Gen-Z and E-commerce: The digital revolution
Generation Z, or Gen-Z, is the new generation made up of individuals born between 1997 and 2012, now representing a significant sector in the digital market. Who are these new consumers? What are their expectations for online shopping? How are they different from their predecessors? And how can businesses adapt to them?
Who Are These New Consumers?
Having grown up with the internet, social media, and smartphones, this generation is hyper-connected. It’s a generation that introduces new trends in the e-commerce market as it has developed unique consumption habits, which we will explore in greater detail below. This generation makes more than half of its usual purchases online and stands out through distinctiveness in its shopping behaviors:
- Tech Enthusiasts: Having grown up with technology, Gen-Z is highly comfortable with digital devices and platforms. They have not experienced life before the internet or e-commerce and have grown up in an environment where digital technology has always existed.
- A Strong Social Commitment: Gen-Z feels deeply concerned about environmental and social issues. They are aware of the implications of global production and consumption, and they are far more demanding regarding ethics and sustainability. This social awareness significantly impacts their buying decisions.
- The Search for Authenticity: This generation grew up alongside the rise of social media, from the early days of Facebook to the launch of TikTok and the rebranding of Twitter as X. They are particularly drawn to all kinds of short, visual, and interactive content. With shorter attention spans, e-commerce platforms need to convey information quickly.
- Visual Culture: Transparency and authenticity are crucial for these consumers. They prefer to buy products from brands that align with their values, especially brands that are ethical and honest in their communication.
A New Approach to Shopping
First impressions matter
Generation Z, whose expectations for e-commerce are shaped by their digital experience and personal values, demands a smooth user experience. You only have one chance to make a good impression.
This new generation expects your e-commerce site (or mobile app) to be fast, of course, but also intuitive! If users have to click too many times to find what they’re looking for, they’ll likely leave the platform and not return for a long time.
Personalization is also crucial: Gen-Z appreciates recommendations based on their preferences and purchase history. They shop across multiple platforms, moving easily from social media to e-commerce sites and thus creating hybrid shopping habits. With the growth of m-commerce (mobile commerce), it’s even easier for them to shop from one platform to another. Today, Gen-Z represents 75% of mobile transactions, compared to 49% for the entire French population. This means twice the chance to simplify the shopping journey and cart validation directly on your e-commerce site. Make sure your e-commerce site is mobile responsive to minimize friction points on mobile.
Social media
A study by PayPlug reveals that 40% of Gen-Z shops both online and in-store, 20% watch TikTok videos before purchasing a product, and 31% use mobile shopping apps.
Social media has become a true source of information. Today, many Gen-Z consumers check out TikTok or Instagram videos related to a brand before making a purchase, often more instinctively than they would with Google reviews. Indeed, with the development of social media, we’ve seen the emergence of a new type of content: User-Generated Content (UGC). These new profiles are recruited by brands to talk about them and give their opinions as honestly as possible on social media. The goal is to reassure customers before they make a purchase: an accessible personality, unlike major TV influencers, shares their opinion with a smaller community. This creates a natural trust that encourages potential customers to make a purchase on the e-commerce site.
An ecological and social commitment
Gen-Z may have grown up in a highly technological environment, but they were also raised with a concern for the environment. They’ve always been aware of the worsening climate situation, and their ecological consciousness translates into a desire to consume less but better, preferring brands that are transparent about their production methods and communications. This generation is aware of the climate emergency and opposes the production methods of fast fashion brands. This trend is evident in the rise of second-hand platforms like Vinted, which has been growing steadily in recent years.
To capture their full attention, e-commerce brands must prioritize reinventing retail standards on their e-commerce sites. Offer unique benefits they won’t find with competitors: ethical delivery options, flexible payment methods (such as installment payments with no fees or “buy now, pay later” options). Depending on your industry, you could also incorporate innovative technologies like Augmented Reality (AR), allowing customers to virtually try on products before buying (such as a pair of glasses or a couch in their living room). The more transparent you are about your business practices, the more trust they’ll place in you. Your campaigns should resonate with their values and interests to capture their attention and convert them into loyal customers.
In essence, growing up with digital technology means growing up with a smartphone, tablet, computer, and access to virtually unlimited content. Gen-Z is a rising force in e-commerce, and their influence will only continue to grow in the years to come. Businesses, whether physical or digital, must tailor their strategies precisely if they want to connect with and retain this new generation of consumers.
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