I wrote my own analysis, but this AI analysis is better written than mine!
👥 Gen Z Demographics
- Age range today (2025): Roughly 13–28 years old, with the median around 21.
- Consumer power: Only the older half (say 22–28) are in the prime spending years for restaurants like Chipotle. The younger half are still in high school or college, often dependent on parents.
- Population size: Gen Z is large (~68 million in the U.S.), but their disposable income is still smaller compared to Millennials (now 29–44) and Gen X (45–60).
🌯 Chipotle & Gen Z
- Chipotle has publicly said Gen Z is cutting back on purchases, citing affordability concerns and shifting preferences.
- But Gen Z is not the majority of their customer base. Millennials and Gen X — with higher incomes and families — are more likely to drive sales volume.
- Blaming Gen Z alone oversimplifies the issue. Chipotle’s challenges also include:
- Menu pricing: Rapid price increases in recent years.
- Competition: Fast casual rivals (Qdoba, Cava, Sweetgreen) and delivery apps changing dining habits.
- Management decisions: Expansion strategy, digital ordering systems, and supply chain costs.
📉 Broader Consumer Trends
- Younger consumers (Gen Z): More price-sensitive, experimenting with cheaper alternatives, and influenced by social media food trends.
- Millennials & Gen X: Still the backbone of fast casual dining, but also cutting back due to inflation.
- Overall: Restaurant traffic declines often reflect economic pressures and shifting preferences, not just one generation’s behavior.
