According to Mintel’s survey, Nearly 47% of Gen Z shoppers are actively trying to shop less at Amazon compared to 20%.
While Amazon maintains its position as the most shopped brand for US online shoppers (84%), some demographics, like Gen Z, have multifaceted and evolving opinions of the E-commerce giant. Mintel data shows that nearly half (47%) of Gen Z shoppers are actively trying to shop less at Amazon compared to 20% of Baby Boomers and 40% of Millennials. Furthermore, six in 10 (60%) Gen Z shoppers agree that Amazon is too powerful, and 39% are tired of hearing about the E-commerce giant.
Diana Smith, Associate Director, Client Advisor, Retail & E-commerce, Mintel, said, “The allure of Amazon continues to have a strong hold over most online shoppers. However, it may not always be the first choice for Gen Z shoppers. Their shopping habits indicate a preference for personalization over privacy. They are inclined to discover new brands, which may not always align with Amazon’s mass appeal. Amazon and other mass merchandisers may need to rethink their Gen Z strategy to increase loyalty from this demographic. The key lies in understanding how this generation thinks, shops, and perceives the world around them, which points towards unique and tailored shopping experiences.
“Retailers can remain competitive with Amazon by maintaining an active community presence through corporate social responsibility (CSR). Brands can adopt a local business mentality through meaningful CSR efforts. They should actively participate in the communities they serve, get customers involved, and lead efforts with dedicated, genuine conviction,” Diana added.
According to Mintel research, E-commerce sales are expected to reach $1.2 trillion in 2024, a 9% increase over 2023. This expansion will continue, with a 36% increase anticipated over the next five years (2024-28).
