Why retailers are overlooking Gen X despite their rising holiday spending power

Members of Generation X-people currently aged between 45 and 60 years old-are poised to splurge this coming holiday season. (Representative image)

When Kerry Johnson turned 50 this year, the first mailing she got was not an offer for travel discounts or seasonal promotions. It was for a medical alert device. The experience underlined a sentiment shared by many Gen X consumers: brands seem far more eager to target millennials and Gen Z, while overlooking a cohort that is both affluent and actively shopping, the New York Times reported.

Members of Generation X-people currently aged between 45 and 60 years old-are poised to splurge this coming holiday season. A recent consumer report revealed that almost three-quarters of the responding Gen Xers said they planned to overspend over the holidays, a higher percentage compared to the younger generation. Many have extensive financial obligations, including supporting aging parents, assisting adult children, and buying for extended family members. Overlapping roles make Generation X an economically influential group whose purchasing patterns range across generations.

The numbers reflect a disconnect in how brands prioritize generations

Meanwhile, retailers continue to focus their holiday strategies toward consumers in younger age groups. Corporate transcripts tracked this year show hundreds of mentions of Gen Z in earnings calls, while Gen X barely registers. Marketing budgets reflect the same disparity. Only a small share of brand influencer spending is directed toward Gen X, even though the generation is highly active on social media and makes up a measurable portion of platforms like TikTok.

Industry analysts say part of the problem is demographic. Gen X is smaller than both millennials and Gen Z, making it less of an obvious target for brands relying on mass-reach campaigns. The generation is also more varied in life stage, with some members raising teenagers, others living as empty nesters, and many navigating caregiving for elderly parents. That variation can make one-size-fits-all marketing campaigns more difficult, but it also means Gen X engages in a wide spectrum of spending.

Overspending and loyalty make it a very valuable consumer base

Researchers argue that this is a strategic mistake. Over the coming decade, it's estimated that Gen X will inherit trillions of dollars in family wealth, reinforcing a financial foundation already substantial. It is also a generation known for brand loyalty. Retail experts note that when an advertisement taps into nostalgia, the Gen X shopper responds strongly to combine emotional resonance with a willingness to purchase higher-value items.

Many Gen X families also prefer experience-related gifting, from shows and events to travel and activities taken together. This often involves higher spending, tending to increase the level of economic impact due to their contribution during this period.

The emotional component of shopping shapes the behaviours of Generation X

For shoppers like Julie Murphy, the appeal of experiential gifts has grown over time. Rather than buying physical presents, she leans toward vacations, theatre tickets or contributions toward family travel. Her spending usually tops a thousand dollars a year for these gifts, and rising prices have not diminished her commitment to shared experiences.

Others, like Beth Peters, still uphold the holiday traditions involving in-store shopping. For many Gen X shoppers, going to stores, being surrounded by decorated mall corridors, and spending time with loved ones carries much of the meaning of the season. This group still sees value in brick-and-mortar retail, providing an opportunity for brands capable of bridging offline and online experiences.

A generation that's waiting for brands to speak directly to them

That disconnect in spending power and marketing attention does leave a lot of Gen X consumers feeling like they're being overlooked. Some describe inboxes full of promotions clearly targeted at demographics younger than themselves, with the rare ad targeting them feeling mismatched or inappropriate in age. The result is a sense that retailers do not understand or value Gen X as a unique, influential market.

Shoppers like Kerry Johnson say they want the brands to recognize that Gen X remains culturally engaged, financially active, and responsive to thoughtful marketing. As retailers fight for share in an increasingly competitive season, strong spending patterns of the generation suggest that ignoring them may mean missing substantial revenue.