Holiday shopping in the United States is no longer driven by tradition alone—it’s now determined by generational behavior.
According to the National Retail Federation (NRF), US holiday sales have consistently been powered by younger consumers, with millennials now the largest living adult generation and Gen Z rapidly increasing its spending power as more enter the workforce.
Meanwhile, Deloitte’s 2025 Holiday Retail Survey shows that Gen Z and millennials together account for a large chunk of digital holiday purchases, with both groups starting their shopping earlier and expecting more personalized, values-aligned experiences.
Their expectations around ethics, convenience, price, and experience are reshaping the entire holiday landscape.
Understanding how these generations shop—and why—has become essential for retailers planning Christmas 2025 campaigns.
Keep reading to see exactly what Gen Z and Millennials really want this holiday season, and how brands can meet them where it matters most.
Why It’s Crucial to Understand Generational Holiday Behaviors
Holiday marketing that treats all shoppers the same is losing effectiveness fast.
Gen Z and Millennials don’t just spend differently, they also approach value, brands, and gifting differently.
Understanding these differences helps retailers design campaigns that resonate instead of getting ignored.
Generational Influence on Holiday Retail
Gen Z and millennials now dominate U.S. holiday spending across ecommerce and social platforms, especially for gifts under $100.
Their purchasing decisions are heavily shaped by digital experiences, peer influence, and brand transparency.
As a result, traditional discount-only strategies are being replaced by more intentional, story-driven campaigns.
How Gen Z and Millennials Differ in Holiday Priorities
While often grouped together, these generations approach holiday shopping with distinct motivations.
- Gen Z shopping preferences lean toward ethics, identity, and social influence
- Millennials prioritize practicality, family needs, and time savings
- Gen Z is more open to second-hand holiday shopping and resale platforms
- Millennials are more likely to seek bundles, cashback, and household value
The Rise of Digital-First Gifting and Social Commerce
Holiday gifting has shifted from malls to mobile screens, driven by platforms where discovery happens instantly.
- Social platforms now double as shopping channels due to social media shopping influence
- Short-form video fuels impulse buying and gift inspiration
- Live shopping, creator recommendations, and reviews shape trust
- Digital-first habits support early holiday shopping habits and faster decision-making
What Gen Z Wants This Holiday Season (2025 Edition)
Gen Z shoppers are not just younger millennials—they are values-driven, mobile-first, and highly selective.
Brands that fail to align with their worldview often get skipped entirely during Christmas campaigns.
Values-Driven Shopping: Sustainability, Social Good, and Brand Ethics
For Gen Z, holiday spending is an extension of identity, not just consumption.
- Strong interest in sustainable holiday gifts 2025
- Preference for eco-friendly gift trends over mass-produced items
- Growing demand for upcycled Christmas presents and resale goods
- Support for brands that demonstrate transparency, diversity, and impact
Short-Form Video & Influencer Recommendations
Gen Z discovers gifts through people, not product pages.
- TikTok and Instagram Reels drive gift inspiration
- Creator trust often outweighs brand advertising
- Influencers help validate purchases during decision fatigue
- Social proof accelerates checkout behavior
Gift Cards, Subscriptions, and Personalization
Flexibility matters more than surprise for many Gen Z shoppers.
- Gift cards can be used anytime and provide more choices
- Subscription services fit experience-based gifting preferences
- Personalized digital products feel more meaningful than generic items
- Digital delivery supports last-minute gifting
Mobile-First Shopping + Fast Checkout Expectations
Friction is a deal-breaker for Gen Z.
- Mobile checkout must be fast and intuitive
- Payment options like Apple Pay and buy-now-pay-later are expected
- Long forms or forced account creation cause drop-off
- Seamless UX supports intentional holiday spending
What Millennials Expect From Holiday Brands in 2025
Millennials are now balancing careers, families, and budgets, which shapes how they shop during the holidays.
Their decisions are driven less by novelty and more by efficiency and value.
Convenience Over Novelty: Click, Buy, Done
Millennials want reliable experiences that save time. They value clear product information, fast shipping, and predictable delivery timelines.
Brands that simplify the purchase journey outperform those chasing gimmicks. Convenience directly influences repeat holiday purchases.
Loyalty Programs and Cashback Rewards
Millennials respond strongly to long-term value. They are more likely to buy from brands that offer loyalty points, exclusive discounts, or cashback incentives.
These benefits support budget-conscious shoppers who plan purchases across the season. They also encourage buyer loyalty during high-spend periods.
Shopping for Kids, Partners, and Household Needs
Holiday shopping for Millennials often encompasses the multiple roles they play. They buy for children, partners, extended family, and the home itself.
This drives demand for practical holiday gifts like bundles, essentials, and multipurpose products. Brands that organize offers by use case perform better.
Online + In-Store Blended Experiences Still Matter
Millennials remain strong omnichannel shoppers. They research online but may buy in-store, or vice versa.
Buy-online-pickup-in-store and easy returns remain critical. A seamless omnichannel shopping experience builds confidence during peak holiday traffic.
Top 2025 Gift Trends for Gen Z and Millennials
As holiday shopping evolves, Gen Z and millennials are gravitating toward gifts that feel intentional, flexible, and aligned with their values.
In 2025, the strongest-performing products aren’t just nice to have—they reflect how younger consumers live, spend, and express identity.
These trends are shaping millennial gift ideas and influencing Gen Z shopping preferences across categories.
Here are the most relevant gift trends brands should prioritize:
1. Sustainable and Ethically Made Gifts
Demand for sustainable holiday gifts in 2025 keeps climbing, particularly among Gen Z shoppers who actively research brand values before purchasing.
Products with transparent sourcing, fair labour practices, and recyclable or minimal packaging are seen as higher-quality and more trustworthy.
For brands, clearly communicating sustainability credentials can be a deciding factor at checkout.
2. Second-Hand and Resale Finds
Second-hand holiday shopping is no longer niche—it’s a smart, intentional choice.
Curated resale items, refurbished electronics, and vintage pieces can help shoppers save more and reduce their carbon footprint.
This trend strongly appeals to budget-conscious shoppers who want value without sacrificing style or ethics.
3. Upcycled and Low-Waste Products
Upcycled Christmas presents resonate because they tell a story. Items made from reclaimed materials feel creative, limited-edition, and purpose-driven rather than cheap.
Brands that highlight the transformation process often see higher engagement and shareability.
4. Experience-Based Gifts
Experience-based gifting continues to outperform physical products for Gen Z, who prioritise memorable activities.
Concert tickets, workshops, and digital classes feel more personal and less disposable. These gifts also reduce shipping friction during peak holiday periods.
5. Smart Tech and Wearables
Practical tech remains a strong category for Millennials who favour utility over novelty.
Wearables, smart home add-ons, and portable devices fit seamlessly into everyday routines. These products align well with practical holiday gifts that justify a higher price point.
6. Fashion-Forward and Customizable Products
Personalisation drives emotional value in fashion. Limited runs, custom colours, and name or initial personalisation increase perceived exclusivity.
For both Gen Z and millennials, customisation turns a product into a statement rather than just a purchase.
7. Skincare, Wellness, and Self-Care Kits
Wellness gifting reflects intentional holiday spending, especially among Millennials juggling work, family, and self-care.
Bundled kits feel thoughtful and useful rather than indulgent. Brands that frame these products as “everyday support” also tend to see stronger conversion.
8. Creator Merchandise and Limited Drops
Creator-led merch thrives on authenticity and scarcity. Limited drops create urgency while tapping directly into social media shopping influence on platforms like TikTok and Instagram.
These products often sell out quickly because buyers feel like they’re part of a moment, not just a transaction.
9. Subscription Boxes and Digital Services
Subscriptions appeal to shoppers looking for long-term value. Whether it’s curated boxes, learning platforms, or productivity tools, the appeal of these gifts extend beyond December.
They align with value-driven holiday decisions that prioritise usefulness over one-time excitement.
10. Hybrid Gifts (Physical + Digital)
Combining physical products with digital access enhances engagement and retention.
QR-linked content, apps, or online communities create a layered experience that supports a seamless omnichannel shopping experience.
Hybrid gifts also give brands more touchpoints post-purchase.
How to Craft Holiday Campaigns That Resonate
Knowing what Gen Z and millennials buy is only half the equation.
Winning holiday campaigns translate those insights into execution—across messaging, timing, and channels.
The brands that perform best in 2025 are those that balance relevance with speed and scale.
Personalization at Scale: From Subject Line to CTA
Personalisation now goes far beyond first names.
Tailoring subject lines, product recommendations, and calls-to-action based on behavior and preferences supports value-driven holiday decisions.
For Gen Z and Millennials, relevance often determines whether they open your email at all.
Using User-Generated Content and Reviews
Authentic content outperforms overly polished ads during peak season.
Featuring real customer photos, reviews, and short-form videos builds trust and reduces friction for early holiday shopping habits.
This approach also reinforces social proof without increasing production costs.
Build Urgency With Limited-Time Drops or Dropshipping
Time-bound releases create momentum without relying on constant discounts.
Limited drops align well with creator culture and encourage fast action from impulse-driven Gen Z shoppers.
For millennials, urgency paired with value messaging drives conversion without eroding trust.
Retargeting Strategies Based on Browsing Behavior
Behavior-based retargeting allows brands to re-engage shoppers with relevant offers instead of generic reminders.
Showing recently viewed products, wishlist items, or complementary gifts supports practical holiday gifts and improves return on ad spend during the busiest weeks.
Marketing Channels That Actually Work for Gen Z and Millennials
Reaching younger shoppers in 2025 requires precision, not omnipresence. These generations expect brands to show up in the right places, with the right format, at the right time.
- TikTok and Instagram Reels. Primary discovery engines for Gen Z, especially for trend-driven and creator-led products. Short-form video fuels inspiration and impulse purchases.
- YouTube Shorts. Effective for product explainers, reviews, and “gift idea” content that blends entertainment with education.
- Email With Segmented Lists. Still a top-performing channel for millennials when personalised by behavior, lifecycle stage, or household needs.
- Holiday-Themed Influencer Collaborations. Influencers bridge trust gaps and accelerate decision-making, especially for sustainability and wellness products.
- Mobile Apps, SMS, and Push Notifications. High-impact channels for reminders, last-minute offers, and delivery updates—key for time-poor, mobile-first shoppers.
Together, these channels support a cohesive omnichannel shopping experience that meets Gen Z and millennials where they already spend their time.
Case Studies – Brands That Nailed Holiday Gen Z & Millennial Campaigns
Some of the strongest holiday campaigns in recent years succeeded not because of bigger discounts, but because they aligned with millennial and Gen Z shopping preferences and evolving value-driven holiday decisions.
These brands offer clear, real-world lessons retailers can apply in 2025.
Patagonia – Purpose-Led Holiday Gifting
Patagonia consistently wins Gen Z and millennial loyalty by centering sustainability over sales pressure.
During recent holiday seasons, the brand promoted repair, resale, and responsible consumption through its Worn Wear program—appealing directly to eco-friendly gift trends, second-hand holiday shopping, and intentional holiday spending.
Nike – Personalization and Digital-First Gifting
Nike’s holiday campaigns leverage personalization through Nike By You and app-based gifting experiences, which resonate strongly with millennials seeking practical holiday gifts and customization.
By combining mobile-first shopping with limited-edition drops, Nike also taps into early holiday shopping habits and maintains a seamless omnichannel shopping experience.
Sephora – Community, Content, and Experience-Based Gifting
Sephora’s holiday strategy blends creator content, digital tutorials, and in-store experiences to drive discovery across generations.
Their focus on beauty sets, self-care kits, and experiential rewards aligns with experience-based gifting and strong social media shopping influence, especially among Gen Z.
Power Your Holiday Campaigns With Remote Staff
Executing high-performing holiday campaigns takes more than ideas—it takes the right people, at the right time, with the right skills.
Remote Staff helps U.S. brands scale marketing execution during peak season without long-term overhead, supporting faster launches and more consistent results.
Holiday Talent On-Demand—Without the Full-Time Cost
Seasonal spikes require flexibility, not permanent hires.
Remote Staff provides trained marketing, ecommerce, and operations support so brands can execute Christmas campaigns efficiently while staying agile for Q1.
Recommended tools: Klaviyo, Shopify, Google Ads, Meta Ads Manager.
Support Your Team With Creative and Technical Experts
From designers creating upcycled Christmas present visuals to analysts tracking campaign performance, Remote Staff supplies specialists who understand modern holiday marketing execution.
This allows internal teams to focus on strategy while execution scales smoothly.
Recommended tools: Canva, Figma, GA4, Looker Studio.
Work in U.S. Timezones With Secure, Seamless Communication
Remote Staff professionals align with U.S. working hours to support real-time collaboration during critical campaign windows.
Clear communication supports faster approvals, quicker pivots, and fewer missed opportunities during year-end promos.
Recommended tools: Slack, Zoom, Asana, Notion.
Trusted by E-commerce Teams Scaling Fast
High-growth ecommerce brands rely on Remote Staff to manage listings, ads, content updates, and reporting during peak demand.
This support helps teams meet rising expectations from budget-conscious shoppers without sacrificing quality or speed.
Recommended tools: Shopify, BigCommerce, HubSpot, Gorgias.
FAQs
Understanding generational behavior helps brands plan smarter campaigns. These answers address the most common questions retailers ask when planning for Christmas 2025.
How does Gen Z differ from Millennials in holiday gift buying?
Gen Z prioritizes ethics, personalization, and resale options, while millennials focus more on value, convenience, and household needs. Both groups expect digital-first experiences but differ in terms of emotional drivers.
What platforms are most effective for marketing to Gen Z?
TikTok, Instagram Reels, and YouTube Shorts perform best due to strong social media shopping influence. Creator-led content often converts better than traditional ads.
Do Millennials still shop in-store during the holidays?
Yes, especially for last-minute purchases and returns. Millennials often combine online research with in-store pickup, reinforcing the importance of an omnichannel shopping experience.
What are the top-selling gift categories for Gen Z?
Fashion, beauty, tech accessories, creator merch, and sustainable holiday gifts for 2025 perform well. Experiences and digital products are also strong sellers.
How early do these generations start holiday shopping?
Many Gen Z and millennials begin as early as October. Early planners respond well to pre-holiday launches and exclusive previews tied to early holiday shopping habits.
Win Over Gen Z and Millennials This Holiday Season
Holiday success in 2025 won’t come from guessing—it will come from alignment.
Brands that understand generational motivations, invest in the right channels, and execute consistently will capture both attention and loyalty.
If you’re planning to scale your holiday campaigns without overwhelming your internal team, Remote Staff gives you the flexibility, expertise, and speed to compete where it counts most.
Start preparing now—and turn this holiday season into a long-term growth opportunity!
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Darren Aragon is a multifaceted writer with a background in Information Technology, beginning his career in research at Pen Qatar and transitioning through customer service to a significant role at Absolute Service, Inc. His journey into freelance writing in 2021 has seen him excel across various niches, showcasing his adaptability and deep understanding of audience engagement.
