American Express is doubling down on its commitment to younger consumers, with plans to continue targeting Generation Z and millennials as a cornerstone of its marketing strategy in 2025. 

This approach, in place since at least last year, underscores the New York-based card company’s vision to nurture lifetime relationships with a demographic that promises long-term potential.

Why Focus on Younger Generations?

The rationale behind this strategy is clear: while Gen Z and millennials may not currently spend or borrow as much as older generations like Gen X or baby boomers, they represent a significant opportunity for growth. 

Amex CEO noted that they don’t spend as much right now as a Gen Xer or a baby boomer, and they don’t borrow as much, but they still believe that they will have 20 more years of relationship with them.

Generation Z, defined as individuals born between 1997 and 2012, and millennials, born between 1981 and 1996, are seen as key drivers for the future of the brand. The company is playing a patient game, investing now to reap rewards in the decades to come.

A Marketing Strategy Built for Longevity

Amex has aligned its marketing investments accordingly. 

While the overall marketing budget for 2025 is projected at $6 billion – down slightly from last year’s $6.8 billion – the company is optimising this spend by focusing more on the younger demographic. This calculated shift is already showing results.

In the third quarter of 2024, spending on Amex cards by Gen Z and millennials surged 12% compared to the same period in 2023. In contrast, spending by Gen X grew by 4%, while baby boomer spending remained flat. 

These numbers suggest that Amex’s tailored marketing efforts are resonating with younger audiences, validating the long-term strategy.

The Long-Term Vision

American Express’s focus on younger consumers highlights its adaptability in a rapidly evolving financial landscape. By fostering connections with Gen Z and millennials, the company is positioning itself as a trusted brand for years to come. 

The strategic investment into these demographics may require patience, but the potential rewards – a loyal customer base that spans decades – are worth the wait.

Conclusion

As Amex continues to refine its marketing efforts in 2025, the company remains steadfast in its belief that the future lies in building relationships with the next generation of consumers. 

By playing the long game, Amex is not only securing its place in the wallets of today’s youth but also setting the foundation for enduring growth in the years ahead.