My first gift to you is simple but powerful.
Letโs explore what truly drives Gen Z shopping behavior and why it matters for brands today.
The Gen Z Shopping Mix: Where Values Meet Trends
Weโve all been hearing about Gen Z, and for good reason. Over the next decade, theyโll drive much of the worldโs discretionary spending.
To truly understand them, we must dig deeper into what matters most: connection, culture, and choice.
Take a moment to explore the graph below, which showcases Gen Z's fashion shopping habits. Their behavior reflects a balance between values and trends. Itโs fascinating and thought-provoking, highlighting two seemingly opposing forces at play.
Smart, Savvy, and Social
Image: ByRotation and Shein
No wonder Gen Zโs shopping habits seem contradictory at first. On the one hand, they care about sustainability yet still buy fast fashion ๐คฏ. But this isnโt hypocrisy; itโs resourcefulness. They balance values with smart decision-making and are willing to pay a premium for skincare or fashion they care about.
Ultimately, they remain true to what truly matters to them, reinforcing a simple economic principle: something is worth whatever people are willing to pay for.
Trust Reimagined
Traditional brand loyalty is fading. So, who does Gen Z trust? Friends, family, creators, and online communities offer more reliable and genuine appreciation for a product than businesses. For them, shopping isnโt just about buyingโitโs about feeling connected, belonging, and supporting what they stand for.
Social Proof Matters: Gen Z trusts creators, reviews, and online communities to give the green light before they buy.
Platforms as Search Engines: TikTok and Reddit are the new Google and more. 40% are using these platforms for inspiration, recommendations, shopping, and staying entertained all at once.
Why Cultural Moments Matter
The success of particular fashion and beauty brands shows that culture isnโt just a nice-to-have; itโs essential for building authentic connections with audiences. When a brandโs values align with what customers care about, it resonates deeply.
Have you seen e.l.f. Beautyโs latest eyes.lips.face.fandom campaign? It dropped just three weeks ago and already has over 450K views and thousands of comments. Such a smart way to break into the sports worldโplus, theyโre keeping the spotlight on their No. 1-selling Power Grip Primer.
So, what stands out? Authenticity, inclusivity, soccer (duh!), and offering affordable prices without sacrificing quality.
Voilร ! Hereโs what its 1.9M TikTok followers had to say, showcasing the power of community, product love, and a vast co-creation opportunity.
Beauty vs. Apparel
Hereโs something important to consider: shopping behavior in beauty and apparel is very different.
How?
Beauty and Skincare: Gen Z shows higher brand loyalty and willingness to pay full price.
Apparel: More price-sensitive, with a mix of thrifting and trend-driven purchases. Theyโre less loyal to brands, but interestingly, theyโre more loyal to reliable retailers.
This brings us to an unexpected twist:
In-Store Over Online?
Content: Laura Byrnes
I was blown away to learn that Gen Z prefers in-store shopping, especially since they are the first truly digital generation.
Relevant Data (BCG):ย For apparel, footwear, and accessories, 51% of Gen Z made their last purchase in-store, compared to 46% of millennials.
Why? Because they want to see and feel products in-store.
What Does It Mean for Brands?ย Seamless omnichannel offerings are becoming more essential than ever. Gen Z values both digital and physical shopping experiences.
Finally, let me share with youโฆ
Actionable Insights for Brands
๐ Create immersive in-store experiences for Gen Z to see and feel products.
๐ Co-create new products with your online community.
๐ Optimize presence on TikTok and Reddit as an alternative search engine.
๐ฅญ Build AI search engines on your website for higher conversion.
๐ Build trust through community engagement and creator partnerships.
๐ Offer transparent supply chain information.
๐ Implement second-hand or repair programs.
๐ Collaborate with niche influencers and feature your customers.
๐ถ๏ธ Take your online community to IRL events.
๐ Create brand desirability.
๐ Adapt, adapt, adapt!
For brands, success means understanding that Gen Z isn't choosing between values and trendsโthey're creating a new retail reality where both coexist.
Gen Z is resourceful. Their end game is to balance what they care about with what they enjoy, and by doing so, they are shaping the future of shopping.
PS: If youโre really into culture, this is an excellent read ๐
Best one yet, really enjoyed it โฅ๏ธ ๐