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YOUNGFASHIONABLE

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How younger consumers are shopping for fashion

Millennials and Gen Zs, again?

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Marketers appear to have become obsessed with younger consumers. There’s a constant stream of content being published describing the “unique” behaviour of Millennials and Generation Zs, recommending the best approaches to reach and engage with them and describing how they’re disrupting almost every aspect of life from the workplace to the high street. Whatever you think of these reports, there’s no denying that Millennials and Gen Zs are becoming increasingly influential and represent a high, and growing, share of purchasing power worldwide. They have grown up experiencing some of the most rapid technological advances the world has ever seen – changes that have not only influenced their behaviour but also their belief systems.

The behaviour of younger generations is often a precursor to cultural shifts in society so it’s no surprise that brands are keen to engage with this group as they represent the fashion consumers of the future.

To help understand their motives and habits, TranslateMedia has partnered with Drapers to survey over 2,000 consumers aged 18 to 38 to find out how they shop for fashion and apparel. This report analyses the results of the study and provides some specific examples of brands and retailers that are actively engaging with consumers in these demographics.

Cultural shiftsCHAPTER ONE

Broadly, do you feel the fashion world is:

Would you describe yourself as loyal to brands?

Source: Drapers 2019


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0 5 10 15 20 25 30 35 40 45

Fun

Inspiring

Diverse

Welcoming

Educational

Too samey

Boring

Other

Confusing

Alienating

An opportunity for self-expression

Something I barely think about

Something I aspire to work in

Yes, I return to the same brands

a lot.34%

Relatively. I have a few favourites

but I'm always on the lookout for new brands.

49%

No. I shop with a wide range of

brands and return rarely.17%

Experiences over thingsTom Goodwin famously stated in 2015 that the world’s largest taxi firm, Uber, owns no cars. The world’s most popular media company, Facebook, creates no content. The world’s most valuable retailer, Alibaba, carries no stock. And the world’s largest accommodation provider, Airbnb, owns no property.

So, it's no surprise that the younger generation are less concerned with owning things and more interested in enjoying experiences and shopping for items that allow them to define and express themselves. They have grown up with the internet, are social media natives and comfortable with using technology and communicating their beliefs. They are inspired by celebrity influencers and are primed for consumer culture earlier than older generations but are still active in attempts to improve society and solve social and environmental problems such as climate change which also influences where and how they shop.

Young shoppers harbour a fairly positive sentiment about fashion. They find it fun, inspiring, diverse and they see it as an opportunity for self-expression.

Young and loyalIt’s not all doom and gloom when it comes to loyalty either. Contrary to popular belief, young fashion consumers don’t necessarily see themselves as disloyal, but instead, are keen to explore and engage with new brands. Over a third said that they return to the same brands often and almost half state that they are relatively loyal.

For legacy brands, taking a proactive approach to foster brand loyalty for young consumers now, rather than later, can work to their benefit – especially when competing with pure-play retailers such as Pretty Little Things. The UK-based womenswear brand attracted huge interest on social media after collaborating with US celebrities Kendal Jenner and Kourtney Kardashian in 2016 and 2017 respectively.

ASOS for inclusivityIn 2018, eCommerce retailer, ASOS made the bold move of creating its own collection specially targeted at Gen Z. The sportswear-inspired collection, Collusion, is "built for a new generation united in their pursuit for inclusivity and representation" according to its creators. This collection of sportswear and casual wear is gender-neutral and designed to be mixed and matched.

Coupled with a diverse and aspirational marketing campaign, the UK-based retailer also collaborated with niche influencers, fashion students and Gen Z activists which served to reinforce its message of authenticity and inclusivity. The retailer’s business model for the collection is to ensure it is ‘constantly evolving’ and to continue to recruit members of that demographic to keep the Collusion brand fresh and relevant.

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Online HabitsCHAPTER TWO

What do you enjoy about shopping online?

What would you like to see more of from brands online?


Source: Drapers 2019 4

0 5 10 15 20 25 30 35 40 45

Convenience-focused services (free returns, quick delivery and collect)

Better images

Fashion and styling advice

Buy-now-pay-later

Trend news

More diversity in the people who work in fashion

Other

More diversity in the models used

News about what models/celebrities/style icons are wearing

'Insider' content like interviews with designers, the CEO and the creative team

More product information (on manufacture, fit or styling the product)

Better fit technology - e.g. avatars fit predictors

More video of people wearing items

The hunt for a

bargain

The convenience

To avoid going into

stores

It's inspiring

I don't shop online

OtherDiscovering new brands via blogs, websites

and social media

It's relaxing

It's fun0

60

50

30

20

10

40

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Make it easyIt’s no surprise that more than half of the respondents said that convenience is what they valued most. After all, they’ve grown up with fast food, fast fashion and instant access to information over the internet. In fact, when asked about what they wanted to see more of from brands, convenience-focused services proved to be the most popular.

Payment is another part of the shopping process that scores highly with young fashion shoppers; some 82% say it is either very or quite important. Some of the biggest barriers faced by young shoppers centre around delivery: in particular, having to wait for their purchases, having to pay for deliveries and returns and issues around inconvenient and unpredictable delivery times.

It's clear that younger consumers expect other aspects of their shopping experience to be just as easy, quick and convenient as purchasing goods online.

Shopping across bordersYoung shoppers in the UK also have an appetite for cross-border shopping. In fact, nearly 60% of Millennial and Gen Z consumers purchase clothing, shoes or accessories from overseas brands either sometimes or often.

Cheaper products and finding items that are unique in their market are cited as the biggest reasons for purchasing goods abroad. Many younger shoppers also find international brands more appealing.

In fact, with the increased accessibility of localised websites, improved logistics and a variety of payment options now available, cross-border eCommerce has been outpacing domestic growth with a compound annual growth rate of 17% since 2017, compared with 12% for eCommerce as a whole. This growth is predicted to continue well into 2022.

Cheaper products and finding items that are unique in their marketare cited as the biggest reasons for purchasing goods abroad.

THE ROLE OFPRODUCTDESCRIPTIONS

While editorial content is an important part of the shopping experience, getting product page content right is crucial if you want consumers to feel confident enough to purchase your products online. 95% of those surveyed read product descriptions either every time or sometimes.

What they look out for the most is information on fit, materials used, care instructions, information on provenance and ethical sourcing.

Remember, product pages should include all the information that a customer needs to make an informed purchase decision without having to navigate to another page to find out more.

If you’re launching ethical products or repositioning your brand for the integrity economy, updating your product descriptions to reflect this can be used to your advantage.

BUY NOW

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Pretty clever thingsPretty Little Things creates detailed product descriptions including size guides, fabric composition, care information, delivery and returns information and even a promo countdown feature embedded in the product description to create a sense of urgency for the customer to boost conversion rates.

Mobile & SocialCHAPTER THREE

Do you shop using mobile apps?

Have you ever discovered a brand on social media?



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60

70

80

50

30

20

10

40

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10

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Smartphone obsessionMillennial and Gen Z shoppers are unsurprisingly avid users of mobile apps; over 70% reported that they use these apps not only as a convenient way to shop, but also to discover new content and products.

Younger consumers are also prevalent on social media and over 63% of young shoppers said they discover brands on social media networks and over 70% have purchased from a brand by clicking through from a social media post.

While Millennials may have set the standard for social media usage, Gen Z is active in reshaping it and retailers need to be open to the changes that will inevitably arrive if they expect to survive.

Have you ever purchased from a brand by clicking through from a social post?


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of sales for ASOS occur on mobile devices

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60

70

80

50

30

20

10

40

The ASOS way

ASOS has consistently made strides in the way it adapts its mobile offering to cater to the needs of younger audiences. More than half (58%) of sales for ASOS occur on mobile devices according to Digiday UK, and in 2018, the eCommerce retailer’s mobile app was downloaded over 10 million times.

ASOS recently released an update for its mobile app that allows users to upload images of clothing they like and the app will suggest recommendations of similar items they have in stock.

Over 63% of young shoppers said they discover brands on social media and over 70% have purchased from a brand by clicking through from a social media post.

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Here today, gone tomorrowWhile social platforms such as Facebook and Twitter were the prime destinations for millennials in the past, both Millennial and Gen Zs now see bite-sized visual media as en-vogue with YouTube, Snapchat and Instagram, in particular, becoming common destinations for fashion inspiration and advice.

So, it’s no wonder that ephemeral content - primarily images and videos that are only accessible for a brief period - have become so popular with younger fashion consumers.

Demetrius

Demetrius

StoresCHAPTER FOUR

What do you enjoy about shopping in store?

What things do you not enjoy about shopping in store?

10

0

20

30

40

50

60

70

Trying on clothes

Crowds Sizes being out of stock

The travel Lack of customer bathrooms

Other

I like browsing and finding things I wasn’t looking for

Avoiding the annoyance of missing deliveries

I enjoy the atmo-sphere

I find it inspiring

I never shop in store

OtherGoing with friends or family

10

0

20

30

40

50

60

70

80

10

If all issues with online shopping could be erased, do you think you would cut out store shopping altogether?


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The in-store experienceWhen it comes to shopping in-store, Millennials and Gen Z like nothing more than trying clothes on and discovering items they weren’t necessarily looking for.

They also enjoy the social aspects of shopping in-store but are frustrated by busy crowds and their size being out of stock.

If retailers want to stand out from the crowd and attract customers to their stores, investing in the in-store experience and experimenting with new ways to engage customers is key. Nearly 43% of Millennial and Gen Z shoppers said they were quite likely to cut out shopping in-store altogether if issues with online shopping (such as the speed of deliveries and frictionless returns) could be resolved.

Although online shopping experiences are far from perfect, ensuring that your in-store experience is as easy and convenient as your desktop and mobile offering can make the difference between consumers shopping with your brand or purchasing a similar product from one of your competitors.

I already have 1%

Quite unlikely16%

No14%

Quite likely42%

Yes27%

CUSTOMERS USING MULTIPLE TOUCH POINTS SPEND AN AVERAGE OF 4% MORE ON EVERY SHOPPING OCCASION IN STORE AND 10% MORE ONLINE.

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Burberry is one of the few luxury brands that has fundamentally changed how it operates and delivers value to its customers by investing heavily in developing new technology to enhance the in-store shopping experience while remaining true to its principles and vision.

With floor-to-ceiling digital displays in all its stores and a Beauty Box conceptual store which specifically targets beauty customers allowing them to try new products using augmented reality, Burberry is a prime example of a retailer embracing technology to retain and convert customers in-store.

In 2014, Burberry launched its opt-in Customer 1-2-1 tool allowing sales assistants to create customer profiles with the ability to add a visual wardrobe, product and fit preferences and information regarding the customer’s on-and offline transaction history to provide personalised shopping recommendations.

A study of US retailers by Harvard Business Review found that customers using multiple touch points were more valuable to retail businesses, spending an average of 4% more on every shopping occasion in store and 10% more online than single-channel customers.

There’s also strong evidence to suggest that positive sentiment around the use of automation to improve the quality of products and services, and making them more accessible to consumers, is increasing.

Luxury fashion eCommerce retailer, Farfetch, has certainly staked its claim on what an automated store might look like with its concept store – the Store of the Future. Here, the brand showcases the latest in retail technology and aims to revolutionise the way customers discover new lines, purchase products and interact with staff using a suite of large interactive touch screens dotted around its concept store.

Values-led shoppingHow important is it that a brand shows it is environmentally sustainable?

For you, how important is it that a brand shows it is pro-equality (across race, gender, sexuality or disability lines)?

CHAPTER FIVE



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Very 36%

VeryFairly

Quite

Quite41%

Slightly17%

Not very6%

Not very

Attitudes towards sustainability and diversityBoth environmental sustainability and diversity are highly valued by young shoppers with more than three-quarters saying it’s either very or quite important. Millennials and Gen Z consumers are diverse and progressive when it comes to attitudes towards race, gender and sexuality.

Brands risk losing sales from consumers concerned with sustainability and equality; almost half of millennial and Gen Z shoppers say that they would abandon or decide against a purchase if they felt that the brand didn’t reflect their values. When taking a deeper look into the data, men are more likely to fail to complete a purchase than women (54% versus 44%).

Shoppers in the South East of England and London value sustainability particularly highly when making purchases; some 63% of shoppers in London alone reported abandoning a purchase due to concerns of sustainability. It’s important for brands to realise that tapping into the integrity economy isn’t just about supporting an event or cause every now and then, retailers are encouraged to show their support all year round.

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When asked how important it is that brands show they are pro-equality (across race, gender, sexuality or disability lines), an overwhelming 71% said either very or quite important.

Visibility in the media and marketing across race, gender, sexuality and disability lines has historically been important to marginalised communities; Millennials and Gen Z have spearheaded inclusivity campaigns across multiple industries and retailers are now in a position to tap into this sentiment to connect with their customers honestly and authentically.

Changing your brand logo to match the colour of the Pride flag simply doesn’t cut it with young consumers and they aren’t afraid to call out clichéd or disingenuous attempts to pander to socio-political causes.

Have you ever abandoned or decided against a purchase because you felt that the brand didn’t reflect your values on either sustainability or equality?

Do you actively hunt for brands that are sustainable or vocal about furthering equality?

10

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50

60

10

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H&M has consistently invested in boosting its environmental and ethical credentials by allowing customers to return unwanted items in exchange for vouchers and has also created a denim range with recycled materials. But tapping into the integrity economy is a huge challenge for retailers, particularly fast fashion brands that have been negatively affected by the stigma of poor working conditions in South Asian countries and environmental concerns.

To tackle this, brands like Adidas are taking sustainability a step further. Its ‘eliminate landfill’ initiative aims to collect your old trainers, repair them and give them a second life with someone new.

The German-based sportswear brand has also unveiled its Futurecraft.Loop running shoe designed from the ground up to be fully recycled. Scheduled to be released in 2021, Adidas produce the shoes using thermoplastic polyurethane (TPU), rather than multiple materials, which are glued together. Once the shoes have worn out, customers can send them back to Adidas to be broken down into pellets and made into a new pair of shoes.

Google search trends also mirror this growing appetite for sustainable fashion worldwide, with some of the biggest rises seen in Singapore, Denmark, Australia, the UK and Hong Kong.

Google searches for “sustainable fashion brands” in the UK alone has increased by a whopping 450% since January 2016.

A report by Rank & Style found a 267% increase in editorial mentions of the term ‘sustainable fashion brands’ among publications such as Elle, Vogue and Refinery29, between 2016 and 2018 in the US; eco-friendly brands including Everlane, Allbirds and Reformation have also seen a rise in sales over the same period.

In 2018, the UK-based fashion search platform, Lyst reported searches for ‘sustainable fashion’ surged by 66%, while for more specific items, such as ‘sustainable denim’, the increase was even higher, with page views up by 187%.

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Operation:eliminate landfill

ConvenienceWould you rent clothes if your favourite brands offered that service?

How often do you add items to a basket and then wait for payday to make the purchase?

CHAPTER SIX



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Never12%

Often21%

Quite often 21%

Rarely23%

0

60

50

30

20

10

40

No Yes Not sure

How likely are you to bring a purchase forward if you could pause payment until payday?

How do you feel about making purchases using a deferred payment method?



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Very 31%

Not very 16%

Fairly 14%

Quite 39%

Not comfortable at all17%

Comfortable 38%

Fairly comfortable

19%

Very comfortable 26%

Buy now, pay laterShoppers at brands including Topshop, JD Sports, Missguided and Miss Selfridge offer a buy now, pay later service through Klarna which gives customers a 14 to 30-day interest-free period to allow them to pay for their items when it’s convenient. The Swedish-based financial services company also provide long-term instalment plans for customers that would like to split their payments over a longer period.

While these convenience-focused services are popular with customers and brands alike, Millennial and Gen Z shoppers in the UK don’t share the same sentiments towards renting clothes; more than half said they wouldn't rent clothes if their favourite brands offered the service.

It’s a trend that’s proven quite popular in China where the rental and sharing economy is booming. In the US, Urban Outfitters launched a clothing rental service for its US customers in May 2019 with the hopes of attracting 50,000 subscribers and generating $50 million in its first year.

Although the appetite for exploring the rental economy is mixed, at best, with young consumers, it is an area where further development is likely to take place as brands test the waters and build a reliable and cost-effective infrastructure to support the 100% return rate model.

High expectationsAs we’ve seen, inconvenience is one of the biggest bugbears for young shoppers.

Around two-thirds say they add items to their baskets for payday purchases; 69% of respondents say they would be likely to bring purchases forward if they were able to defer payment.

With eCommerce retailers such as Amazon offering next and even same-day delivery services for Prime members and ASOS offering a similar service for less than £10 a year, convenience is becoming a priority for retailers. Logistics services such as Doodle have been used by brands like Missguided and Farfetch for a number of years in order to meet consumer expectations for timely deliveries and convenient returns.

With Doodle, shoppers can purchase products which can be delivered (and returned) to a local convenience store, supermarket or even a phone shop, depending on available local partners in the customer’s area.

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More than half of Millennial and Gen Z shoppers said they wouldn't rent clothes if their favourite brands offered the service.

TakeawaysKEY

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Revisit your loyalty programmeMillennial and Gen Z shoppers aren’t as loyal as previous generations. They may have their favourite brands, but they’re always on the lookout for new experiences and products.

Create borderless shopping experiencesYoung shoppers are convenience-focused. For them, shopping should be borderless and if they don’t find what they are looking for in their own market, they’re happy to shop internationally for unique products that are suited to them.

Adapt your in-store experienceTrying on clothes and the social aspects of the in-store experience are still popular with Millennials and Gen Z shoppers. To remain competitive, retailers will need to adapt their physical stores and implement technology to inspire consumers and take advantage of the social aspects of shopping in store.

Define and communicate your valuesEnvironmental sustainability and equality are extremely important to the younger generations. There’s a growing number of Millennial and Gen Z shoppers who are eager to spend their cash with brands that share their values. Tapping into the integrity economy shouldn’t be a ploy, it must be woven into your brand ethos and communicated consistently all year round.

Keep up appearances on social mediaGen Z is reshaping the way we use social media and retailers need to ensure they’re ready to adapt to cater to shifting trends in behaviour as they happen in order to stand out from their competitors.

Inconvenience is not an optionWith the biggest bugbears for young shoppers centred around the inconvenient delivery and returns processes, the focus on convenience should be a priority for retailers. Competing with the likes of Amazon and ASOS will be a huge logistical challenge so partnering with specialists in payments and logistics should be considered in order to improve the user experience and give young shoppers the choice and convenience they increasingly expect.

AboutTranslateMedia

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TranslateMedia is a language service provider and technology company that helps global brands expand into new developed and emerging markets by ensuring that marketing messages are adapted to suit the needs of specific target audiences while maintaining the intent, style, tone of voice and context of the original.

We provide the technology to seamlessly integrate eCommerce stores and mobile apps with our translation management platform, STREAM, allowing for high levels of automation while delivering high-quality localised content regardless of the target country, language or audience.

Unmistakably you. In all languages, across cultures.

young fashionable - training and apprenticeships · the asos way asos has consistently made strides...

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