American Express released a Small Merchant Spend Sights report, which analyzes consumer-spending trends across a range of small merchants, including retail, restaurants, lodging and charity. The Small Merchant Spend Sights report uses actual, aggregated spend data to help identify year-over-year trends, which for Q2 2013 showed the spending power of Gen Y.
The Gen Y demographic has demonstrated significant spending power across multiple small merchant categories over the past several years. As the demographic matures, their spending habits have followed suit. Compared to the same time period last year, Gen Y increased spending across more “sophisticated” small merchant categories in Q2 2013.
Gen Y spending in fine dining has increased 25 percent, while other generations’ spending decreased. The casual dining spending of Gen Y has increased 19 percent.
The recent increase in spending highlight the Gen Y penchant for the finer things in life, and shows a shift in spending priorities.