Amex Rides Gen Z and Millennial Spending Boom to Strong Outlook Amid Market Uncertainty
New York, NY – July 2025
American Express (Amex) is defying concerns over a cooling economy, reporting sustained consumer spending strength—fueled largely by Gen Z and Millennials, whose appetite for travel, dining, and premium experiences is proving resilient even in an uncertain economic climate.
According to Amex’s latest earnings report, younger generations are driving a substantial share of growth, supporting the company’s optimistic forecast for the remainder of the year. This demographic shift, paired with strategic investments in technology and lifestyle-centric rewards, has cemented Amex’s reputation as a modern, experience-first financial partner.
Young Consumers, Big Impact
Amex leadership emphasized that Gen Z and Millennials now represent the fastest-growing segment of new cardholders. Their spending preferences, shaped by digital-native habits and values around personal experiences, have made them a powerful force in categories like:
- Travel and hospitality
- Dining and nightlife
- Entertainment and live events
- Luxury and experiential retail
“Today’s younger consumers aren’t just looking for a card—they’re looking for a brand that complements their lifestyle,” said CEO Stephen Squeri.
“They see American Express as a gateway to experiences, and that’s exactly what we’ve designed our ecosystem to deliver.”
This strategy includes personalized travel perks, exclusive event access, and customized digital tools, all designed to deepen engagement and build loyalty.
Technology + Experience = Loyalty
In tandem with its demographic focus, Amex is doubling down on technology investments. The company continues to expand digital features, mobile-first services, and AI-powered customer insights to meet the expectations of tech-savvy users.
Additionally, Amex has broadened its merchant acceptance footprint, making it easier for cardholders to use their benefits globally. These enhancements have helped retain and grow a customer base that demands convenience, personalization, and instant access—especially among younger users accustomed to mobile-first banking.
Spending Resilience Amid Inflation and Rate Hikes
Despite macroeconomic concerns—ranging from rising interest rates to lingering inflation—Amex remains confident in its outlook. Unlike some competitors, who have flagged slowing consumer activity, Amex sees continued strength in discretionary spending, particularly in the U.S. and select international markets.
Squeri noted that even as cost-consciousness grows, younger consumers are choosing to prioritize spending on meaningful experiences over goods. “We’re not seeing a pullback,” he said. “What we’re seeing is purposeful, values-driven spending—and our brand fits squarely within that mindset.”
Positioned for the Future: Income Growth Meets Lifestyle Loyalty
Looking ahead, Amex executives believe that the growth of Gen Z and Millennial income—along with their increasing financial literacy and desire for aspirational living—will anchor the company’s long-term strategy. With new partnerships, event exclusives, and tiered benefits on the horizon, Amex aims to deepen its foothold in this lucrative segment.
“This is not a trend—it’s a generational transformation,” said CMO Elizabeth Rutledge. “We’re building products and experiences for the future of finance.”
Conclusion: Youth-Driven, Experience-Centric, and Resilient
As legacy financial institutions grapple with evolving consumer expectations, American Express has leaned into lifestyle alignment, not just lending strength. By understanding and serving the evolving needs of Gen Z and Millennials, Amex has carved out a distinct advantage in a highly competitive space.
While the broader market watches for signs of consumer slowdown, Amex’s strategy suggests that when you meet customers where they live—digitally and emotionally—growth follows.
