Gen Z, Millennials to boost holiday spending this year: survey

Gen Z and Millennial Canadians are planning to spend dramatically more this upcoming holiday season while older generations aim to cut back, a new survey finds.

According to PwC Canada’s holiday outlook survey, Gen Z Canadians are expected to increase their holiday spending – on gifts, travel and entertainment – by 55 per cent to an average of $2,296.

Millennials will spend 51 per cent more these holidays, averaging $2,233.

In contrast, Gen X and Baby Boomers anticipate reducing their holiday expenditures by 11 per cent and nine per cent respectively, with average spending estimates of $1,766 and $1,412.

Retailers are encouraged to adapt their strategies to meet the preferences of Gen Z and Millennial shoppers, according to PwC Canada, with a focus on sustainability and digital payment options.

Overall, Canadians plan to spend an average of $1,853 on gifts, travel and entertainment during the holidays, marking a 13 per cent increase from last year.

Regional trends show consumers in the Prairies and British Columbia expect the highest spending, while Quebec anticipates the lowest at $1,474.