Key Summary
- NIQ’s latest report in its generational spending series reveals Gen X as the most influential yet overlooked consumer cohort by brands for the next decade.
- Gen X’s buying power stands at $15.2 trillion (£11.22tn) in 2025 and is projected to reach $23 trillion by 2035.
- This cohort has been the highest-spending generation in the world since 2021 (their spending is outpacing Gen Z by 40 per cent in 2025 alone). How long this spending dominance will continue varies significantly by region and even country.
- Gen Xers function as “caretaker consumers” because they’re simultaneously caring for aging parents and supporting dependent children. Given these competing obligations, Gen Xers prioritise convenience, demand value, and reward brands that help them manage it all.
NielsenIQ, 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.
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 US 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 maximise 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 per cent of Gen X respondents allow smart devices to automatically order new products, 39 per cent accept product recommendations from an AI assistant, and 40 per cent leverage AI to automate and speed up daily tasks.
- 58 per cent 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 per cent of global consumer spend, influencing 70–80 per cent 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 centres.
- Western Europe: Gen X dominates in the UK and Germany, with strong spending in Health & Beauty, Frozen Food, and Travel.
- Asia Pacific: Gen X spending is peaking in China, while Millennials and Gen Z lead in India.
- Latin America: Brazil will become a Gen X-led economy by 2028, while Mexico is already Millennial- and Gen Z-driven.