US Holiday Spending Forecasted to Decline Most Sharply Since 2020, Driven by Gen Z Cutbacks
Tokyo, Japan – September 4, 2025 – The Japan External Trade Organization (JETRO) has released a significant analysis forecasting a notable downturn in consumer spending for the upcoming 2025 year-end holiday season in the United States. According to JETRO’s report, published on September 4, 2025, at 05:40 JST, this anticipated decline is projected to be the most substantial since 2020, with a particular impact observed in the spending habits of Generation Z.
The report, titled “米国の2025年末商戦の消費支出、2020年以降で最大の落ち込みの見通し、Z世代の支出削減が最も顕著” (US 2025 Year-End Sales Consumer Spending Forecasted to See Largest Decline Since 2020, Gen Z Spending Reductions Most Prominent), highlights a confluence of economic factors contributing to this projected consumer behavior shift. While specific details within the JETRO report are not provided in this summary, the overarching sentiment points towards a cautious consumer sentiment among Americans as they approach the crucial holiday shopping period.
A key driver identified in the analysis is the pronounced reduction in spending by Generation Z consumers. This demographic, typically characterized by its digital native status and influence on consumer trends, appears to be adopting a more conservative approach to discretionary spending. Several underlying reasons could be contributing to this trend, including but not limited to: ongoing inflation impacting purchasing power, a potential reassessment of financial priorities, concerns regarding the broader economic outlook, and perhaps a shift in values towards experiences over material goods.
The implications of this forecast are significant for businesses operating in both the US and those with a vested interest in the American consumer market, including Japanese companies. The year-end holiday season is a critical period for retail sales, and a substantial decline in overall consumer expenditure could lead to a more challenging sales environment.
Japanese businesses that export goods or have operations in the US will need to closely monitor these trends and potentially adapt their strategies. This might involve a re-evaluation of product offerings, pricing strategies, and marketing approaches to resonate with a more cost-conscious consumer base. Understanding the specific reasons behind Gen Z’s reduced spending may also provide valuable insights for targeted marketing efforts or product development.
JETRO’s role in providing such timely and insightful economic analyses is invaluable for businesses navigating international markets. This report serves as an important early warning signal, enabling stakeholders to prepare for potential shifts in consumer demand and to strategically position themselves for the evolving economic landscape of the United States. Further details and in-depth analysis from the JETRO report will undoubtedly be crucial for businesses seeking to understand and respond effectively to these projected changes in US consumer behavior.
米国の2025年末商戦の消費支出、2020年以降で最大の落ち込みの見通し、Z世代の支出削減が最も顕著
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日本貿易振興機構 published ‘米国の2025年末商戦の消費支出、2020年以降で最大の落ち込みの見通し、Z世代の支出削減が最も顕著’ at 2025-09-04 05:40. Please write a detailed article about this news in a polite tone with relevant information. Please reply in English with the article only.