US Gen Z wants physical stores to evolve despite frustrations: Survey

Gen Z’s frustrations with long lines, crowded spaces and out-of-stock items reflect it wants stores to work for them like the digital world does—instant, personalised and frictionless.

Retailers who can’t adapt risk losing this generation to the more fluid and responsive e-commerce spaces they trust, the report cautions, adding that Gen Z is not just a consumer group—it is a force pushing brick-and-mortar stores to become smarter, faster and more intuitive.

Contrary to the belief that this digital-native generation shuns physical stores, 69 per cent of 18-24 year-olds (Gen Z) shop in brick-and-mortar stores weekly. Yet, they are leaving those stores empty-handed more often than any other group due to the heightened frustrations that hinder their willingness to complete purchases.

Sixty-six per cent of Gen Z cited long queues as their biggest pain point, followed closely by crowded aisles (55 per cent) and difficulty finding items (47 per cent).

These issues contribute to 35 per cent of Gen Z shoppers leaving stores empty-handed. As 50 per cent report stock shortages as a major reason for bailing on purchases, it is clear that retailers need to prioritise addressing these challenges to prevent Gen Z from shifting back to online alternatives.

Despite the obstacles, Gen Z is increasingly open to technology-based solutions in stores. A notable 42 per cent of US Gen Z shoppers are eager to use self-checkout kiosks or cashier-less checkout, both of which could drastically cut down on wait times and enhance the overall shopping experience.

Additionally, 27 per cent of US Gen Z shoppers are very interested in artificial intelligence-powered chatbots for personalised support.

Social media remains a major influence on Gen Z shopping habits, with 24 per cent of them making purchases based on social pressure—significantly higher than older generations, where only 4 per cent report the same.

Additionally, 23 per cent of Gen Z shoppers are driven by viral trends on platforms such as TikTok and Instagram, underscoring the importance of social media in shaping their in-store decisions.

Impulse buys also reign supreme for this group, with 70 per cent of Gen Z drawn in by limited-time offers and 50 per cent by eye-catching displays or packaging.

Fibre2Fashion News Desk (DS)