New Study Shows That Consumers, Especially Gen Z, Will Pay Extra for Speed, Efficiency & Sustainability
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New Study Shows That Consumers, Especially Gen Z, Will Pay Extra for Speed, Efficiency & Sustainability

Consumer demand for reside and out-of-home leisure stays excessive, however Era Z shoppers — born between 1996 and 2020 — are significantly motivated to pay additional for comfort, upgraded experiences and sustainable choices, in line with a new EY survey
 
Maybe not surprisingly, Gen Z is much less affected person than the common client. Almost two-thirds (66%) of Gen Z respondents plan to purchase a “quick cross” or precedence cross to theme parks within the subsequent 12 months in comparison with 59% of all shoppers, in line with the inaugural EY Media & Leisure (M&E) Pulse Ballot, which surveyed 4,000 shoppers throughout the U.S., U.Ok., Western Europe and the Asia-Pacific area. In response to Javi Borges, EY world media and leisure sector chief, firms that construct comfort into their experiences can reap the benefits of shoppers’ consolation with smartphone apps that supply digital ticketing and contactless cost and check-in. 
 
“Once you have a look at the Millennials and Gen Z, there’s an expectation of a sure degree of tech enablement and frictionless expertise,” he says. “And even older generations post-pandemic, that perhaps had by no means ordered Uber Eats till the pandemic, now they’re simply far more accepting of the apps and the frictionless expertise.” 
 
Talking of Uber Eats, shoppers’ need for sooner service can also be mirrored in a brand new McKinsey examine, which discovered that supply’s share of worldwide meals spending elevated from 9% in 2019 to 21% in 2024, whereas takeaway’s share was flat and in-person eating fell to 55% from 69%. Although respondents weren’t polled particularly about music, this similar pattern towards pace and comfort may be traced when it comes to modern-day music consumption habits, the place streaming accounts for 69% of worldwide music consumption in 2024 vs. 56% in 2019, in line with the IFPI. And on the reside entrance, live performance promoter Stay Nation says it now expects VIP choices to account for 30% to 35% of its amphitheater enterprise. General, McKinsey predicts that client tolerance for inconvenience will proceed to say no as their need for pace and repair will increase.
 
Regardless of information headlines that buyers are at a monetary breaking level, native leisure (i.e., leisure that doesn’t require journey) and reside leisure have been bought by 48% and 46% of respondents, respectively, in line with EY’s ballot. The ballot focuses on firms’ pursuit of shoppers’ “enjoyable cash,” which Borges calls the ten% to fifteen% of earnings folks put aside for leisure actions. This phase of discretionary spending goes towards every thing from music and video streaming providers to live shows and holidays.  
 
“Globally, however particularly within the U.S., we’ve extra choices battling for our enjoyable cash than ever earlier than,” says Borges. 
 
Spending on reside music, which provides an growing menu of VIP choices that present larger comfort than fundamental choices, is very robust. As Billboard famous in Could, a Financial institution of America examine discovered that U.S. shoppers spent a mean of $150 a month on leisure — equivalent to reside music and theme parks — from Could 2024 to April 2025. Over the identical interval, bank card holders spent double that quantity on reside occasion tickets, racking up a mean of $300 per 30 days. In the identical examine, a 3rd of respondents mentioned they plan to attend extra occasions this 12 months than final 12 months. 
 
Certainly, the pattern in client spending — particularly for the younger, and particularly for the reason that COVID-19 pandemic — is towards experiences over materials objects. That mentioned, individuals are prepared to pay additional to make their experiences extra nice or particular. EY discovered that about half (49%) of respondents who visited theme parks or went on a cruise paid additional for premium choices, whereas a few third did so for sporting occasions and on line casino/resorts.  
 
Youthful demographics are additionally prepared to spend a premium of 26% or extra on sustainable options in relation to shopping for leisure experiences. For instance, 12% of all shoppers will spend extra on carbon offsetting in comparison with 25% of Gen Z and 15% of Millennials. Willingness to spend additional primarily based on water conservation practices additionally splits the age teams: 11% of all shoppers globally, however 23% of Gen Z and 15% of Millennials.  
 
Stay music has made strides to fulfill Gen Z’s desire for sustainable consumerism. Festivals are turning to batteries, generally powered by biodiesel or photo voltaic panels, as an alternative of diesel-powered turbines. That needs to be music to Gen Z ears: EY discovered that 24% of Gen Z would pay extra for leisure choices that use renewable vitality sources (versus 11% of all shoppers) and 22% of Gen Z would pay a premium for decrease vitality consumption (versus 10% of all shoppers).  
 
Trying forward, People usually tend to spend cash at a on line casino within the subsequent 12 months than folks in different areas surveyed (66% versus 49% globally), whereas Asia-Pacific respondents have a larger desire for theme parks (74% versus 65% globally). About half (48%) of respondents anticipate to spend the identical sum of money on reside leisure within the subsequent 12 months because the previous 12 months. The proportion of people that anticipate to spend extra and spend much less is nearly equal at 21% and 20%, respectively.