What: RetailNext's latest report highlights that Gen Z expects in-store shopping experiences to mirror the speed and personalization of online shopping, with their spending power estimated at USD 360 billion.

Why it is important: Retailers must adapt to Gen Z's demands for efficient, tech-driven in-store experiences to capture this generation's significant purchasing power and prevent a shift back to online shopping.

RetailNext's "Retail Vibe Check Report" reveals that Gen Z shoppers, who frequent brick-and-mortar stores weekly, desire in-store experiences akin to their digital interactions. This generation, raised in an on-demand culture, finds long lines, crowded aisles, and stock shortages particularly frustrating, leading 35% of them to leave stores without making purchases. With Gen Z's spending power estimated at USD 360 billion in the U.S., retailers face pressure to evolve their physical spaces to be as instant and personalized as online platforms.

The report emphasizes the importance of integrating technology into physical retail environments. Gen Z shows a strong preference for solutions like self-checkout kiosks and AI-powered chatbots, which can reduce wait times and enhance the shopping experience. Additionally, social media significantly influences Gen Z's purchasing decisions, with 24% making purchases due to social pressures and 23% driven by viral trends on platforms like TikTok and Instagram.

To engage this critical demographic effectively, retailers must optimize every touchpoint in the shopping journey, ensuring convenience and efficiency while leveraging technology to meet Gen Z's high expectations.

Gen Z's in-store shopping demands: A digital parallel