A recent report by Piper Sandler reveals that US teens continue to display a strong affinity for Nike, while also embracing 90s fashion trends and clean skincare. The report, which surveyed 7,000 teens, showed that despite the challenges posed by the pandemic, teens increased their spending slightly and had an average discretionary spend of $2,165 per person. Sports brands, particularly Nike, dominate the preferences of Gen Z, making it the top apparel and footwear brand, closely followed by Lululemon and Under Armour.
Not only does the report shed light on the purchasing patterns of teens, but it also highlights their concerns about social and political issues. Racial equality, the environment, and the Black Lives Matter movement took the top three spots on their priority list. Additionally, the report revealed that Snapchat remains the favorite social media platform among teens, with 31% of them using it regularly, closely followed by TikTok at 30%. Meanwhile, Instagram experienced a decline in its popularity and dropped to third position.
Interestingly, while teens expressed their intention to dine-in at restaurants and travel on planes in the next six months, their enthusiasm for visiting retail stores was lower compared to previous years. Around 33% of teens are currently employed in part-time jobs, indicating a level of financial independence. With an average age of 16.1 years, the surveyed teens hailed from 47 US states. Piper Sandler emphasized that Gen Z contributes approximately $830 billion to US retail sales annually, making them a significant consumer group.
In terms of fashion trends, the report highlights a resurgence of 1990s fashion, with items such as flannel shirts, baggy pants, mom jeans, and eclectic hair trends gaining popularity. When it comes to online shopping, Amazon remains the preferred destination for teens, with a mindshare score of 56%. However, secondhand shopping through peer-to-peer apps is also popular, with teens allocating around 8% of their shopping budget to these platforms.
Nike continues to dominate both the footwear and clothing categories, capturing 56% and 27% of the market share respectively. Vans follows closely behind with 12% of the footwear market share. In the handbag category, Louis Vuitton emerged as the top choice with 18% of the market, while Michael Kors and Kate Spade secured the second and third positions.
Skincare spending among female teens now surpasses their expenditure on makeup. TikTok influencers have played a significant role in shaping skincare brand preferences, with 86% of females using online influencers as a source of discovery for beauty brands and trends. Ulta and Sephora are the preferred beauty destinations for teens, with CeraVe ranking as the top skincare brand, followed by Cetaphil and Neutrogena.
The report also revealed that 80% of female teens are willing to spend more on “clean” or natural beauty products, indicating a growing demand for sustainable and environmentally friendly options. In conclusion, Piper Sandler’s report provides valuable insights into the spending habits and preferences of US teens, underscoring their impact on the retail industry.
Useful links:
– Piper Sandler
– Nike
