Piper Sandler Completes 46th Semi-Annual Generation Z Survey of 9,193 U.S. Teens

Piper Sandler Companies, a renowned investment bank, recently concluded its 46th semi-annual Taking Stock With Teens® survey in collaboration with DECA. With over 22 years of experience in researching teen preferences and spending, Piper Sandler equity research has amassed an impressive database of more than 60 million data points.

The fall 2023 survey, conducted from September 4 to September 27, revealed some intriguing insights. Edward Yruma, senior research analyst at Piper Sandler, noted that the survey indicated initial signs of a slowdown in teen spending. Interestingly, inflation emerged as a prominent concern among teens, ranking closely behind the environment in terms of mindshare for political and social issues.

When it comes to spending, males took the lead, with NIKE, Inc., lululemon athletica inc., and American Eagle Outfitters Inc. ranking among the top clothing brands for teens. On the other hand, female spending experienced an overall decline, particularly in apparel and shoes. However, this was offset by a surge in accessories spending.

The beauty industry also had its fair share of noteworthy findings. The core beauty wallet, encompassing cosmetics, skincare, and fragrance, amounted to $324 per year. Cosmetics took the lead with a year-on-year growth of 33%. Sephora, with a loyalty membership of 67%, surpassed Ulta Beauty, Inc. to become the preferred beauty shopping destination among teens.

Unsurprisingly, the iPhone continued to dominate the teen market, with a staggering 87% of teens owning one. Additionally, 88% of teens expected their next mobile device to be an iPhone. In terms of social media, TikTok experienced an 80 basis point improvement compared to the spring 2023 survey, emerging as the favorite platform among teens. Snap Inc. secured the second spot, while Instagram ranked third.

The Taking Stock With Teens® survey, conducted semi-annually, gathers input from 9,193 teens with an average age of 15.7 years. The survey assesses discretionary spending patterns, fashion trends, technology preferences, and brand and media preferences by surveying a diverse subset of high schools across the United States. Since its inception in 2001, Piper Sandler has surveyed over 248,283 teens, collecting an impressive 60.7 million data points on teen spending.

Piper Sandler Companies, driven by its mission to help clients Realize the Power of Partnership®, is a leading investment bank. It offers securities brokerage and investment banking services in the U.S. through Piper Sandler & Co., member SIPC and NYSE; in the U.K. through Piper Sandler Ltd., authorized and regulated by the U.K. Financial Conduct Authority; and in Hong Kong through Piper Sandler Hong Kong Limited, authorized and regulated by the Securities and Futures Commission. The company also provides alternative asset management and fixed income advisory services through separately registered advisory affiliates.

The results of the fall 2023 Taking Stock With Teens® survey provide valuable insights into the evolving preferences and spending habits of today’s youth. As companies like NIKE, lululemon athletica, American Eagle Outfitters, and Sephora continue to resonate with teens, they can leverage these findings to further enhance their offerings and connect with their target audience.