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Retailers should embrace ‘budget-conscious’ and ‘thoughtful and considered’ Gen Z shoppers to boost slow retail spending growth, according to new research

by Fiona Briggs
June 12, 2025
in Data
Reading Time: 4 mins read

New YouGov research released today shows the majority (95%) of Gen Z wouldn’t describe themselves as  ‘impulsive’ when it comes to shopping, with ‘budget conscious’ (25%) and ‘thoughtful and considered’ (20%) coming out top – contradicting the view that they are a generation of shoppers driving fast fashion and frictionless consumption.

The research commissioned by Snapchat UK and Portas Agency, explored the shopping habits of 2,000 Gen Z, to help spark change amongst UK retailers facing declining growth. It found Gen Z go through a period of discovery that blends real and online retail experiences – however, when they’re ready, three quarters (76%) want to buy ‘exactly what they want, when they want, as soon as possible’ – a digitally-native generation who’ve grown up with a world ‘on-demand’.

Connection over consumption:

  • 70% say they find shopping more appealing when they can save or capture items they like to review and purchase later
  • 57% said when shopping online, they leave things in their basket for days/weeks
  • 53% people said it takes them over two days to decide to buy something
  • 58% said they’re inspired to buy something when they’ve had time to think about it and it feels right
  • 35% said they find shopping more appealing when they are able to virtually try-on products

The research also explored how Gen Z ‘hang out at the mall’ with 58% opting to shop as a form of entertainment, highlighting the opportunity for brands to resonate on a deeper level by injecting innovative ways for Gen Z to socialise within their retail spaces.

Shopping is still social:

  • 42% agreed that they treat shopping like a social activity
  • 52% said they’re likely to share something they like online with friends through a picture/message
  • 47% said they shop for fun and save things for later
  • 48% said their preferred method to discover a new shop/brand would be recommendations from friends/family
  • 22% said it would be from an influencer/creator content recommendation

Snapchat’s latest insights highlight a golden opportunity for brands and retailers to capitalise on Gen Z’s unique shopping preferences, tailoring retail experiences to offer greater value and build deeper relationships.

With the majority of Gen Z (52%) likely to share something they like online with friends through a picture/message and Snapchat’s unique reach of 90% of 13-24-year-olds and 75% of 13-34-year-olds, this research highlights the significant potential for retail engagement, particularly on Snapchat, connecting brands with shoppers looking for inspiration. With many (53%) taking over two days to decide to buy something and 58% saying they’re inspired to buy something when they’ve had time to think about it, this period offers a window of opportunity for advertisers to boost engagement and sales.

The research was launched at the Snapchat Shopping Season event on the 12th June 2025 and follows a series of other Snapchat retail events including  Snap Street, an immersive pop-up that worked with retailers like Depop and Boots to imagine what a high street might look like in the future and to help shoppers visualise how different products look on themselves, using AR Mirrors.

Earlier this week, Snap Inc also announced the public launch of new lightweight “Specs” in 2026. Spectacles are Snap’s augmented reality (AR) glasses, which are currently only available to developers, but allow people to interact with virtual objects in the world around them. For shoppers and retailers, these AR glasses, which bring together AI and AR, have the potential to transform virtual ‘try-ons’, creating a hybrid shopping experience, where people can see how items look on themselves.

Ronan Harris, president of EMEA at Snap, said: “In the future, we believe the powerful convergence of augmented reality, optical AI and Specs will transform the way people live and shop – bringing this technology seamlessly into the real world. When it comes to retail, we see Gen Z as a turnaround opportunity. By 2030, Gen Z will contribute more wealthy people to every region in the world** – dispelling the myth they are the “most broke generation ever”. But there is also a huge opportunity right now, 70% of our community are using Snap’s augmented reality every day, with our AR Lenses used 8 billion times per day. Our research shows Gen Z want connection over frictionless consumption, with more than a third highlighting the appeal of virtual ‘try-ons’ – a technology that hasn’t been adopted by the majority of retailers yet.”

Mary Portas OBE, broadcaster, author, activist & founder of Portas Agency, said: “It’s bloody tough for retail right now. It didn’t surprise me to read this week that UK retail spending growth slowed to its weakest pace this year, with the British Retail Consortium announcing that consumers had ‘put the brakes on spending’. But moments like this are exactly when the future is built. And the future belongs to the retailers who understand people – especially the next generation shaping culture. Gen Z expects speed and convenience; but what they really crave is real human connection, meaning and shared experience. My team and I call this WE-Commerce: experiences that build social capital, spark belonging, and make brands truly magnetic. This is how the smartest retailers will win. Let’s not let this crisis paralyse us. Let’s unleash our creativity and make shopping better, more human, more joyful and magical than it’s ever been”

 

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