In RetailNext’s latest ‘Retail Vibe Check Report,’ researchers at the in-store analytics platform provider focused on Gen Z and discovered some surprising behavioral patterns.
A key feature is that Gen Z expects the same experience in-store as they do when shopping online. “Gen Z lives at the intersection of the digital and physical worlds. They are not abandoning in-store shopping; rather, they are looking for stores to evolve,” RetailNext said in a report. Ta. “Their complaints about long lines, crowded spaces, and out-of-stock items reflect a deeper need: They want their stores to be instant, personalized, and work as smoothly as they do in the digital world. I hope.”
The ability of retailers to meet these demands is at stake. The report’s authors estimate Gen Z’s purchasing power in the United States at $360 billion.
“Even though Gen Z grew up in an era of on-demand everything, when they walk into a store they feel trapped in a system that hasn’t kept up,” the report’s authors said. . “Retailers who fail to adapt risk losing this generation to the more fluid and responsive e-commerce space they rely on. Gen Z is more than just a group of consumers, they want their physical stores to become smarter, faster and more It’s a force that pushes you to be intuitive.”
These preferences may explain another data point uncovered in the survey. In other words, Gen Z loves shopping in stores, but they often leave empty-handed.
The survey found that 69 percent of Gen Z shopped in-store every week. “Yet, they are more likely than any other group to leave a store empty-handed due to heightened frustration that hinders their desire to complete a purchase,” the report notes, noting that 66% of Gen Z “Long lines are the biggest pain point,” she added, followed by crowded aisles (55%) and difficulty finding products (47%). ”
RetailNext said the issues mentioned are causing 35% of Gen Z shoppers to leave a store without making a purchase. “With 50% reporting low inventory as the primary reason for relief purchases, retailers need to prioritize addressing these challenges to prevent Gen Z from returning to online alternatives.” “is clear,” the report says.
Joe Shasteen, global manager of advanced analytics at RetailNext, said that as Gen Z continues to shop in-store, “they have high expectations for convenience, speed and efficiency. , every touchpoint, from self-checkout options to shelf availability, must be optimized to capture the attention of this important demographic and keep them coming back.”
The report’s authors said that despite the obstacles, Gen Z is open to technology-based solutions in stores. Data shows that 42% of Gen Z shoppers are keen on “using self-checkout kiosks or cashierless checkout, which can significantly reduce wait times and improve the overall shopping experience.” is the answer. Additionally, 27 percent of Gen Z shoppers surveyed said they were “very interested” in AI-powered chatbots that provide personalized support.
The study also showed the impact of social media on Gen Z behavior. The study found that 24% of Gen Zers shop based on social pressure. This is “significantly higher than older generations, where only 4% report the same,” the report’s authors said, adding that 23% of Gen Z respondents said TikTok and Instagram It said it was driven by viral trends on platforms such as “highlighting the importance of social media in shaping in-store decision-making.”
