SalarySe finds Gen Z UPI spend tilts to bills, subscriptions and grocery
Analysis of more than 5.2 lakh salaried Gen Z users shows bills and subscriptions account for 20.1% of monthly consumption spending, followed by grocery at 15.7%. Everyday categories make up over 70% of outlay, while travel represents 5%.
What happened
SalarySe’s analysis of over 5.2 lakh Indian salaried Gen Z users finds UPI-led spending concentrated in bills, subscriptions, grocery and financial services.
Key facts
- More than 5.2 lakh salaried Gen Z users analysed
- Bill payments and subscriptions: 20.1% of monthly consumption spending
- Grocery: 15.7%
- Financial services: 12.2%
- Shopping: 11.9%
- Food: 11.5%
- Everyday categories account for over 70% of monthly spending
- Discretionary spending: 32% for both age groups
- Essentials spending rises from 50% for ages 18-23 to 59% for ages 24-29
- Travel: 5%
- Jio subscriptions: 12.4%
- Netflix subscriptions: 10.7%
- Spotify subscriptions: 5.6%
Why this matters
Targets and partnerships that bundle bill pay, subscriptions, grocery rewards and UPI engagement may offer stronger recurring-frequency economics than travel-focused consumer platforms.
What to watch
- Growth in UPI Autopay mandates and bill-payment transaction volumes.
- Changes in average monthly Gen Z spend on quick commerce, grocery and utilities versus discretionary categories.
- Jio, telecom and OTT bundle launches, price increases and subscriber-churn disclosures.
- Cashback or loyalty-program shifts by PhonePe, Google Pay, Paytm, banks and large merchants.
- Travel-spend acceleration, which would indicate a move away from necessity-led consumption concentration.
- UPI apps and banks should expand bill-pay dashboards, mandate controls, due-date alerts and category-specific rewards.
- Telecom and streaming providers should package content with mobile plans and annual payment incentives to reduce churn.
- Grocery and quick-commerce retailers should link UPI payment history to replenishment reminders, membership offers and private-label promotions.
- Subscription businesses should prioritize flexible pause, downgrade and bundle options over assuming continued multi-service adoption.