Gen Z To Drive $1.3 Trillion Spending In India By 2030: Report

By 2030, Gen Z will comprise 27 per cent of India's population and will command USD 1.3 trillion in consumption, reshaping consumer markets with a focus on experiences, sustainability and digital convenience, according to a report by Redseer Strategy Consultants.

The report, titled "Gen Z: Defining Trends, Influencing Spends," analyses how this demographic, born between 1997 and 2012, is prioritising value-driven choices.

"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.

Gen Z's emphasis on aesthetics is evident in their engagement with the beauty and personal care (BPC) sector. By 2030, this group is projected to account for nearly USD 19 billion share of India's BPC market.

One in two Gen Z women allocates more than 20 per cent of their disposable income to BPC products. The average number of products used by this demographic has doubled, with separate routines for skin, hair, and body care.

Their product choices prioritise solutions over specific ingredients, leading to reduced brand loyalty as they experiment with products tailored that better suit their needs.

Beauty trends among Gen Z have become genderless, with increasing numbers of young men adopting makeup and personal care regimes. Interest in men's skincare has surged, as searches for "men's skincare routine" rose 850 per cent over the past five years.

Men's cosmetology and makeup is an emerging space, as more Gen Z men enhance their appearance through acne concealment, fillers, hair removal, and brow work.

Furthermore, Gen Z will drive half of the fashion (apparel, footwear and accessories) industry by 2030. Fast fashion items priced below Rs 1,000 remain the preferred choice. Although Gen Z has become the biggest user group on major fashion e-commerce sites in India, their average spend per purchase is roughly half that of the older cohort (millennials).

Fitness is another item on Gen Z's priority list, with one-third of the cohort spending at least 20 per cent of their income on fitness and sports.

Athleisure sales have doubled year-on-year. Affordable sportswear on online marketplaces supports this trend, with six out of ten top-selling sports footwear brands priced between Rs 500 and 1,000.

Healthy eating trends fuel demand for alternative proteins, with 40 per cent of regularly exercising Gen Z preferring these sources. Protein supplement listings on quick commerce platforms grew 230 per cent between 2024 and 2025, reflecting strong demand in balanced nutrition.

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

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