Average Subscription Spending of Generation Z: The Differences Between Japan and Overseas!

Table of Contents

1. Subscription Market and Generation Z: Why Do Young People Prefer Fixed Rates?

2. Comparison ① By Amount: Japan, US, UK

3. Comparison ② Differences in Number of Services and Genres

4. Five Environmental Factors Influencing Expenditure

5. The Reality of Japanese Gen Z: Breakdown of 1,803 Yen and Factors for Increase

6. The Reality Overseas: UK’s “50,000 Yen Spending” and US “Bundled Purchase” Model

7. Case Study: Techniques for Managing the Gap Between Ideal and Reality

8. A Must-See for Marketers! Five Genres Expected to Grow

9. Summary and Future Implications

10. List of Reference Articles

1. Subscription Market and Generation Z: Why Do Young People Prefer Fixed Rates?

As smartphone natives, Generation Z values "access" over "ownership." The fixed-rate model, where contracts and cancellations can be completed with a single button and cost estimation is easy, allows them to "purchase experiences in small increments" even with limited disposable income.

Additionally, as their income sources are diversified, including part-time jobs and allowances, subscriptions with fixed monthly payment timings make household management easier.

2. Comparison ① By Amount: Japan, US, UK

※1 Exchange rates as of the closing price on July 2, 2025: 1 dollar = ¥160, 1 pound = ¥165.

Japan's expenditure is significantly lower than that of Western countries, but the growth rate is between 12-15% annually, indicating a large potential for expansion.

3. Comparison ② Differences in Number of Services and Genres

• Number of Contracts

  • Japan: 3-5 (estimated)

  • US: 6.8 (Senal News survey)senalnews.com

  • UK: Around 7 (Visa survey)
    
    
    

• Popular Genres

  • Japan: Video streaming, music, game charges, gacha, learning

  • US: In addition to video and music, meal kits, fitness, books, cloud storage

  • UK: Beauty boxes, AI skincare, plant and dairy subscriptions, etc. "niche-focused"

4. Five Environmental Factors Influencing Expenditure

1. Disposable Income: Japanese youth income is about 20% below the OECD average.

2. Household Burden Structure: In the US, student loans, and in the UK, rising rents lead to "reduced outdoor spending → increased in-home services."

3. Payment Infrastructure: Differences in credit card penetration and post-payment culture affect contract barriers.

4. Cultural Preferences: Japan prefers "luxury focus," while the West prefers "distributed trials."

5. Exchange Rates and Prices: A weak yen exacerbates the sense of high cost for services linked to overseas prices.

5. The Reality of Japanese Gen Z: Breakdown of 1,803 Yen and Factors for Increase

According to Sumitomo Mitsui Card (survey of 1,000 people), the top three payment destinations are video (38%), music (22%), and games (15%). The average of 1,803 yen indicates "primarily individual contracts," but shows an 11% increase compared to 2024smbc-cf.com. The factors for increase are the following three.

• Price Increases Due to Yen Depreciation: Netflix, among others, raised prices twice within the year.

• Monthly Game Charges: Gacha subscription passes are on the rise.

• "Bundled" Discounts by Telecom Carriers: Various subscriptions are included in student discount plans, effectively increasing the number of contracts.

6. The Reality Overseas: UK’s “50,000 Yen Spending” and US “Bundled Purchase” Model

According to a Visa survey, 28% of the UK Gen Z’s monthly £305 is spent on beauty and health, 24% on food-related items, and 21% on video and musicvisa.co.uk. A notable feature is the high proportion of "QOL-related subscriptions." Ethical consumption and self-investment overlap, with AI skincare and regular milk deliveries from local farms.

In the US, the "bundled culture" is prevalent. About 30% of cases involve contracting multiple subscriptions through telecom carriers, with an average annual expenditure of $940 (approximately 150,000 yen)senalnews.com.

7. Case Study: Techniques for Managing the Gap Between Ideal and Reality

• Person A (Tokyo, 25 years old)

  • Video + Music + Games = Total 4 contracts / 6,200 yen per month

  • Uses a "subscription management app" to cancel unused months immediately, saving 10,000 yen annually.
    
    

• Person B (London, 23 years old)

  • AI Skincare + Plants + Netflix, etc. 7 contracts / £280 per month

  • Started repaying student loans, scaled down beauty box deliveries to every other month.
    
    

• Person C (LA, 27 years old)

  • Apple One, Disney+, etc. via carrier, 9 contracts / $92 per month

  • Noticed some unused parts of the bundle, reduced by $25 after organizing with Rocket Money.

8. A Must-See for Marketers! Five Genres Expected to Grow

1. Mental Health Apps: Meditation, AI Counseling

2. Sustainable Food Boxes: Local Production × Low Carbon Delivery

3. Personalized Education: AI Tutors + Qualification Exam Preparation

4. Space Sharing: Coworking, Virtual Offices

5. Apparel "Circular" Rental: Fixed Rate + Resale Guarantee
   
   
   

While overseas services become more expensive due to exchange rate impacts, there is significant growth potential for domestic services in the Japanese market.

9. Summary and Future Implications

• Japan's average of 1,803 yen is "minimal" on an international scale, but the growth rate is high.

• The UK is "comprehensive," covering all aspects of life, the US is "bundled," and Japan is "selective and focused," each with its own characteristics.

• In the future, therisk of yen depreciationandstagnation in disposable incomewill influence the pace of subscription expansion in Japan.

• For companies, designing with consideration for exchange rates and payments, such as "bundles," "multi-payment," and "non-yen price display," is key. For users, it is essential to avoid the "blind spots of fixed rates" by using contract visualization tools.

List of Reference Articles

1. Sumitomo Mitsui Card "Awareness Survey on Financial Sense of 20s in 2025" (PDF)
   
   

2. Visa UK Press Release “Gen Z boosts subscription economy, tripling spend from older generations”##HTML_TAG_