Gen Z to Control $1.3 Trillion in Consumption by 2030, Redseer Report Says

India’s consumer landscape is expected to undergo a dramatic transformation over the next decade as Generation Z emerges as one of the most influential spending groups. A new report by Redseer Strategy Consultants indicates that this demographic cohort will play a decisive role in shaping consumption trends across multiple sectors.

According to the report titled “Gen Z: Defining Trends, Influencing Spends,” India’s Gen Z population—those born between 1997 and 2012—will make up 27 per cent of the country’s population by 2030 and will control USD 1.3 trillion in consumption spending. The study highlights that this generation’s purchasing decisions are heavily influenced by personal expression, digital convenience, sustainability, and experiential lifestyles.

Rising Economic Influence of Gen Z

A Generation Driving Future Consumption

The report suggests that Gen Z’s growing economic influence will reshape India’s consumer markets as the cohort enters the workforce and increases its purchasing power.

"Gen Z will occupy a greater share of the population, and command USD 1.3 trillion in consumption by 2030. This generation shuns labels, valuing inclusivity, self-expression and authenticity. Through this phase of self-discovery, they prioritise aesthetics and new experiences -- all of which reflect in their behaviour as consumers," the report noted.

Unlike earlier generations, Gen Z consumers often prioritize experiences, digital-first interactions, and value-driven brands, creating new opportunities for companies in sectors such as beauty, fashion, fitness, and nutrition.

Beauty and Personal Care Spending Set to Surge

Growing Focus on Aesthetics and Self-Care

The report highlights the beauty and personal care (BPC) industry as one of the sectors experiencing significant growth due to Gen Z’s lifestyle preferences.

By 2030, Gen Z is expected to account for nearly USD 19 billion of India’s beauty and personal care market.

Rising Product Usage

One notable trend is the growing adoption of elaborate personal care routines.

• One in two Gen Z women spends more than 20 per cent of disposable income on BPC products

• The average number of products used has doubled

• Separate routines for skin care, hair care, and body care are becoming common

Shift Toward Problem-Solving Products

Gen Z consumers are less focused on brand names and more interested in products that solve specific needs. As a result, brand loyalty is declining as consumers experiment with new offerings that better match their preferences.

Gender-Neutral Beauty Trends

Changing Attitudes Among Young Consumers

Beauty and grooming trends among Gen Z are increasingly gender-neutral, reflecting broader cultural shifts toward inclusivity and self-expression.

Interest in male grooming has surged dramatically.

Searches for “men’s skincare routine” have risen by 850 per cent over the past five years, indicating rapidly growing awareness among young men about skincare and appearance.

Expanding Male Grooming Market

The report also notes the emergence of men’s cosmetology and makeup, with many Gen Z men adopting personal grooming routines such as:

• Acne concealment

• Cosmetic fillers

• Hair removal treatments

• Brow grooming

This shift suggests that the male beauty segment could become one of the fastest-growing areas within the broader personal care market.

Gen Z to Dominate Fashion Spending

Half of Fashion Market by 2030

Gen Z is also expected to become the primary driver of India’s fashion industry.

The report estimates that by 2030, Gen Z will account for around half of the fashion market, including apparel, footwear, and accessories.

Preference for Affordable Fashion

Despite their strong presence on fashion e-commerce platforms, Gen Z shoppers tend to be more price-conscious than millennials.

• Fast fashion items priced below ₹1,000 remain the most popular choices

• Gen Z is currently the largest user group on major fashion e-commerce platforms in India

• However, their average spending per purchase is roughly half that of millennials

This behaviour reflects the generation’s emphasis on affordability combined with frequent purchases.

Fitness and Sports Spending on the Rise

Health and Wellness a Key Priority

Fitness and active lifestyles are also becoming major priorities for Gen Z consumers.

According to the report:

• One-third of Gen Z spends at least 20 per cent of their income on fitness and sports

Surge in Athleisure Market

Athleisure—clothing designed for both athletic and casual wear—has become one of the fastest-growing categories.

• Athleisure sales have doubled year-on-year

• Affordable sportswear available on online marketplaces is supporting this growth

In fact, six out of ten top-selling sports footwear brands are priced between ₹500 and ₹1,000, making fitness products more accessible for younger consumers.

Growing Demand for Healthy and Alternative Nutrition

Rise of Protein-Based Diets

Gen Z’s increasing focus on health and fitness is also influencing their dietary habits.

The report finds that 40 per cent of regularly exercising Gen Z consumers prefer alternative protein sources, reflecting a shift toward balanced nutrition.

Growth in Quick Commerce Nutrition Products

Demand for protein supplements has surged across quick commerce platforms.

• Protein supplement listings grew 230 per cent between 2024 and 2025

This trend highlights how digital commerce and health-conscious lifestyles are converging among younger consumers.

"By 2030, Gen Z will drive USD 40 billion in fitness and sports consumption,” Redseer stated.

Digital Platforms Driving Gen Z Consumption

Online Commerce and Social Influence

Gen Z consumers rely heavily on digital platforms, influencer content, and social commerce when making purchase decisions.

Key drivers of Gen Z purchasing behaviour include:

• Social media recommendations

• Short-form video platforms

• Online reviews and peer communities

• Fast delivery through quick commerce services

Brands that successfully combine digital engagement with personalised products are expected to capture a larger share of this rapidly expanding market.

Conclusion

The growing influence of Gen Z is set to redefine India’s consumer economy over the next decade. With the cohort expected to command USD 1.3 trillion in consumption by 2030, their spending patterns will reshape industries ranging from beauty and fashion to fitness and nutrition.

Driven by values such as authenticity, affordability, inclusivity, and digital convenience, Gen Z is already influencing product innovation and marketing strategies. Businesses that adapt to the preferences of this generation—by offering personalised, value-driven, and digitally accessible products—are likely to gain a competitive edge in India’s evolving consumer market.