Shopee’s ‘The Future of Shopping’ study reveals 7 in 10 Gen Z shoppers choose e-commerce as research source for informed spending

    Shopee, the leading e-commerce platform in Southeast Asia and Taiwan, officially unveils the ‘The Future of Shopping: Engaging Generation Z Shoppers in the Digital Era’ study. The study discovered that seven in 10 Generation Z (Gen Zs) consumers aged 18 to 24 leverage e-commerce platforms as the primary touchpoint in their shopping journey. This highlights a critical shift, with Gen Z actively utilising these platforms to gather information and conduct in-depth research before committing to a purchase.

    Photo of a woman holding paper bags. Fashion and beauty conceptual photo. Photo by Freestocks / Unsplash / NHA File Photo
    Photo for illustrative purposes only. | Photo by Freestocks / Unsplash / NHA File Photo

    Findings revealed a continued preference for e-commerce platforms despite exploring alternative channels for product research and discovery. A significant 68 per cent of Gen Z respondents demonstrate a higher purchase completion rate on e-commerce platforms. 18 per cent of Gen Zs prefer to explore products on social commerce platforms, while the remaining 14 per cent opted to finalise transactions through other channels.

    Enhancing Service Quality for Gen Zs

    Interestingly, when asked, “What information do you search for when shopping for a product?”, a significant 67 per cent actively seek out positive recommendations, emphasising the importance of high customer reviews and influencer endorsements. This focus on external validation aligns with their value for user trust. They view clear communication of product benefits and effectiveness as justification, prioritising products that deliver strong value for money over affordability (16 per cent) and quality (17 per cent).

    Infographic: 'The Future of Shopping' - Engaging Generation Z Shoppers in the Digital Era. Source: Shopee
    Infographic: ‘The Future of Shopping’ – Engaging Generation Z Shoppers in the Digital Era | Source: Shopee Malaysia

    While two-thirds of Gen Zs complete their purchase journey within a day, another third dedicate at least five days to in-depth research, demonstrating meticulous research habits. This extended research phase prioritises reviews and video demonstrations to ensure product performance and user satisfaction.

    Ming Kit Tan, Head of Marketing and Business Intelligence at Shopee Malaysia, said, “Gen Zs in Malaysia are more than just online shoppers; they’re digital explorers who leverage e-commerce for deep dives and informed decisions. They crave a seamless, dependable, and unified shopping experience.”

    Tan added that brands can cultivate trust through authentic user-generated content and crystal-clear product information, which presents a golden opportunity to leverage affiliate marketing and Shopee Live.

    “By prioritising their needs, we can continue to be the leading destination for Gen Z’s shopping journey,” concluded Tan.

    Enlivening Shopping Experience

    When asked why Gen Zs are choosing e-commerce platforms for purchase, nearly 82 per cent cited the platforms’ extensive product variety and brand selection, competitive pricing, and guaranteed quality as key factors. The remaining 18 per cent make informed decisions based on a platform’s reputation and personal experiences. This highlights Gen Z’s data-driven approach to shopping, where they actively utilise platform functionalities to validate purchases before committing.

    A significant difference emerged among Gen Z shoppers regarding the most impactful attributes influencing their choice of purchase channel. Established fulfilment practices, encompassing flexible shipping options, on-time deliveries, and real-time order tracking, were prioritised by a dominant two-thirds of respondents while the remaining third prioritised a seamless checkout experience and product search convenience. This finding underscores the critical role of trust in fulfilment practices in securing Gen Z’s loyalty.

    In response to these evolving shopping behaviours, Shopee introduced the 15 Days Free Returns, No Questions Asked* programme. This policy empowers buyers with unprecedented flexibility by offering “Change of Mind” returns on eligible items with “No Questions Asked” for hassle-free returns, fostering a culture of unwavering customer trust. By prioritising customer satisfaction, Shopee is streamlining the shopping journey and providing users with the ultimate peace of mind.

    Survey Methodology

    • The “The Future of Shopping: Engaging Generation Z Shoppers in the Digital Era” survey was conducted by Kantar’s Profile division, between 31 January and 5 February 2024. Voluntary feedback was obtained from 400 Malaysians.

    Source: Shopee Malaysia