This holiday season, while turkey and trimmings may take center stage, the real spotlight will be on the deals. According to a recent holiday study by Circana, 37% of consumers are strategically planning to maximize their savings this year, with one generation standing distinctly apart – Gen Z.
Thirty percent of Gen Z consumers plan to kick off their holiday shopping on Black Friday, the highest percentage among all generations. As more Gen Zers enter the workforce, they’re becoming a pivotal force in retail, contributing to industries and brands that truly understand their needs.
The Apparel Industry Is Experiencing A Decline
The apparel industry, which has experienced a 2% decline over the past year, stands to potentially benefit significantly from Gen Z’s unique spending habits. Their planned purchases represent a calculated blend of apparel, accessories, and tech – potentially breathing new life into industries seeking growth. With this generation representing nearly 30% of apparel spend, their holiday shopping could be the critical lifeline retailers desperately need.
So where does Gen Z plan to shop this Black Friday? Contrary to the digital-only stereotype, Black Friday is a social event for Gen Z. They’re not just scrolling; they’re storming malls in groups, Starbucks in hand, transforming shopping from a transaction to a social experience. Approximately 1 in 4 plan to shop at apparel specialty retailers like Gap and Abercrombie & Fitch, while 34% will be shopping at mass retailers, like Target and Walmart. Target, for instance, will entice consumers with exclusive entertainment items like the Taylor Swift Eras Tour Book, available only in-store on Black Friday. Walmart has positioned itself as a destination for young shoppers seeking trendy, budget-friendly “dupes” that offer style without breaking the bank.
Gen Z Balances Gift Purchases And Online Shopping At Amazon
In addition to buying gifts, one in four Gen Z shoppers will inevitably purchase something for themselves while they shop – a higher rate than other generations. With many Gen Zers not yet hitting major life milestones like homeownership, they’ll be prime discretionary spenders this holiday season.
Online platforms are equally crucial. An impressive 81% of Gen Z plan to shop on online-only platforms like Amazon – a higher percentage than any other generation. However, to Gen Z these aren’t just shopping sites but comprehensive research hubs. Notably, 50% of Gen Z will use Amazon to learn more about products and brands, a 5-point increase from the previous year.
Gen Z Values Product Reviews And Authenticity
What truly distinguishes Gen Z is their approach to product discovery. Product reviews are the most impactful to this generation, as authenticity reigns supreme. Therefore, it is no surprise that social media has uniquely shaped this generation’s spending habits, particularly among teens. Recent back-to-school trends saw teens pivoting towards items like Stanley cups and beauty products, moving away from traditional fashion categories like apparel. The driving force? These items help teens craft and curate their social media personalities.
As retailers prepare for the holiday season, one truth becomes crystal clear: Gen Z is rewriting the retail narrative. They’re not just consumers; they’re curators of experience, value, and personal expression. They seek something more profound – connection, authenticity, and products that genuinely reflect their evolving identities. For brands willing to listen and adapt, this holiday season isn’t just about sales – it’s about understanding a generation that refuses to be defined by traditional marketing playbooks.
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