gen X is projected to increase spending across three key categories:
- Food & Non-alcoholic Beverages (+$507 billion)
- Beauty (+$80B)
- Beverage Alcohol (+$42B)
· Gen X is comprised of tech-savvy decision-makers who influence purchases across generations and embrace omnichannel shopping.
· Gen X behaviors and needs are nuanced, highlighting the need for brands and retailers to examine regional and local data to maximize incrementality from this cohort.
Gen X shopping behaviors 1. Among large brands, they prefer “name brands” over private labels. · When buying well-known, large brands, nearly three-quarters (72%) of Gen X respondents say they usually buy “name brands” made by a big national or international manufacturer rather than store-branded private label products.
2. They’re tech-savvy. · 35% of Gen X respondents allow smart devices to automatically order new products, 39% accept product recommendations from an AI assistant, and 40% leverage AI to automate and speed up daily tasks.
· 58% of Gen X respondents say they avoid sharing details in virtual interactions because they don’t trust AI data privacy, but more than one-third say they are likely to purchase a product or service they have experienced solely through an augmented or virtual reality platform.
3. Often called “the sandwich generation,” Gen Xers influence purchasing by their parents and their dependent children. · Gen X women control 50% of global consumer spend, influencing 70-80% of household purchasing decisions.
4. Gen X shopping behaviors differ in high-income and emerging markets: ·
North America: Gen X is the core spending engine through 2033. In the US, Gen X households spend more per household than Boomers or Millennials in most CPG categories. Wealthier Gen Xers are concentrated in city centers.
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Western Europe: Gen X dominates in the UK and Germany, with strong spending in Health & Beauty, Frozen Food, and Travel.
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Asia Pacific: Gen X spending is peaking in China, while Millennials and Gen Z lead in India.
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Latin America: Brazil will become a Gen X-led economy by 2028, while Mexico is already Millennial- and Gen Z-driven.
About The X Factor The X Factor: How Generation X is quietly driving trillions in consumer spending provides a global analysis of Gen X consumer behavior and spending trends, based on proprietary NIQ and World Data Lab (WDL) data, including WDL’s consumer spending forecasts. This report will show why the next decade represents a once-in-a-lifetime opportunity for brands and retailers to capture Gen X loyalty and lifetime value. Download a free copy of the report.
About NIQ NielsenIQ (NIQ) is a leading consumer intelligence company, delivering the most complete understanding of consumer buying behavior and revealing new pathways to growth. NIQ combined with GfK in 2023, bringing together two industry leaders with unparalleled global reach. Our global reach spans over 90 countries covering approximately 85% of the world's population and more than $7.2 trillion in global consumer spend. With a holistic retail read and the most comprehensive consumer insights—delivered with advanced analytics through state-of-the-art platforms—NIQ delivers the Full View™.
For more information, please visit
www.niq.com.
About World Data Lab World Data Lab (WDL) creates forward looking proprietary data to quantify and forecast consumer trends, consumer spending, demographic shifts and progress towards the SDGs up to 2034. Our advanced data science approach, which has been peer-reviewed and published in Nature, delivers unrivalled accuracy, freshness, and consistency across all demographic groups in 180 countries and more than 6,000 cities.
For more information or questions, please visit
https://worlddatalab.com/ or contact insights@worlddatalab.com.
Forward-Looking Statement This press release may contain forward-looking statements regarding anticipated consumer behaviors, market trends, and industry developments. These statements reflect current expectations and projections based on available data, historical patterns, and various assumptions. Words such as “expects,” “anticipates,” “projects,” “believes,” “forecasts,” and similar expressions are intended to identify such forward-looking statements.
These statements are not guarantees of future outcomes and are subject to inherent uncertainties, including changes in consumer preferences, economic conditions, technological advancements, and competitive dynamics. Actual results may differ materially from those expressed or implied in these statements. While we strive to base our insights on reliable data and sound methodologies, we undertake no obligation to update any forward-looking statements to reflect future events or circumstances, except to the extent required by applicable law.
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