The dream has changed, not disappeared.
As the United States approaches its 250th anniversary, Americans are reflecting on what opportunity, success, and progress mean today.
The American Dream remains deeply ingrained in how people define success. Homeownership, family, financial stability, and hard work continue to serve as important aspirations for many Americans.
But Americans no longer agree on how to achieve it.
To better understand what that Dream looks like today, Simon-Kucher surveyed 5,000 Americans about their goals, priorities, and perceptions of financial security and opportunity.
35% of respondents say there is no clear best path to achieving the American Dream
COVID accelerated a broader reassessment of priorities, prompting Americans to rethink what success looks like and how to achieve it. Today, as economic pressures persist and consumer expectations evolve, the American Dream is becoming more personal, less standardized, and increasingly shaped by individual circumstances. Businesses that understand these shifts will be better positioned to connect with consumers and adapt to what's next.
Even though it’s shifted, the traditional Dream still resonates
The American Dream is evolving, but its traditional meaning remains widely recognized. Homeownership, family, hard work, and financial stability continue to shape how many Americans define success. What is changing is not the aspiration itself, but the path people take to achieve it.
Despite changing priorities and definitions of success, belief in the Dream remains strong among younger generations:
- 62% of Millennials strongly or somewhat identify with the American Dream
- 55% of Gen Z strongly or somewhat identify with the American Dream
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Success is becoming more personalized
Americans are no longer pursuing success through a single set of milestones. Instead, they are assembling individualized versions of the American Dream based on their priorities, life stage, and financial realities.
What matters to each generation?
Gen Z is broadening the definition of success beyond traditional milestones. Rather than focusing solely on wealth accumulation or career advancement, they place greater value on personal fulfillment, flexibility, meaningful experiences, and maintaining options for the future. Success is increasingly measured by freedom, purpose, and quality of life.
Millennials are navigating competing priorities. While they continue to pursue traditional financial goals such as homeownership and wealth building, they are also more likely to prioritize enjoying life in the present. For many, success is defined by finding a balance between preparing for the future and maintaining quality of life today.
For Baby Boomers, the American Dream remains closely tied to financial stability, retirement readiness, and long-term security. Having spent decades building careers, savings, and assets, this generation is more focused on preserving what they have earned and maintaining financial independence in retirement.
However, experiences now outrank material possessions across every generation.
For some, success means building wealth. For others, it means flexibility, stability, independence, experiences, or maintaining quality of life. The result is a broader and less uniform definition of what it means to "make it."
The New American Dream is less about following a prescribed path and more about creating a version of success that fits individual goals and circumstances.
Money still sits at the center
Even as Americans redefine success, one thing remains constant: money continues to shape how people pursue the American Dream.
As costs rise, Americans are increasingly making tradeoffs between today's needs and tomorrow's goals.
Nearly 90% of respondents have changed purchasing behavior because of inflation.
The impact extends well beyond the checkout aisle, influencing how Americans spend, save, travel, and plan for the future:
Americans are rewriting the rules
Financial realities are forcing Americans to make increasingly difficult tradeoffs throughout their lives.
Key areas of change
62% say homeownership is harder to achieve today than it was for previous generations.
Homeownership remains a core aspiration, but affordability challenges are making renting and alternative housing paths more acceptable—particularly among younger generations.
31% of Gen Z cite job insecurity as a major barrier to achieving their aspirations, compared with just 5% of Baby Boomers.
Flexibility, remote work, and multiple income streams are becoming more attractive as workers seek greater control over their careers and financial futures.
57% say retiring early is harder today than it was for previous generations.
Retirement is increasingly viewed as a flexible transition rather than a fixed destination, with many Americans expecting to work longer or redefine what retirement looks like.
About half of Millennials report sacrificing long-term financial goals or taking on debt to maintain their desired quality of life.
Debt, inflation, and rising living costs are forcing consumers to balance immediate needs with long-term financial goals, creating new tradeoffs around saving, spending, and investing.
The New American Dream is less about following a prescribed path and more about adapting to changing realities while pursuing personal goals.
Four considerations for businesses
For businesses, understanding these shifts isn't just about keeping up with consumers; it's about staying relevant as their needs continue to evolve.
- Consumers are evaluating value differently Experiences, flexibility, and quality of life increasingly outweigh traditional status symbols.
- Affordability remains a competitive differentiator Nearly 90% of consumers have changed spending habits because of inflation.
- One-size-fits-all offerings are becoming less effective Consumers are defining success in increasingly personal ways.
- Financial pressure is influencing decision-making Consumers' ability to pursue their goals is increasingly shaped by affordability, access, and financial flexibility.
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About the study
Simon-Kucher's New American Dream Study surveyed 5,000 U.S. consumers to better understand how perceptions of success, financial security, and opportunity are evolving in today's economic environment. As rising costs, shifting priorities, and changing consumer expectations continue to reshape decision-making, the study provides a timely look at the attitudes and behaviors influencing the future of consumer demand.
The study was co-authored by Pace Billings.
We invite you to explore the study and share, reference, or publish its findings with attribution to Simon-Kucher and a link to this page. For additional information, including strategic recommendations for business leaders, complete report findings, and methodology details, please contact pr-inquiries@simon-kucher.com.
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