"Although Generation Alpha does not yet shop with their own money, they already have a significant influence on what and where households spend. For retail brands, this means one thing: those who can win over this generation now will reap the benefits of their loyalty for many years to come," says Blanka Sovová, Director of Retail at Colliers. This has also been confirmed by new data. According to a survey by Colliers' partner, MG2, up to nine out of ten children have a say in family purchases, and approximately 70% of parents admit that they take their kids’ preferences into account when making purchasing decisions. "Parents, get your wallets ready—Generation Alpha knows what it wants, it just needs your bank card," comments Blanka Sovová with a touch of exaggeration, adding that Generation Alpha is growing up in millennial households, where parents naturally involve their children in purchasing decisions while also sharing an emphasis on brand values, authenticity and the overall shopping experience. As a result, decisions about what the family buys—from clothing and cosmetics to technological accessories—are increasingly made together.

For retail brands, this intergenerational influence represents a significant strategic opportunity. Generation Alpha not only has a say in individual purchases, but also helps to create long-term relationships with brands. For example, if a child convinces their parents to buy a specific name brand of sneakers instead of more generic ones, it is not just a one-time sale—it is often the beginning of long-term customer loyalty.

Even more importantly, Generation Alpha's influence is not limited to the household itself. It also spreads across social circles—among classmates, friends or online communities—and gradually shapes broader consumer patterns. From a brand perspective, this is not just about the immediate impact on sales, but also about building a future customer base.

Generation Alpha as a new customer segment

For their current and future success, manufacturers and retailers should start to view Generation Alpha as a separate and increasingly influential customer/consumer segment. Children from this generation are growing up in an environment of constant exposure to brands on social media and digital platforms. They are therefore learning marketing language faster than any generation before them.

"Czech members of Generation Alpha follow the same global content creators on platforms such as YouTube, TikTok and gaming channels as their foreign peers. It is on these platforms that the initial impulse to buy often arises, which is then reflected in family purchasing decisions. Parents are increasingly buying products that their children have discovered online such as cosmetics, gaming accessories, clothing and technological devices. The influence of trends from TikTok and micro-influencers is extremely strong among this generation," explains Blanka Sovová.

A tangible experience in the store

Despite strong digitalisation, Generation Alpha still attaches great importance to physical retail. Nearly three-quarters of children from this generation prefer to see, try and physically examine products. For retailers, this means the need for clear store layout, intuitive signage and space for independent product discovery. Clear orientation in the store is essential to their having a positive shopping experience.

"The survey mentioned above showed that up to 75% of Generation Alpha prefers shopping in brick-and-mortar stores, even though they are a fully digitally savvy generation," notes Blanka Sovová, adding that retail is gradually shifting from a traditional sales space to a place of interaction and shared experience. In the eyes of Generation Alpha, physical retail is becoming more of an extension of the digital worlds in which they are growing up than a separate sales channel. The ability to combine online inspiration with the real shopping experience is thus a key task for brick-and-mortar stores today and, at the same time, a factor for success tomorrow.

Source: Visual Capitalist