The Tween Takeover: How Gen Alpha Is Shaping Household Spending

Generation Alpha is entering its tweens with their allowance money ready to be spent on more than just ice cream and candy.

Razorfish and GWI conducted a joint study this past fall of 2,300 Gen Alpha (2010-2024) kids aged 9-13, and the results may come as a surprise.

Now, even though Gen Alphas are a good few years away from full-time jobs and salaries, their purchasing power and sway in their homes are undeniable. According to the study, “61% of parents say their kids have a big influence on what their family eats, while 77% are interested in being an active participant in grocery shopping. And their impact goes beyond food––61% of parents say their kids have final say on which car they purchase.”

Let us take a moment to chuckle by viewing the results of this study with a humorous lens.

Remember all those times when you were a kid and it felt like your parents made the same thing over and over for dinner? And you were told “you’re gonna eat it and you’re gonna like it”? Bet you feel like you were “born in the wrong generation” now!

Second of all - imagine being a kid and having purchasing power and the final say over your parents' car purchase? “Listen to me Dad - look - if you get the Porsche, I’ll be the coolest kid in the schoolyard!”

Now, perhaps young parents’ wallets aren’t thrilled, but one can assume brands are very satisfied with these trends.

Also, according to the study, 68% of kids said they owned a “luxury product” by the age of 10.

Luxury to you as a kid might have meant a new Walkman, a TV in your room, getting the new PlayStation, or a trendy flip phone - but in today’s day and age, interests are changing.

Being the first generation to be born during social media’s reign, it’s no surprise that online trends have highly influenced today’s kids' interests and purchases. With previous studies showing an uptick in Gen Alpha’s fixation with appearance and skin-care, this study showed “Nearly half (45%) of Gen Alpha tween boys are interested in skin care, 69% want to prevent wrinkles and 25% have a skin care routine that consists of three to five products. Seventy-five percent of Gen Alpha tweens overall are interested in social media beauty content and 38% make their own beauty content, according to the report.”

One can assume a large factor in this result is a brand’s social media presence and its partnerships, and for brands, these results are great news. It means they are reaching an audience they would previously not have been able to reach in past generations, due to social media usage at a young age, i.e., it’s working. For further success in the future, expect brands to further consider Generation Alpha in marketing and specific product lines. The numbers never lie.