Reshaping The Future of Shopping: Gen Z Turning to Digital Fashion

Fashion | Technology

29.04.2022

Gen Z is the new consumer generation that is changing the future of shopping. The articles and studies about this generation made headlines as businesses around the world are trying to understand who Gen Z-ers are and how to cater to their needs.

Often referred to as “digital natives”, Generation Z is gaining more importance year on year and is expanding its influence changing the way companies do business already today.

Who Are Generation Z and What Makes Them Different?

The term Gen Z refers to those who were born between late 1990s and 2010s, already representing 40% of global customers in 2020. Although this generation hasn’t yet reached the peak of its purchasing power, they continue entering the employment market, and will become the most powerful consumer group in 10-15 years.

Growing up with the rise of technology and connectivity, Gen Z-ers have never seen the world without the internet and mobile devices, which is one of the defining factors in shaping their outlook on life. This resulted in a creation of a hypercognitive generation that is very comfortable with researching and cross-referencing various information sources, as well as with integrating offline and online experiences. Having vast amounts of information available at their disposal,

Gen Z are also more pragmatic and analytical than previous generation when making decisions. Such grounded and realistic stance can also be explained by the times of global economic uncertainty and the coronavirus pandemic that Generation Z has lived through.

“60% of Gen Z want to make a positive difference in the world with responsible retail being a big part of it.” - Marketo

Research by McKinsey characterises Gen Z as “True Gen” that is searching for truth and authenticity generating greater freedom of expression and greater openness to understanding different kinds of people.

This search for authenticity also extends to Generation Z purchasing behaviour as they expect businesses to “take a stand” and have a clear and consistent policy regarding socially or environmentally important matters. Such acute awareness of social and environmental responsibilities is one of the main qualities that differentiates Gen Z from other generations as nine in ten Gen Z consumers believe that businesses have a responsibility to address these issues.

The Rise of Social Commerce

In addition to putting social and environmental concerns at the core of their purchasing decision making, Gen Z are true digital natives with high expectations for digital services. In fact, 76% of Gen Z consumers are in favour of digital services and products according to SalesForce.

Being raised on social media, they crave interactive and smooth digital experiences with three quarters of Gen Z-ers expecting new and exciting experiences when shopping online. In other words, this is the first generation that is actively seeking interactive, unique, and digital services as a part of their shopping experience.

“83% of Gen Z view shopping as an experience rather than a transaction.” - Sitecore

Gen Z are also believed to be the main driving force for the rise of social commerce with 97% of Gen Z consumer using social media as a key source of shopping inspiration.

Spending on average 4.5 hours a day on social media, Gen Z heavily rely on their peers and product reviews when it comes to the most important purchasing factor – Trust. As a result, the number of followers and likes that one has on social media has become the new currency that determines the level of credibility and trustworthiness of a person or brand.

Gen Z Driving the Popularity of Digital Fashion

Digital clothing is becoming the next big fashion trend powered by the Covid19 pandemic, sustainability concerns and Gen Z shopping habits. Whilst for many buying clothes that don't exist in real life is one step too far, for Gen Z this is a perfect way to produce creative content for social media, have fun and reduce waste at the same time.

The breakthrough in AI technology powering virtual try-on solutions has been the catalyst that helped with spreading digital fashion to the masses.

The first of its kind collaboration of a tech brand “Texel.Moda”, and a digital fashion house “Replicant.Fashion”, resulted in a unique product - Digital Clothing Virtual Try-on Bot for Telegram. This bot technology allows users to try on digital outfits in a matter of seconds whilst putting sustainable fashion at anyone’s fingertips.

The technology works in a way that users simply need to upload a front-facing full-length photo of themselves, and they will then be able to try on any outfit they like. Such an entertaining and waste-free experience soon became a hit on social media amongst Gen Z consumers. They were keen to share their new digital looks on Instagram, and they did so with force.

As such virtual try-on technology has the potential to make digital clothing available on a mass scale, it also gives consumers the freedom to be fashionable and creative without the environmental costs involved in regular fashion. This combination of digital experience and environmental consciousness makes digital fashion and virtual try-on technology the ultimate tool for engaging with Gen Z consumers.

Would you like to find out more about how virtual try-on technology can benefit your fashion business?