{"id":8006,"date":"2023-03-06T02:41:54","date_gmt":"2023-03-05T21:11:54","guid":{"rendered":"https:\/\/www.intelligencenode.com\/blog\/?p=8006"},"modified":"2026-03-18T14:45:01","modified_gmt":"2026-03-18T09:15:01","slug":"secrets-of-gen-z-consumer-behavior","status":"publish","type":"post","link":"https:\/\/www.intelligencenode.com\/blog\/secrets-of-gen-z-consumer-behavior\/","title":{"rendered":"Secrets of Gen Z Consumer Behavior"},"content":{"rendered":"\n

As of 2023, Gen Z occupies 40%<\/a> of the worldwide consumer population and is projected to hold a massive spending power of well over $360 billion<\/a> in disposable income. Born into the digital era of free-flowing information and access to the internet, they have formed a demographic of individuals who have not only mastered the online retail ecosystem, but have established a distinct set of preferences<\/a> and demands regarding their digital experiences<\/a> across social media, the digital shelf<\/a>, eCommerce as a whole, and even quality of user experience across various digital platforms. <\/p>\n\n\n\n

Thus, to study the needs and expectations of this unique group, Intelligence Node conducted a survey with a thousand respondents to assess their approach to eCommerce and retail. Here, we analyzed consumers\u2019 spending decisions for 2023, their views and preferences regarding modern retail experiences, recent trends, and more. For a worm\u2019s eye view into the digital generation, the article below seeks to break down the responses we received from shoppers to give brands and retailers in-depth insights into Gen Z shopper trends<\/a> and inform their strategic decisions for the year ahead.<\/p>\n\n\n\n

Understanding the Digital Generation<\/strong><\/h2>\n\n\n\n

As the first generation to grow up fully immersed in the digital age, Gen Z has a unique relationship with technology. On average, a Gen Z individual uses 5 different electronic devices<\/a> ranging from mobile phones to desktop computers or tablets, amassing a monumental average screen time of 7.2 hours<\/a> of pure video content consumption per day. Even 42% of millennials<\/a> have reported being unable to go more than 5 hours without social media- a remarkable standard for screen time, and reflective of how intimately and consistently younger generations are immersed in their devices. <\/p>\n\n\n\n

Unlike older generations, Gen Z is far more tech-savvy and comfortable with making purchases online as well. They know how to use technology to make informed buying decisions, where to find reliable product information<\/a>, how to research and seek out deals, leveraging social media, eCommerce platforms, and the digital shelf for their shopping needs. Even positive reviews impact conversions for Gen Z, in contrast to older generations. This is a key factor behind the growing popularity of omnichannel shopping<\/a>, as Gen Z was found to be most likely to use their mobile devices in-store<\/a> to hunt for better prices, coupons, visit the retailer\u2019s e-store, pay online, and explore alternative products and brands. Holistic optimization of the shopping experience both digitally and physically <\/a>can help brands improve their conversion rates from Gen Z shoppers, even as the group\u2019s enthusiasm for brick-and-mortar stores<\/a> (as a space for experience and discovery) rises. They also prioritize convenience, speed, and personalization <\/a>when it comes to their shopping experiences. <\/p>\n\n\n\n

Social Commerce Drives Gen Z Product Trends<\/strong><\/h2>\n\n\n\n

Gen Z, who primarily browse on mobile<\/a>, is more likely to turn to social commerce<\/a> on platforms like Instagram, TikTok, and Snapchat to discover new products, read reviews, and get recommendations from influencers. Shoppers aged 18-34 are more receptive to influencer marketing than other groups, and when paired with clear, easy-to-navigate sales platforms are likely to purchase items off social media. Further, as this demographic is exposed to a greater number of advertisements and recommendations they are most likely to be receptive to new products, brands, and trends. This reflects in how retailers have shifted their retail strategies in recent years<\/a>– shifting to influencer marketing, topical push notifications, targeted ads, 8-second promotions, and more. A projection by App Annie<\/a> even indicated that $290 billion would be spent on mobile advertising by 2022, as more and more businesses opt for digital-led promotions for younger consumers.<\/p>\n\n\n\n

Overall, Gen Z’s unique approach to eCommerce is transforming the retail strategy and forcing brands to adapt to their changing expectations- in younger, and more tech-forward ways.<\/p>\n\n\n\n

The (Purchasing) Power of Gen Z <\/strong><\/h2>\n\n\n\n

Born between the mid-1990s and mid-2000s, Gen Z has come of age in an era of economic uncertainty, with many of them witnessing the effects of several financial crises over the years. In 2023, a large segment of this generation has begun to earn its own paychecks, making massive financial decisions regarding education, and many have moved away from their parents\u2019 homes, opting to live and support themselves independently. However, this varies from household to household, and has resulted in a massive disparity in individual disposable incomes and budgets, and consequently, buying behavior,<\/a> even against that of earlier generations.<\/a> This year, our research indicates that Gen Z intends to reduce their spending substantially compared to older generations, in light of the recession.<\/p>\n\n\n\n

Further, as Gen Z is cognizant of rising prices and shifting wages<\/a>, it tends to be particularly cost-conscious<\/a>. This focus on price has made them highly responsive to discounts and promotions. According to a survey by IBM, Gen Z is more likely than other generations to use coupons and discount codes, with many young shoppers often seeking out such deals on their mobiles in-store. However, this does not imply any compromise on quality. Today, it is common for young shoppers in fashion and beauty stores to research product \u201cdupes\u201d to replicate the benefits of high-end or luxury items at a fraction of the cost. Many Gen Z consumers also feel alienated from luxury brands and are extremely critical of online personas, brands, and influencers who position merchandise and product launches at exorbitant price points<\/a>, boycotting and debunking misleading brand messaging.<\/p>\n\n\n\n

<\/p>\n\n\n\n\"Consumer<\/a><\/span>