The Gen Z dollar - Who’s gettin’ after it? 

By 2030 Generation Influencer will be a dominant force in the economy. Most will be spinning the hamster wheel of working life and accelerating in their careers, which will see their earning power begin to outstrip Millennials. 💸 After recently overtaking Gen Y, it is the largest generation making up 25% of everyone on Earth. Generation Z (Zoomers) are defined as people born between 1997 - 2012 and make up 19% of investors on Hatch. The first to grow up completely immersed in the digital age, never worn out the keys of a Nokia 2280 on $10 txt, up to a third still live at home, and they reportedly have much lower mental well-being than other generations.

Yikes, but not big yikes. Despite living in an era defined by global and economic instability, inaccessible housing, and high inflation, they’re very proactively navigating finances. They have ambitious salary expectations, start investing at an average age of 19, and have a more positive economic outlook than other age groups. 

Gen Z is Generation Rent, 🏠 so it’s unsurprising that their consumption is more about access than ownership. In a DCDX study of Gen Z’s Top 25 Most Magnetic Brands 2024, streaming and subscription services brands made up four of the top ten; Disney (DIS), Twitch - owned by Amazon (AMZN) Netflix (NFLX), and Spotify (SPOT) - a departure from the CD wallets and vinyl collections that defined older generations.

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The curated culture of the kidults 🧸

Gen Z is more likely to spend on experiences; get delulu over a Labubu 👜, pay for a round of zero alc drinks, or book a super kawaii ski trip to Japan. Collaborations between discretionary consumer and luxury brands seem to be hitting that sweet spot in Gen Z’s ultra-curated feed. Octogenarian Mattel’s (MAT) recent A-List collabs coupled with Q1 results beating expectations have seen the stock rise 21.24% in the past 30 days. Minecraft - owned by Microsoft (MSFT), Disney’s Toy Story, and WWE - owned by TKO Group HOldings (TKO) join the long list of brands the toy tycoon has collaborated with. 

Crocs (CROX) is another collab Queen, with consistently high volumes of Google searches for specific cross-brand versions of the foamy footwear. If Gen Z sticks to comfort fashion and doesn't try bringing business casual back to da clerb, could the cyclical mover Crocs be poised for a recovery?

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What's eating Gen Z? 🍎

Over a third of Gen Z worry about money daily. That jumps to 71% when you include those who worry weekly, making them the generation with the worst self-reported financial well-being according to the FSC’s Financial Resilience Index 2025. Couple this with them reporting more mental health issues than previous generations - which companies are responding to the health challenges facing Gen Z? 

Social media has had a role to play in how they got there, but also how they can get out - it is Gen Z’s go-to for everything from restaurant reviews to health advice. They’re also almost four times as likely as Boomers to use Health and Wellness apps, and that’s being reflected in data coming out of the telehealth space. 

Telehealth company Hims & Hers (HIMS) has been on a run, up over 117% YTD, and over 30% since its Q1 earnings report showing strong revenue growth and momentum. In a recent survey, HIMS reported that ‘78% of surveyed Gen Z men say they are a customer of at least one telehealth company, as compared to… 54% of respondents overall.’

Mental health platform BetterHelp, owned by TelaDoc (TDOC), is the largest online mental health platform in the world. Revenue has declined since the glory days of the pandemic, when lockdowns had in-person consults moving online, but could the recent acquisition of UpLift turn fortunes around? Convenience and accessibility see increasing numbers of Gen Z turning to social media for health advice. If healthcare companies can meet them here and personalise their services, they could be in for a chunk of Gen Z’s projected US$165 billion in annual healthcare spend in 2030.

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Will KiwiSaver changes influence the way Gen Z invests? 🥝

The New Zealand Government released the 2025 budget last week including changes to KiwiSaver. With 81% of us enrolled in the scheme - and the 18-25-year age group making up the largest age cohort at 14% - what impact could these changes have? 

There are a range of takes on KiwiSaver changes with some great discussion;

• Is there a better way to save for retirement? Frances Cook
• Planning for more KiwiSaver Changes ahead - Shamubeel Eaqub
• Small cuts, big consequences - Aaron Gilbert

One pro for Gen Z is that KiwiSaver government and employer contributions will now include working 16-17-year-olds - an incentive that hopefully gets them interested in saving and investing from a younger age. However, with smaller incentives to invest in KiwiSaver, will we see the Gen Z audience continue to drive attention and dollars toward retail investing apps?

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