September 26, 2017
Millennials currently make up the most coveted demographic for marketers—they are the youngest age group whose members have jobs and purchasing power—but the effort to figure out the generation behind Millennials is on. Born between the mid-1990s and the mid-2000s, the generation known as Gen Z or the iGen have known no other world but a connected one. A new study undertaken by e-commerce processor and acquirer Adyen to get to know them says they are more frugal and apt to use their devices to research on their own than to communicate with retailers through chat or in-person. From a payment perspective, they also have some skepticism associated with digital technology.
Despite attention in recent years on making it possible to transact through social messaging platforms, U.S. Gen Zers are still hesitant to do so: Only 26 percent of those polled said they would buy something via a messaging app (compared to 29 percent of Millennials). From an authentication standpoint, a full 35 percent said they do not want to authenticate e-commerce purchases using a biometric.
What they do want, the report found, is augmented and virtual reality shopping options. Forty-four percent said they hoped the technology to shop and pay through AR and VR would be available in the next 12 months. “Just walk out” technology, like Amazon introduced with its Amazon Go concept currently testing in Seattle, is also high on Gen Z wish lists in the next year. Nearly 40 percent said they would like to be able to walk into stores, choose items and have them automatically charged to an online account.