‘Digitally Native’ generation still prefer shops
New figures reveal the first fully ‘digitally native’ generation still prefer brick and mortar shopping to online browsing.
Released by IBM and the National Retail Federation, the study reveals a massive majority of ‘Generation Z’ consumers between the ages of 13-21 still prefer physical shopping environments.
Specifically described as being born between the mid-1990s and early 2000s, Generation Z are the first children to grow up into the digital age, into a world of mobile phones, home computing and the internet.
67% of Generation Z prefer shopping in-store most of the time, with a further 31% still often shopping on high streets, indicating that just 2% of the ‘always on’ generation only shop online.
“Just as Millennials overtook Gen X, there’s another big buying group retailers need to plan for, and it’s even larger: Generation Z,” National Retail Federation President and CEO Matthew Shay said. “They appreciate the hands-on experience of shopping in a store.”
The global population of ‘Gen Z’ is set to reach 2.6 Billion by 2020, and are expected bring a huge amount of buying power, as estimates suggest the new generation have access to around $44 billion in disposable income.
66% say that product quality and availability are the top factors when choosing brand, although value is another major focus as over half admit to a lack of brand loyalty compared to other generations.
As technology is continuing to evolve, and eCommerce has changed to reflect that, a main concern for retail has been to not get left in the dust, with Mr Shay explaining that retailers need to continue to be “agile” if they want to stay relevant.
“Retailers are constantly focused on experimenting with new innovations both online and in-store to remain relevant to evolving consumer demand.”