Marketers are witnessing the emergence of a new audience with growing spending power, with children now receiving significantly more pocket money than in previous years, and making good use of that additional cash online, according to research from GWI.
The survey of more than 20,000 Gen Alphas globally found that pocket money allowances have increased by at least 10% across nine of the 18 markets tracked. Simultaneously, the share of 12-15-year-olds buying products online each week has grown by 40% over the last four years – from 15% in 2021 to 21% in 2025.
While 12-15-year-olds primarily spend their cash on snacks and fast food (63%), and clothes and accessories (41%), 19% of 8-to-11-year-olds are using their pocket money on virtual in-game items like skins and power-ups – not far off the 23% who buy real-world clothing.
Despite a rise in the purchasing of virtual goods, creatives tools – such as stationery and art supplies – are a top three spending priority for both younger (36%) and older (39%) Gen Alpha kids, with toys and collectibles also continuing to remain popular amongst children.
The report also revealed that among 13-15-year-olds on TikTok, the number making an online purchase each week is up 18% year-on-year since 2023. And the time that kids are spending on social media is helping to inspire the things they are increasingly becoming interested in.
Creative pursuits like beauty, makeup, and fashion are gradually creeping up the ranks as top interests for Gen Alpha. In the US, for instance, 44% of teenage girls have watched a makeup video in the last week alone.
However, boys are also increasingly exploring the same creative avenues. In the UK, the share of teen boys interested in beauty or makeup has grown from 4% to 9% since 2022.
“With pocket money rising and older Gen Alphas approaching 16, brands must rethink how they engage this generation’s evolving views on self-expression, gender, and creativity—both online and off,” said Matt Smith, Data Journalist at GWI.
“But marketers need to tread a careful line. Brands have a responsibility to engage Gen Alpha in a way that supports their creativity, confidence, and individuality, not just their purchasing power. They need to strike the right balance between inspiring creativity and avoiding exploitative marketing tactics.
“Ultimately, Gen Alpha is growing up in a world where brand messages reach them earlier and more frequently than ever before, and parents are not ignorant to this. In fact, a third of parents (31%) are concerned that social media pressures their children into buying products they don’t need — a figure which rises to 35% for UK parents specifically,” Smith continued.
“The brands that succeed will meet Gen Alpha where they are (on the platforms, games, and creator spaces they love) earning loyalty through authentic, responsible and ethical engagement.
“Ethical marketing isn’t just a nice-to-have; it’s essential if brands want to build authentic, lasting relationships with this next generation of consumers.”
