Younger Shoppers Turning to Alternative E-Commerce Sites
28 June 2019 - 16:49 by Graham Miller
The latest report from Wunderman has revealed that consumers who fall into the Gen Z age category are increasingly disillusioned with big name online retailers like Amazon and are instead choosing to harness other sites when carrying out safe shopping online.
While Amazon may enjoy a 36 per cent stake in the global e-commerce market, it is proving less of a hit with those aged between 16 and 24, largely as a result of ethical issues.
Close to a fifth of Gen Z consumers questioned in the study said that they would usually take the reputation of any retailer into account before committing to a purchase, which can be an issue when it comes to Amazon due to aspects such as its tax affairs and its treatment of low-level workers.
Meanwhile, almost two-thirds of young consumers said that they did not take advantage of search engines to find products, instead relying on social media to point them towards their next purchase.
If Amazon’s grip on the e-commerce market is loosened due to the emergence of a new ethics-driven generation of consumers, it may result in a significant shift in the balance of power. Alternatively, it may persuade Amazon to take action to address the deficiencies of its services and instead provide more forward-thinking policies to convince younger customers that they can shop with it confidently.
Even with this in mind, the report still found that price was a significant factor in shaping the shopping decisions made by consumers of all ages. The better value for money that is offered, the more likely that customers will be lured away from sites they use regularly.
Since Amazon has the power to drive down prices to more competitive levels than any other site, this suggests it will not be knocked from its perch quite yet.