A significant generational and gender divide is emerging in German consumer spending this holiday season, according to new research from FOM Hochschule. The survey, released this week, reveals a planned average expenditure of €502 per individual for Christmas gifts, but highlights stark disparities in spending habits influenced by economic realities and differing life stages.
The data underscores a potential vulnerability within the younger generation. Generation Z, aged 18 to 28, intends to allocate only €270 towards gifts, a substantial difference compared to Generation X (45 to 60), who plan to spend €598. This discrepancy raises concerns about the financial pressures facing young adults, particularly as inflation continues to impact household budgets. The survey’s scientific director, Oliver Gansser, explicitly linked this behavior to “a noticeably stronger focus on a limited budget” among younger consumers. This constrained spending pattern could have ripple effects on the retail sector, potentially impacting businesses reliant on robust holiday sales from this demographic.
Further widening the gap, men are projected to spend €590 on gifts, over €170 more than women, who plan to spend €416. While this aligns with broader trends in consumer behavior, it also prompts questions about differing priorities and financial responsibilities across genders.
The digital marketplace continues to dominate gift-buying, with 67% of respondents planning online purchases. This preference accentuates the shift away from traditional brick-and-mortar retail, a trend accelerated by the pandemic and potentially contributing to the challenges faced by smaller, independent shops. While traditional retail still accounts for 51% of purchases, the dominance of online platforms requires a critical evaluation of its impact on local economies and employment.
The favored gifts themselves offer a glimpse into evolving consumer desires. Books remain highly popular (64%), while experiences – travel, concert tickets and culinary delights – are in demand (ranging from 50% to 51%). A decline in the popularity of impersonal gifts like gift cards (27%) and cash (25%), alongside a significant drop in smartphone gifting (16%), suggests a shift towards more thoughtful and personalized present-giving, perhaps reflecting a desire for connection and experience in an increasingly digital world. The continued emphasis on gifting to partners, children and parents reinforces traditional family structures, but warrants consideration alongside broader demographic and societal changes.