Here’s How Shopping Habits By Generation Impacts Retailer Success

Amazon’s 2024 Prime Day sale has shattered previous yearly records by selling more than 200 million items across 35 categories.

For shoppers this might not mean a whole lot, but to retailers and marketers it unearths a wealth of information surrounding shopping habits according to generation and their preferred purchase path. With this knowledge, shopping experiences can evolve to meet consumers where they frequent most, with what they wish to see.

Shopping habits by generation isn’t a new concept. Think about the last time your teenager got as excited over a new hoover as you did. Or when the last time you cared about purchasing the latest trending skincare was. Our point here is that your Amazon basket – and any other ecommerce basket for that matter – will look vastly different to that of someone of a different generation. 

For retailers looking to impact the baskets of each generation, marketing strategies must differ. 

But what should they be looking out for in order to do so?

Read on to discover just how crucial it is for modern retailers and marketers to understand different shopping habits by generation.

The Millennial vs. Gen Z divide

Shopping habits by generation are largely determined by reactions to trends. 

Take the famous sock debate for example. Where Millennials will die on the hill that champions the ankle sock, their Gen Z counterparts idly stand by mocking their choice as they rock those which are much longer. 

@teamlewis_belgium

The socks say it all. 🧦 #fyp #foryoupage #genz #millennials #agencylife #socks

♬ original sound – Nathan Ellgen

Throw social media into the mix, known for the birth and circulation of new trends, and you open up the floor for even more generational divide. 

For brands and retailers hoping to serve customers both over and under the age of 25, the viral Gen Z vs. Millennial divide presents a conundrum: How to join the latest trends without alienating older, more conservative shoppers? 

While Gen Z may be inventing new styles, it’s Millennials who still hold the spending power – for now. The average American shopper between ages 35 and 44 spent $2,632 on apparel in 2022, according to the US Bureau of Labor Statistics, more than double the cohort under 25. 

While the spending prowess and shopping habits of Millennials define the most popular styles on the market today, Gen Z is undoubtedly on its way to reshaping the future. For example, while Millennial-approved high-waisted jeans continue to be the most popular rise among retailers, accounting for 29% of all styles, the selection of low-rise jeans is on the up, increasing 30% year-on-year thanks to younger consumers advocating for their fashion faves.

@gracetutty

the millennials get war flashbacks from low rise jeans i swear 😭 #lowwaisted #highrisejeans #lowwaistedpants #highwaisted #millennial #genz #genzvsmillenial #genzvsmillennials #millenialvsgenz

♬ original sound – bobsburgersvids

Leveraging shopping habits by generation

Focusing too much on age can be a trap for marketers. Rather than equating shopping habits by generation to the specific items purchased, it’s wise to delve deeper into how they’re purchasing these items.

“The biggest difference we have observed between generations is, surprisingly, not what they are buying, but how they are buying,” Emily Safian-Demers, director of insights at Front Row, told Glossy. “The biggest difference seen [in our Amazon research] is the path to purchase.” Gen Z shopping habits are largely determined by social media and the products discovered on their favourite platforms. From here, they are increasingly more motivated to purchase said product on Amazon rather than on a social app or following a link to an outside retailer. 

This behaviour is tied to access. According to Front Row, 43% of skincare shoppers between the ages of 13-18, and 69% of 18 year olds, have their own Amazon account, granting them that all-important access to newly-discovered products. 

Where shopping habits by generation become more apparent is in each consumer’s intentions when heading to a retailer like Amazon. A Gen Z consumer comes to Amazon knowing exactly what they want, whereas the purchase path for a Gen X or Millennial consumer will start here by searching for a specific product or category. This is reflective of the mindset of different generations. Older generations tend to view Amazon as a one-stop-shop.

With Gen Z frequenting social media platforms most, they are more prone to being driven by Amazon product testimonials and reviews found outside of the retailer’s home. This speaks to their desire to seek third-party validation before making a purchase. In fact, 49% of teen skincare shoppers say social media plays a factor in their skin-care purchasing decisions, ultimately telling marketers that their particular purchase path is very much guided by outside sources and so this is where they should be targeted.

@aamnaadel

a dermatologists brutally honest review of the 5 best selling skincare products on Amazon 💁🏽‍♀️👀🫢 #dermatologist #dradel #skintok #skincare #skincareroutine #skincaretips #product #productreviews #amazonfinds #amazon #amazonmusthaves #skincarereview #skincareproducts #foryou #fyp #fypシ゚ #pimplepatch #snailmucin #micellarwater

♬ Chopin Nocturne No.2 Op.9-2(1391533) – 314P

With more and more brands vying for the attention of these shoppers, Amazon ads are becoming more alluring. According to media company Tinuiti, its clients increased their ad spend within Amazon’s DSP-powered display and video placements over Amazon Prime Day by 200% in 2024 versus 2023. This is partially due to the rising costs within Sponsored Ads, Amazon’s search advertising placements, which is part of the rising cost of customer acquisition online. 

Ultimately, while the acknowledgement of shopping habits by generation is crucial for the modern marketer, this is to be spearheaded by a deeper understanding of the purchase path of each generation rather than the items themselves.

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