Teen Spending Rises 6% as Athletic Brands Lose Fashion Share

Teen spending rose 6% year over year in fall 2026, and higher-income teens spent 11% more, according to Piper Sandler's 26th Annual Teen Survey. Piper Sandler estimated total teen spending at roughly $65 billion, based on a poll of almost 9,000 respondents aged 13 to 19 who self-report spending about $2,350 each per year.

The rebound reverses a decline. In 2025, average teen spending fell 6% year over year. The 2026 recovery came despite economic pessimism: 70% of teens said the economy was getting worse, up from 62% in fall 2025.

Where Is the Money Going?

Apparel led the gains. Overall apparel spending climbed 7% year over year, and girls' apparel spend rose 10%. Clothing accounted for 22% of overall spend among upper-income teens and 21% among average-income teens.

Footwear moved in the opposite direction, down 1%. Athletic brands bore the brunt. Nike, Adidas and Lululemon collectively saw their fashion share fall to 29% from 32% last year, Piper Sandler said on LinkedIn. Three years ago the three brands peaked at a combined 44%. Lululemon lost mindshare for the fifth consecutive survey, with the decline sharpest among upper-income teen girls.

Specialty retailers captured the shift. American Eagle, H&M, Pacsun, Hollister and Urban together held 23% of fashion mindshare, up 8 percentage points year over year.

What Do Teens Buy Online and In-Store?

Amazon dominated online shopping. It held about 50% of the upper-income teen online shopping share, while every other online retailer ranked in single digits.

Secondhand shopping grew despite the value channel's struggles. The combined off-price, discount and outlet channel lost share with upper-income teens, yet 44% of that demographic bought clothing from secondhand shops, up from 42% a year earlier.

Target emerged as a key destination for upper-income teen girls. Half said they shopped there for apparel and footwear, and 81% said they shopped there for beauty and skin care.

How Did Footwear Brands Perform?

Nike, Adidas and New Balance continued to lead footwear, with Nike holding 45% of overall share. But all three lost percentage points. On gained share, especially among teen boys.

Teen girls' footwear spending was flat. Their fashion spend grew evenly across apparel and accessories, each up 13% year over year. Measured against fall 2024, girls' fashion spend rose 15% over two years, driven by accessories up 19%, apparel up 18% and footwear up 1%.

Which Brands Won With Teen Girls?

Coach topped the teen girl handbag rankings, with 60% naming it their favorite brand. That figure climbed from 43% in fall 2025 and 23% in spring 2024 — a near-tripling of preference in two and a half years.

Other favorites among teen girls included Ugg and Birkenstock in footwear, Alo Yoga in athletic apparel and Brandy Melville in general apparel.

What About Beauty Spending?

Teen girls' beauty spending grew 7% year over year and reached a survey-high 23% of their wallet share. Hair care led the category with 10% growth. Cosmetics and skin care each grew 5%.

Elf ranked as the top cosmetics brand with one-third of overall share. Medicube entered the top 10 skin care brands in sixth place, becoming the first K-beauty brand to do so.

The data signals a durable rotation away from athletic apparel toward fashion, accessories and beauty — a shift brands like Nike, Adidas and Lululemon will need to answer in the next survey cycle.