Goodbye austerity, hello 'niceties'! Generation Z and Millennials are spending more than before the pandemic

The 15- to 40-year-old population is ready to leave the austerity of the pandemic behind and that is reflected in their spending.
Goodbye austerity, hello 'niceties'! Generation Z and Millennials are spending more than before the pandemic
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Entrepreneur Staff
2 min read
This article was translated from our Spanish edition using AI technologies. Errors may exist due to this process.

A few weeks ago, a Pinterest study revealed that Centennials will make up for the year 'lost' to the pandemic by spending big. The trend seems to be confirmed according to data from American Express , which indicates that members of Generation Z and Millennials are opening their wallets more frequently than before the arrival of Covid-19 .

While those belonging to Generation X and the so-called 'Boomers' choose to save money for the future or invest it in long-term assets (houses or cars, for example), consumers aged 15 to 40 prefer to live in the present as they the economy is reactivated in much of the world.

As vaccination spreads in the United States, Gen-Z and Millennial youth have been reported to be spending even more than before the pandemic.

“We assumed that there would be a pent-up demand, not just for travel, but a pent-up demand for consumer goods, and that America's recovery would be as it is now,” said Steve Squeri, CEO of American Express Co. during a virtual conference call. for investors on Friday.

Squeri noted that the average expenses of both groups amount to "125% of what were their pre-Covid levels in 2019." He added that this has helped jump-start overall spending on AmEx cards, although this quarter still remains low compared to pre-pandemic levels.

The executive indicated that consumers are once again interested in trips (mostly national) and outings to restaurants . However, he noted, corporate travel will return to its pre-pandemic levels until 2023.

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