Gen Z is a prominent generation starting to establish their shopping habits and behaviors online. As digital natives, this group of consumers already expects flexible shopping options and for brands to meet them where they are. Personalized services, a seamless experience, and convenient options will dominate Gen Z’s purchase journey – all fueled by their desire to leverage technologies along the way. Unafraid to say what they want and stand for what they believe in, brands will need to look for opportunities to engage with this generation and cultivate relationships with them based on sustainability, DEI initiatives, and establishing welcoming communities.

As teens still make up almost half of this group, brands must also factor in the parents’ role of teen shopping habits. Still developing their own processes, brands should look to connect with teens early to be on their radar and position themselves as a trusted source so as to establish a relationship leading into adulthood.

• The impact of COVID-19 on Gen Z adults and teens.

• The need to connect with teens early as they start their shopping exploration.

• Promoting DEI and sustainability initiatives to appeal to Gen Z.

For the purposes of this Report, Mintel has used the following definitions:

Gen Z: consumers aged 11-24 in 2021

Gen Z teens: consumers aged 11-17 in 2021

Gen Z adults: consumers aged 18-24 in 2021

This Report builds upon Mintel’s eCommerce Behaviors: Gen Z vs. Millennials: Incl Impact of COVID-19 – US, June 2020.

This Report includes consumer research fielded in February 2021. The Report was written March-April 2021, and the analysis reflects the state of the pandemic during this time.

Mintel’s economic assumptions are based on CBO estimates released on February 1, 2021. The CBO’s previous forecast for US GDP to fall by 5.8% in 2020 was revised after a stronger second half of the year and the updated estimate indicates negative 3.5% GDP for the year. The CBO forecasts GDP to grow by 4.6% in 2021 and projects unemployment to continue to fall to average 5.7% for the year.

The first COVID-19 case was confirmed in the US in January 2020. It was declared a global health pandemic and national emergency in early March 2020. Across the US, various stay-at-home orders were put in place in spring 2020, and non-essential businesses and school districts closed or shifted to remote operations. Consumers shifted to online shopping across categories to meet their needs and remain safe at home. The remainder of 2020 saw rolling orders, as states and local governments relaxed and reinforced guidelines according to the spread of the virus in each region. Younger generations were particularly hit hard by unemployment as part-time and summer jobs were eliminated due to restrictions.

Vaccine distribution began in December 2020, and it is expected take anywhere from July to December 2021 for 70-90% of the population to be vaccinated to reach herd immunity. Mintel anticipates business operations in the US will remain in a state of flux through 2021 as the vaccine is widely administered.