At least one group of people is eagerly heading out to stores this Christmas season, and they don’t appear to care much that inflation is eroding their spending power.
They belong to the generation known as Gen Z. It’s also significant how they shop.
These shoppers, born between 1997 and 2012, are part of the country’s second-fastest growing demographic, right behind Millennials. Together, this group is projected to increase from its current 60% of the population to 70% by 2028, according to a report from Cowen Equity Research.
Many young online buyers also took advantage of extraordinary online-retailing discounts. For example, Promocodius offered a comprehensive selection of discount codes for a bunch of online sites and the smartest of the Gen Zs took advantage.
In-store And Online Shopping
NPD’s apparel sector analyst, Kristen Classi-Zummo, said that the large number of members of Generation Z who shopped on Black Friday stood out. Younger shoppers flocked to the stores in droves, treating Black Friday like a night out with friends. They gathered early, brought company, and were prepared to do some retail therapy. She was taken aback by many young people out shopping on Black Friday and during the Thanksgiving holiday weekend. She claims to have never witnessed anything like that before.
PREIT, a mall owner with 18 properties mainly on the East Coast, has confirmed the presence of a large number of Generation Z shoppers.
Some of the best anecdotal sales reports were from leading Gen Z brands and fashion department shops, according to PREIT CEO Joe Coradino, who also noted that they observed consumers of all ages throughout the Black Friday weekend.
The National Retail Federation estimates that over 123 million people shopped at traditional stores on Black Friday and the days surrounding it, an increase of 17% from the previous year; conversely, the number of online shoppers grew to 130.2 million, albeit at a much more modest rate of growth of 2%.
A record number of Americans reportedly shopped throughout the five days from Thanksgiving to Cyber Monday, with sales up 10% year over year, according to the organization.
Although discounts and promos were the major determinants of what was bought, some other factors were also considered.
Clothing is an area where millennials and Generation Z shoppers struggle, but there are signs that this generation is becoming less price sensitive while remaining brand loyal.
Users of social media sites like TikTok and Instagram reportedly determined the “it” brands of the moment.
Teenagers who are continuously looking for the latest trends may not necessarily put finding a good deal first on their list of priorities.
Price increases over the past 40 years have had an effect on how the millennial generation shops.
Classi-Zummo has stated that they will purchase the products on their wish list that are really necessary, regardless of cost, and may return the extras.