64% of Gen Z prefer stores

Generation Z may be the youngest and most tech-savvy group of shoppers, but its members still value the physical experience of stores, with 64 percent preferring to shop brick and mortar.

This group currently makes up 25 percent of the total U.S. population and wields $44 billion in buying power, according to a new study by Interactions. The oldest member is just 19 years old, but "this multitasking, tech-savvy cohort is about to turn the retail industry on its head," Interactions noted in a statement announcing its newly released report, "The Next Generation of Retail."

"Generation Z is constantly connected to technology, which retailers may find intimidating to overcome when it comes to in-store engagement," said Interactions President Bharat Rupani. "However, our study found that this group is longing for retailers to provide an engaging in-store experience. In fact, when given the choice, over 64% prefer shopping in-store versus online."

While the majority of Gen Z like to shop in stores, close to 75 percent also prefer retailers that provide an engaging in-store experience citing cleanliness, friendly and knowledgeable associates, and a positive checkout experience as their top three preferences.

This group does not have strong brand loyalty: 81 percent are willing to switch for a similar product of better quality, and 79 percent don't care if a product is from a national or private brand as long as it's of good quality.

But a vast majority – 80 percent – are willing to sign up for loyalty cards in exchange for deals and discounts. This is a very thrifty group that would rather spend on experiences vs. material items. Most of their weekly budget is spent on food (80 percent), while 48 percent allot their money towards experiences with friends.

For more:
- see this Interactions press release

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