Despite malls and stores are reopening with strict social distancing and face mask guidelines, many chose to stay at home most of the time. Also, according to a new survey from Dallas-based Kibo, this trend might not change even in a post-pandemic era.
Kibo, a leader in unified commerce, worked together with Drapers, the leading authority on fashion retailing in the UK has found major changes in Gen Z and Millennial shopping behavior as a result of COVID-19.
Both Generations Plan To Shop More Online
The two entities collected responses from 2,000 consumers split between Gen Z (aged 18-25) and Millennials (aged 26-40) to uncover important elements of influence on their shopping habits.
It’s interesting to see that more than half of young adult shoppers plan to shop in brick-and-mortar stores less than before COVID-19. The study breakdown the numbers to 30 percent Gen Z and 36 percent Millennials.
Plus, both generations – 28 percent of Gen Z and 24 percent of Millennials are already a fan of online shopping before the pandemic. They said convenience and price comparison as top two benefits of online shopping.
“Younger adult generations were already online shopping fans before the Covid-19 pandemic, and this research shows that they’ve moved even further toward digital channels,” said Lisa Kalscheur, CMO at Kibo.
Retailers Must Update Their Operations
The study noted that because of a major shift in shopping preference and behavior, retailers must upgrade their operations to support more online activity.
Kalscheur said “The research shows that retailers need to unify the customer experience online and off more than ever before. Consumer demand for convenience requires modern commerce and order management capabilities.”
Kibo also highlighted that both Gen Z and Millennials shared a strong preference for social media posts from brands. They found 64.2 percent of Gen Z get shopping inspiration from Instagram. Gen Z was also willing to pay more for sustainable fashion and less willing to buy from a brand that didn’t share their values.
Other Emerging Trends
As reported by Kibo, 55 percent of Millennials cited convenience as their top online shopping benefit, while 51 percent cited price comparison. Both generations also wanted improvement in ‘better fit technology’ and ‘better images’ when shopping online. In addition, they responded ‘waiting for deliveries’ and ‘unpredictability of fit’ as the two most negative aspects of online shopping.
“Gen Z in particular is showing that they expect a shopping experience that offers convenience online, and that they will choose brands that align with their own values and preferences,” said Kalscheur. “Now is not the time for retailers to guess how to create better online shopping experiences, and this research provides a clear path for the adult generations that will lead our economy in the coming years.”