First it was the Baby Boomers, then Generation X, followed by the much-talked-about Millennials, and now, Generation Z. Born between 1994 and 2010, Gen Z are fast becoming an increasingly important consumer segment in today’s market, not to be ignored – or pigeonholed together with the Millennials, writes Cybertill’s Ian Tomlinson …
A generation basically raised on Swedish meatballs and flat-pack furniture, Generation Z are not an anomaly. Their behaviour holds the key to future consumer shopping preferences and the future of retail, and our latest research has uncovered UK-specific detail about consumer habits of these new-wave shoppers.
Gen Z want a DIY approach to high street shopping, and that also applies to furniture retailers. Less bothered about brand or being entertained than their older, Millennial counterparts (those aged 25-34), Generation Z care more about quick, succinct, seamless experiences, in real time.
If you think Gen Z are too young to be your target audience, think again. According to a YouGov Omnibus Parents Survey examining kids’ influence on their parents’ buying decisions, children are “active decision-makers in family economies”.
And, of specific interest to the furniture industry, a Gen Z study from professional services firm EY states that children influence 32% of household decisions. With the internet at their fingertips, and a penchant for productivity, Gen Z are likely to carry out research for their parents, especially when considering products that require a complex decision process, such as DIY or kitchen planning.
Here are five ways furniture and DIY retailers can appeal to Gen Z:
1. Enable ways for customers to help themselves
Gen Z are very much a self-service generation. 65% of Gen Z get frustrated when shop staff approach them in-store, so furniture and homeware retailers targeting the Gen Z demographic should ensure they offer tools to help Gen Z help themselves, such as self-stock check either in-store or online, or even self-checkout, where appropriate.
2. Make sure your shop staff are educated product evangelists
65% of Gen Z get frustrated when a shop assistant seems less knowledgeable about products than they are, which may add to Gen Z’s dislike of in-store help. Ensuring that your shop staff is knowledgeable about your products as well as other products in the market will help establish their credibility with consumers if they do ask for help in-store.
3. Provide your full product catalogue online
Even if it might not be possible for customers to buy all of your stock online, showing what is available in-store is really helpful. When it comes to buying home and DIY products, such as furniture, only 3% of Gen Z shop solely online, but 48% of Gen Z shopped across multiple channels as they made their buying decisions for furniture.
It would be a nice touch to provide stock levels in-store as well, but do ensure they are accurate, as 86% of Gen Z are most frustrated when an item is marked in-stock in-store online, but not actually there when they go to buy.
4. Consider a smaller-format showroom
More stores are considering smaller-format stores in city centres, using them as showrooms with extended aisle technology available through good mobile PoS platforms or touch screens. This could be a good way forward for furniture retailers to appeal to a Gen Z audience without taking up too much space in a city centre location.
5. Invest in an app, or just direct to helpful resources
Anything that simplifies a complex buying journey will help keep your brand top of mind for Gen Z customers (and their parents!). If you sell sofas, for example, consider investing in an app that allows customers to visualise that sofa in their homes. Or if you offer kitchen design services, make an applet online that allows customers to construct their own. If you can’t afford to fully integrate, why not simply direct your customers to free tools such as FloorPlanner or Google SketchUp?
Even if you can execute just two of these suggestions, you’ll be well on your way to appealing to the next generation of big spenders.
Every retail sector is different, and the buying journey for furniture purchases is especially complex. But implementing any changes that make it easier for your customers to buy your products can only bring more business your way.
Ian Tomlinson is the CEO and founder of cloud-based retail technology company Cybertill, whose solutions have been designed to provide a real-time single view of stock, sales and customers across all touchpoints. Cybertill’s RetailStore and CharityStore platforms are employed by over 700 retail, charity, and visitor attractions globally, and help process over 64 million transactions each year. Download Cybertill’s full Gen Z Market Research Report here.
Read this article and others like it in Furniture News magazine.
