HRC Study reveals Gen Z and Millennial shoppers are swayed by social media likes

By

Obi Anyanwu

Published
May 30, 2017

Retailers may be surprised to hear that the way to attract younger customers is not with new product, but with something as simple as a strong wi-fi connection.
 
A new survey conducted by the HRC Retail Advisory found that 90% of Generation Z consumers say that a strong wi-fi signal is important to them and their overall shopping experience. In addition, in-store technologies and positive social media feedback are among the top priorities for millennial and Generation Z consumers.

 
“Millennial and Generation Z’s use of technology in-store, their need to stay connected to friends via social media while they shop, and how they’re shopping beauty trends is changing consumer spending patterns,” said Farla Efros, President of HRC Retail Advisory. “While the latter generation was born with a smartphone in hand, it doesn't keep them from shopping – and even preferring to shop – in brick and mortar stores, as long as they have access to their ever-important social network.”
 
The new survey results agree with two recent HRC surveys that reveal that Generation Z consumers still like to shop in-store and use social media while they shop.

Out of 1,350 participants in North America, the new HRC survey that released on Tuesday found that millennial and Generation Z shoppers use social media to solicit opinions while shopping, and over 40% respondents said they have made a decision based on feedback from their network. While 25% of millennials say they have returned items based on social media feedback, 62% of Gen Z shoppers say they returned based on social media feedback.
 
The survey also found that the younger generations embrace emerging technologies such as “Magic Mirrors” in dressing rooms that send images through social media, and 68% of millennials and 64% of Gen Z shoppers are likely to use a retailer’s app to make an in-store payment.
 
Both segments look to Amazon and discount stores to shop for beauty products over traditional beauty stores, but the segments differ in influences. Millennial shoppers are influenced primarily by the store experience when shopping for beauty, while YouTube Beauty Gurus and peers influence Gen Z shoppers.
 
Efros added, “Generation Z in not only powerful on their own, but they are the ones dragging their millennial parents (who prefer to shop online), back into the mall as well. Understanding these consumer segments and how they apply to a retailer’s business will be essential, as both of these generations will be crucial to retail strategies going forward.”