The $1 Trillion Power Shift: How Gen Z Just Took Control of Fashion
Brands spent decades telling consumers what to wear. That era ended.
Gen Z and Gen Alpha now dictate the rules—and 40% of fashion spending over the next decade belongs to them, according to the WWD x BCG Future of Fashion Report analyzing 9,000+ consumers and 50,000+ social posts.
The New Economics
Under-28s spend 7% more on apparel and 10% less on dining than older shoppers. Translation: fashion isn't discretionary for them—it's identity infrastructure.
They're not looking for brands. They're looking for ammunition to become influencers among their peers. They want to impress without premium pricing. The value equation flipped.
Why Traditional Loyalty Is Dead
Previous generations married brands. Gen Z and Alpha swipe right on products.
They curate identities by mixing heritage names with emerging labels. Resonance comes from delivering the right product at the right cultural moment—not from your 100-year legacy story.
As Tapestry CEO Joanne Crevoiserat puts it: "Loyalty is earned through emotional connections" that align with what younger consumers value.
Golden Goose CEO Silvio Campara gets it: "We tailor collections to local tastes and celebrate storytelling through personalization and scarcity. Each piece is meant to feel unique, emotionally valuable and reflective of the individual wearing it."
The Four Behaviors That Matter
Modern consumer journeys run on: streaming, scrolling, searching, shopping.
The linear funnel is obsolete. Influence happens simultaneously across overlapping touchpoints. Brand content alone is too static. Gen Z and Alpha are inherently social—they need creators and users sparking real-time engagement.
The Social Media Acceleration Problem
Trend cycles move at warp speed. Brands built for seasonal calendars can't keep pace with viral moments that peak and die within days.
The solution isn't trying to predict trends—it's embedding young talent inside your organization to sense what's about to explode, then moving with battlefield speed.
AI Changes Everything
Ralph Lauren's Global CMO Iris Langlois-Meurinne nails the shift: "AI is blurring the lines between inspiration and commerce. We're focused on showing up where audiences spend time—LLMs, TikTok, WeChat, YouTube, gaming."
Your agentic search strategy needs four pillars:
- Optimize for how users ask questions
- Enable AI-friendly content architecture
- Manage brand presence across third-party stores
- Show up where influence happens
What Winning Looks Like
Kallmeyer founder Daniella Kallmeyer frames it perfectly: "I consider myself a problem solver more than a fashion designer. Luxury is about making things that make people feel like they can be the deepest, richest version of themselves—comfortably."
The winners will:
- Invite co-creation, not just consumption
- Recruit young talent with real-time cultural pulse
- Move at internet speed on product and collaboration
- Master AI distribution before competitors figure it out
- Solve problems instead of pushing heritage
The Bottom Line
Gen Z and Alpha aren't the future of fashion. They're the present—and they're rewriting every rule while you read this.
Adapt or become irrelevant. There's no middle ground.
FAQ
Q: How much will Gen Z and Gen Alpha control fashion spending?
A: 40% of all fashion spending over the next decade, per the WWD x BCG report.
Q: What's different about how younger consumers shop?
A: They prioritize products that feel distinctive and relevant in the moment, mixing brands rather than staying loyal to one house.
Q: Why is social media killing traditional fashion cycles?
A: Trends go viral and die within days, making seasonal calendars obsolete. Real-time response is now mandatory.
Q: How should brands use AI for Gen Z?
A: Show up where they spend time (LLMs, TikTok, gaming), optimize for how they ask questions, and enable AI-friendly content architecture.
Q: What do younger consumers want from fashion brands?
A: Authenticity, self-expression, co-creation opportunities, and products that help them influence peers—without premium pricing.