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Even as Elon Musk calls philanthropy ‘very hard,’ everyday Americans gave a record $617 billion—despite feeling the squeeze over the cost of living

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Travel & LeisureGen Z

Gen Z has a different attitude about dining from baby boomers and millennials—and it shows in smaller tickets at chain restaurants

Sydney Lake
By
Sydney Lake
Sydney Lake
Associate Editor
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Sydney Lake
By
Sydney Lake
Sydney Lake
Associate Editor
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October 6, 2025, 9:57 AM ET
Young people taking food pictures with mobile smartphone to share on social media
Relying on social media to find new restaurants isn’t the only trend driving Gen Z dining.Getty Images—Alessandro Biascioli
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  • Gen Z consumers are changing the way Americans dine out. They share entrées or order appetizers or kid’s meals to cut down on costs. The younger generation is also particular about where they like to go out to eat, and opt for places they’ve seen on social media.

When Mia Jones goes out to eat with her friends, she wants something that’s just right: not overly popular, but also has a cool aesthetic. 

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“If the restaurant is too viral, I don’t want to go, but if there’s no buzz around it I won’t go,” Jones, a 26-year-old growth strategist with brand consultancy Redscout, told Fortune. “I lean into reviews and need other foodies to sign off on a place before I’ll spend my dollars.”

Jones is like many younger-generation diners who want a better bang for their buck when they go out to eat. More than 77% of Gen Zers find restaurants through social media and 72% trust reviews on those platforms, according to a survey by Eater and Vox Media released in late March.

“I won’t eat at a restaurant if it’s not on TikTok because I don’t trust a boomer’s taste buds,” Jones said. “I know that my fellow Gen Zers have their FBI hat on when reviewing a restaurant.”

Relying on social media to find new restaurants isn’t the only trend driving Gen Z dining. Many customers opt to share plates or order appetizers and kids’ meals to offset the cost of dining out during a period of inflation and tariffs. 

“We will split appetizers and entrees so everyone can try something,” Jones said. “It’s an occasion, so we want to try everything.”

As of late 2024, Americans spent $166 per month on dining out on average, according to the Auguste Escoffier School of Culinary Arts. Meanwhile, 16 popular chain restaurants increased their prices by an average of 42% between 2020 and 2025, according to a Finance Buzz study.

But for restaurants, that’s meant smaller tickets from younger diners. 

“It’s a trend the industry is watching closely,” Barry McGowan, CEO of Brazilian steakhouse chain Fogo de Chão, told Fortune. Gen Zers are more “considerate when it comes to value. Alcohol consumption is also evolving. This generation is more likely to opt for zero-proof cocktails or low-ABV beverages.” Fogo de Chão has more than 70 locations globally and was acquired by Bain Capital Private Equity in August 2023 for $1.1 billion.

More Gen Zers are also choosing to go sober—not only as a way to save money, but to prevent falling into alcoholism and live a healthier lifestyle.

“Gen Z is socializing less in person, and social norms may be changing,” Brooke Arterberry, a researcher at the University of Michigan’s Institute for Social Research who has studied young peoples’ relationships to alcohol, previously told Fortune’s Alicia Adamczyk. “Parenting changes might also be a factor, as is the increased pressure young people feel to succeed, the amount of accessible information on the dangers of drinking, and even economic instability.”

A 2024 National Restaurant Association report also showed more than 75% of customers want smaller portions for less money. But some fast-casual and fast-food chains have stepped up to the challenge, like Subway introducing a snack-focused menu and Panera Bread leaning into its popular “You Pick Two” deal for a cup of soup and half a sandwich or salad, which typically costs less than $10.

Group of diverse friends laughing and sharing breakfast at a cafe
Gen Zers opt for smaller portion sizes.
Getty Images—ATHVisions

“Several chains have noticed that with younger diners cutting back on alcohol, average ticket sizes have dipped slightly,” Joe Hannon, general manager of inventory and sales at restaurant management software company Restaurant365, told Fortune. “Some restaurants are also embracing the trend of adults ordering from kid’s menus as a cost-effective, portion-controlled option, which helps them attract and retain younger customers.”

One social-media influencer, Ashley Garrett, has even made it her mission to review kids’ meals at as many restaurants as she can to help other adults find tasty—and price-conscious—meals. The 33-year-old says she eats kids’ meals five times a week and thinks restaurant portions are too big and expensive.

“Give me chicken tenders or a basic pasta dish, and I’m happy,” Garrett told The Wall Street Journal.

How other generations dine out

It’s not totally a generational trend to care about menu prices during this inflationary period where consumer confidence is plummeting. 

Indeed, 86% of consumers said they’ve changed their dining behaviors in some way to navigate inflation, with about one-third choosing less expensive menu items and 29% planning their dining around budget constraints, according to the Eater/Vox Media survey. More than 60% of baby boomers said finding a fair or reasonable price was one of their top factors in selecting a new restaurant to try. A McKinsey & Co. report published in February also shows fewer consumers plan to splurge on restaurants and groceries. 

Still, Hannon said he’s actually noticed an increase in spending in one category for baby boomers.

“Baby boomers, interestingly, have actually increased their alcohol spending, often treating dining out as more of an indulgent experience,” he said. 

While Gen Zers typically find new restaurants through social media, millennials still rely on Google and Yelp for reviews.

“Millennials rely heavily on online platforms, but they usually look at reviews and ratings rather than just aesthetics,” Hannon added. 

A version of this story originally published on Fortune.com on April 19, 2025.

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Sydney Lake
By Sydney LakeAssociate Editor
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Sydney Lake is an associate editor at Fortune, where she writes and edits news for the publication's global news desk.

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