ICSC Study, “Gen X: The Overlooked Generation With Outsized Impact,” Reveals Gen X is the Forgotten Generation Retailers Can’t Afford to Ignore

NEW YORK--(BUSINESS WIRE)--Generation X may be among the smallest generational cohorts, but new research from ICSC shows they are one of retail’s most valuable and underestimated consumers. Born between 1965 and 1980, Gen X has the highest revenue per shopper (RPS), or average purchase, across nearly every category, drives 31% of in-store and online spending, yet represents only 19% of the U.S. population. Examining $5 trillion in-store and online retail spending across five years and 426 retailers, this comprehensive study shows why Gen X holds the outsized spending power that brands should be fighting for.

“Common monikers for Gen X like the ‘sandwich generation’ and the ‘forgotten generation’ speak to Gen X as the overlooked middle between Baby Boomers and Millennials who often get more attention,” said Tom McGee, President and CEO of ICSC. “But our new data tells a different story: They are the powerhouse driving today’s retail economy, spending more per shopper than all other generations. Gen X is pragmatic, loyal to brands they trust, and influential decision-makers for themselves, their children, and their parents. For retailers, there is no bigger near-term growth opportunity than winning the loyalty and the dollars of Gen X.”

ICSC’s findings show that Gen X exerts an outsized influence on retail and consumer spending. Their shopping behavior sets them apart from other generations and they have a penchant for brick-and-mortar experiences. Gen X outnumbers Baby Boomers, Millennials, and Gen Z in in-store revenue per shopper across nearly all key categories, including apparel and accessories, travel, and fitness. Their spending power is more pronounced in some unexpected categories; for instance, Gen X’s revenue per shopper for in-store secondhand apparel doubles that of Gen Z and exceeds Millennials — a striking example of their unmatched spending power and value for retailers.

Gen X’s significant spending power is poised to grow even more, as one in three have or expect to receive an inheritance. Thirty-five percent of this incoming wealth is projected to be channeled to retail purchases and experiences, totaling about $308 billion annually in spending, further amplifying their impact.

Gen X’s influence also extends beyond their own wallets. Three in four Gen Xers are caregivers, supporting both children and aging parents. As the “sandwich generation,” they sit at the center of household spending decisions across multiple generations – but the resulting stress also shapes their behavior. More than half of Gen X survey respondents are concerned about rising costs, retirement savings, and healthcare. Three quarters said caregiving has significantly affected their spending, and 53% have had to cut back on discretionary expenditures as a result.

Beyond those close to them, Gen X elevates the entire market around them. ICSC’s research found that a concentration of Gen X residents in a certain area provides retailers with a powerful and measurable location-based advantage. Revenue per shopper among all generations rises in U.S. ZIP codes with a larger percentage of Gen X residents, confirming that their presence lifts the entire market in an area. This is particularly evident in MSAs like Miami, Fort Lauderdale, and West Palm Beach in Florida and Houston, Pasadena, and The Woodlands in Texas that deliver overall higher revenue per shopper and stronger near-term ROI than other markets.

Retailers Take Note: Gen X Shoppers Want Brands that Make Their Lives Easier

The playbook for retailers is clear: Earn Gen X loyalty by delivering efficiency, convenience, and trust. Gen X has little tolerance for common, in-store pain points like long checkout lines and lack of inventory. On the other hand, while convenience may draw Gen X in the door, trust and experience keep them coming back. They are a highly loyal cohort and more than half report that their brand loyalty has strengthened over the past five years.

Though not digital natives, Gen Xers are tech-fluent and pragmatic, adopting digital tools that enhance convenience. Nearly 80% use self-checkout kiosks regularly, and more than two-thirds use mobile apps and social platforms like Facebook and TikTok to discover or purchase products.

“Gen Xers’ extraordinary spending power and unique life circumstances make them a vital part of today’s retail landscape and a decisive force in shaping its future,” McGee added. “The message for retailers focusing their marketing on Gen Z, Millennials, and Baby Boomers is clear: Recognize the immense value of the generation in the middle. The future of retail growth isn’t defined solely by the youngest or oldest shoppers — it hinges on recognizing and capitalizing on Gen X’s established and growing spending power.”

To view the full Gen X: The Overlooked Generation with Outsized Impact report, click here.

Methodology
From June 27, 2025, through July 1, 2025, ICSC and the analytics firm Alexander Babbage conducted a national survey of 1,086 adults. In addition to consumer research, ICSC and Alexander Babbage conducted a retail behavioral study encompassing $5 trillion in total retail spending, covering five total years of transactions (2020–2024), allowing for trend analysis and year-over-year comparisons. The analysis includes a total of $3.1 trillion in-store spending and a total of $1.9 trillion in online spending. It covers 426 total retailers across 11 major retail categories and 43 unique retail subcategories. Revenue per shopper (RPS) reflects the total dollars spent per transaction, calculated as the total observed sales divided by the total observed number of transactions. It is also referred to as average purchase or average basket.

About ICSC
ICSC is the preeminent membership organization serving the commercial real estate and retail industries. The organization promotes and elevates the marketplaces and spaces where people shop, dine, work, play and gather as foundational and vital ingredients of communities and economies. ICSC produces experiences that create connections and catalyze deals; aggressively advocates to shape public policy; develops high-impact marketing and public relations that influence opinion; provides an enduring platform for professional success; and creates forward-thinking content with actionable insights–all of which drive industry innovation and growth. For more information, please visit www.ICSC.com