How AI can handle 3 Gen Z retail trends that shaped the 2025 holiday season

Gen Z is rewriting the rules of holiday shopping. Deloitte projected that Gen Z’s 2025 holiday spending would drop 34% from the previous year, with an emphasis on budgeting and deal-hunting. And while the numbers are still coming in, the mandate for retail leaders is clear: adapt to Gen Z’s evolving preferences or miss out on a powerful consumer base.
There’s no doubt Gen Zers navigated this holiday shopping season with a sharp eye on value. But they were also far from tuned out. Despite a more conservative consumer approach, this generation is the age group most optimistic about their financial outlook heading into the New Year.