Gen X have the highest purchasing power among all generations: One of the key facts about this powerful yet quiet generation that shouldn’t be ignored.
Ipsos has just published its 3rd edition of its Generations Report. I’m covering key learnings from this year’s edition in a series of articles.
Today let’s review Gen X:
- Aged between 46 and 59 years old, they are sometimes called the “Sandwich generation” as they still cater for both their children and their parents.
- Which is PRECISELY why we should pay more attention to them: They are often central to the lives of 2 other generations beyond themselves.
KEY FACTS ABOUT GEN X (in Western countries):
- There are 88 million Gen Xers in the European Union (source UN) vs 81 million Gen Zers.
- Gen X tend to be well-educated, particularly if they grew up in one of the G20 countries.
- They are the 1st generation in the US where more than 50% have a college education – with women outpacing men in their levels of education for the first time.
- They are the 1st generation in the US where more than 50% have a college education – with women outpacing men in their levels of education for the first time.
- They wield considerable power in the boardroom.
- The average age of a Fortune 500 CEO is a 59-year-old Gen Xer
- Although, out of these 500 CEOs, only 52 were women in 2024.
- Their economic & political power should continue to increase in coming years
- With retirement age and longevity increasing, executives now often work into their 60s and 70s (or longer)
- They will soon replace Boomers in the corridors of political power: only 3 of the G20 countries are now led by a Gen X.
THEIR CONSUMER POWER:
- In 2023, 35% of Gen X individuals in the US had a household income of $150,000 or more, placing them ahead of other generations.
- At age 50, the median income of college-educated US Gen Xers is above both Boomers’ and Silents’ at the same ages.
- Overall Gen X’s share of American wealth rose from 15% in 2013 to 26% in 2023
- In the US:
- 58% are looking after children, with 70% of US households aged 50-54 still having at least one of their children at home
- 28% have responsibilities for older people
meaning that they are also making purchase decisions on their behalf.
- The average age of a new car buyer in Europe is 53.
THEIR ATTITUDE TO TECHNOLOGY:
- They are not technophobes: They witnessed the rise of the Internet first-hand
- They listen to the radio, but tend not to pay for newspapers as they have massively shifted to reading online.
- They are only half-afraid of artificial intelligence: 27% feel very nervous about AI, vs. 21% of Millennials and 32% of Boomers.
- But gender impacts their attitude to AI: our Ipsos Global Trends study reveals that women tend to be much more anxious about the impact of AI than men.
KEY TAKEAWAYS:
- Gen X are a generation that matters: they have considerable economic and financial power, they impact directly the lives and purchase decisions of 2 generations beyond themselves, and they are here to last.
- But to address them well, you need to know them well, and try to distinguish the cohort effect from the generational or lifestage effects; where do they live also hugely matters, to avoid simplistic global concepts that work only on powerpoint slides