For years, millennials have been stereotyped as the generation that killed malls. With the rise of e-commerce giants like Amazon and the convenience of online shopping, brick-and-mortar stores were predicted to become a relic of the past. However, a new trend is emerging – Gen Z, the generation that grew up entirely in the digital age, is surprisingly becoming a driving force behind in-person shopping.
Meet The In-Store Generation
A recent survey by the ICSC, a mall industry group, revealed that Gen Z visits physical stores just as frequently as their baby boomer grandparents. It challenges the common perception of Gen Z as exclusively digital consumers. But why are they bucking the trend and embracing physical stores?
Experiences Vs. Expediency
While online shopping offers undeniable convenience, Gen Z shoppers crave experiences that the digital world can’t replicate. Malls and retailers are taking note and revamping their strategies to cater to this experience-hungry generation.
Here are some creative ways stores are creating in-store experiences for the next generation of in-person shoppers:
Interactive displays
Forget static mannequins and boring product displays. Interactive features like selfie mirrors that allow shoppers to share their outfits on social media or virtual reality experiences that transport them into product demonstrations are a big draw for Gen Z. Additionally, over 40% of shoppers in this demographic are keen to utilize self-checkout kiosks or cashier-less options, which could significantly reduce wait times and improve the overall shopping experience.
Social media integration
Social media is a major part of Gen Z’s lives. Stores are incorporating social media features into their physical spaces, like creating photo-friendly backdrops or hosting influencer events. Furthermore, 23% of Gen Z shoppers are influenced by viral trends on platforms like TikTok and Instagram, highlighting the significant role that social media plays in their in-store purchasing decisions.
Pop-up experiences
Gen Z thrives on novelty and excitement. And impulse buys also reign supreme for this group, with nearly two-thirds drawn to limited-time offers. Pop-up shops featuring limited-edition products or unique collaborations create a sense of urgency and exclusivity that appeals to this generation.
Events and entertainment
Malls are no longer just about shopping. They are evolving into entertainment destinations, hosting events like pop-up concerts, art shows, or gaming tournaments.
Let’s Get Phygital
The rise of Gen Z as in-store shoppers doesn’t signal the end of e-commerce. Instead, it points towards a future where online and offline experiences seamlessly blend together. This ‘phygital’ approach, combining physical and digital marketplaces, might involve:
- Online reviews or tutorials while shopping in-store.
- Scanning QR codes for more product information.
- Virtual try-on features for clothing or makeup.
- Interactive product demonstrations.
Malls and retailers can ensure their continued relevance in the digital age by creating engaging ‘phygital’ experiences that cater to Gen Z’s desire for novelty, social connection, and entertainment. This generation might be digital natives, but they still value shopping malls’ social and interactive aspects. The future of retail lies in not just acknowledging but truly understanding and catering to these preferences.
