Gen Z and Gen X drive Thailand’s 7.6 trillion baht purchasing power

Media Intelligence Group (MI Group) has highlighted in its MI LEARN LAB study that the sustainable growth of Thai brands today depends on understanding two generations with significant economic influence: Gen Z and Gen Horizon/Gen X.

Thailand’s population of 64.9 million is largely driven by these two key consumer groups. Gen Z, aged 13-28, is defined as the “Early Force” and “Trend Setter,” shaping new consumption patterns with an economic value exceeding 2.6 trillion baht. Meanwhile, Gen Horizon/Gen X, aged 45-60, is described as the “Future Force” and “Main Spender,” holding actual purchasing power valued at over 5 trillion baht.

Nattaphan Prairachwan, Strategic Planning Manager at MI Group, explained that Gen Z is poised to become the main consumer force over the next five to seven years. Marketers must understand this generation through a three-tier framework: Outer, Inner, and Individual Core.

1. Outer shell: Life stage behaviour

Gen Z’s purchasing decisions depend on their “moments of life” rather than age alone. Students rely 54% on recommendations from those close to them and 23% follow current trends, motivated by love, friendship, and social acceptance. University students compare prices before buying (78%) and research independently (61%), beginning to earn income but spending mindfully within trends. Early-career professionals prioritise brands offering quality and value, focusing on stability and loyalty to trusted brands.

2. Inner shell: Consumption as self-expression

Gen Z spends primarily on beauty and personal care, fashion, and entertainment. Purchases reflect self-identity and life values, driven not by price but by emotional significance.

3. Individual core: The four cares of Gen Z

Gen Z prioritises self-care, valuing mental health and personal image genuinely. Their four core concerns include Mind Wellness (33%) focusing on present happiness, Self-Discovery (28%) emphasising exploration and hands-on learning, Boundary (26%) protecting personal space, and Image (21%) maintaining outward appearance.

Gen Horizon, meanwhile, are the “Sandwich Decision-Makers,” often cautious and uncertain about wealth, influencing market behaviour in their own distinct way.

Pasathorn Sukamphorn, New Business Development Director at MI Group, revealed that Gen Horizon (aged 45-59) is a generation caught between existing responsibilities and new beginnings. They possess higher income and assets than other groups but present challenges that marketers must address.

• Sandwich Decision-Makers: This middle-aged group is responsible for both their parents and children, acting as the primary purchasers for multiple family members, with 54% managing care for parents, children, and their own households simultaneously.
• Wealthy but financially insecure: Despite being at their peak earning years, over 62% feel unprepared for retirement, and 68% still rely mainly on cash, reflecting a lack of confidence in financial products and investment options.
• Lack of preventive health behaviours: Most are concerned about chronic diseases and medical expenses, yet only 35% undergo annual health check-ups, presenting an opportunity for healthcare and pharmaceutical businesses to promote preventive practices.
• Home as the centre of the future: 42% acknowledge their homes are not yet suitable as “senior-friendly residences,” opening opportunities for smart home solutions and eldercare services within communities.

MI Group concluded that marketing in today’s era cannot target only one demographic; strategies must effectively connect and leverage the purchasing power of both Gen Z and Gen Horizon for maximum impact.