Survey: Top 5 Reasons Gen Z Consumers Stop Shopping With Brands

Photo: Cottonbro Studio/Pexels

Economic uncertainty. If ever there were anything that kept business owners, salespeople, and marketers all from getting a good night's sleep; it would be those two words. Woefully, at the moment of this publication, due to certain recent events, millions of consumers in the US are currently experiencing economic uncertainty on a large scale. 

If history has shown us anything about economic uncertainty in the market, it’s that during these times—consumers are far more inclined to protect their pocketbooks by spending less. As opposed to times of certainty where retail cash registers tend to ring more rapidly. 

With so much uncertainty already causing them to be more guarded of their greenbacks, brands hoping to earn the business of Gen Z consumers already have that one strike against them. And if they also have the following five things going against them—they will surely strike out. 

1. Delivery too slow or expensive

According to a study conducted by ElectroIQ, 48.9% of Gen Z respondents say that the No. 1 reason why they stop shopping with a brand or retailer is due to their delivery either being too slow or too expensive.

This should come as no surprise. Especially when you consider the fact that Amazon, the world’s largest retailer by revenue, offers their customers delivery options that are both prompt and often free or at low-cost.

2. No discount or sale was available 

Every consumer enjoys being on the receiving end of a good deal. Undoubtedly, that enjoyment of receiving a good deal increases tenfold in times of economic uncertainty. That’s because people relish in knowing that if they part with their precious funds—they’ll receive a great deal of value in exchange for it. 

A tried-and-true method to ensure that your brand’s shoppers can experience that feeling of receiving value in exchange for their money is by offering them the opportunity to save some cash; either by way of discounts, sales, or exclusive deals.

For 42.5% of the demographic, the second-biggest reason why Gen Zers stop doing business with a brand or retailer is because of that lack of being offered an adequate discount or sale.

Especially during times of economic uncertainty, your brand should utilize every marketing tool that it has at its disposal in order to have an advantage over competitors to influence consumer spending. 

So, if your brand isn’t already offering shoppers discounts or exclusive deals at the moment, you might want to strongly consider doing so. 

3. A lack of reviews for a product

A common concept amongst psychologists is that 95% of the general population are imitators. While only 5% are initiators. In other words, the vast majority of people follow the actions and suggestions of others when it comes to making key decisions. With whether or not to purchase a product being one of them. 

Therefore, if what psychologists say is in fact true, it would certainly explain the allure of social proof and the power that product reviews have over swaying consumers’ buying decisions.

39.9% of Gen Z respondents say that a lack of reviews for a product is enough of a discouraging factor—it would prevent them from making a purchase from a brand. 

Here’s something to keep in mind when introducing a new product to the market, customer feedback is a great thing! Not only does it provide validated learning from data provided by actual customers—it also contributes towards convincing others that your products are official. 

4. No return option or poor return options

Oxford Languages defines assurance as a positive declaration intended to give confidence; a promise. In times when consumers are exceedingly concerned about the security of their financial well-being, very few things have the power to push them over the ledge of indecisiveness to part with their cash like assurance can. 

And what screams assurance more than a rock solid, iron-clad guarantee? 

Coming in at fourth on the list with 24.9% Gen Z consumers citing it as a major cause for concern as to why they’d cease to shop with a brand—is the lack of a viable return option for products purchased.

A 2024 CapitalOne Shopping study revealed that the average retail return rate for ecommerce is 26.4% and 10.0% for in-store purchases. And that for every $100 in sales, consumers return an average of $14.50 in merchandise. 

For some, the thought of their company possibly losing nearly $15 of every $100 generated from sales to returns is enough to prevent them from offering return options to their customers.

However, what those companies often fail to take into account is the considerable amount of potential sales that would be lost due to the lack offering a solid guarantee to consumers. 

Which for a quarter of Gen Zers, would be the case if your brand fails to offer them an adequate return option. 

5. The brand’s website felt unsafe

In a perfect world, people wouldn’t judge a book by its cover. And people also wouldn’t judge the quality of your brand by its website. Needless to say, we definitely do not live in a perfect world. 

As the hub of your brand’s marketing, your website plays a crucial role in informing consumers of how great your goods and services are. It also helps to assure them that your brand is totally legit. 

We all want to feel that the brands we decide to do business with are on the up and up. Which is why for nearly 21.7% of Gen Z consumers, if your brand’s website is perceived as being unsafe—you could forget about them buying from you. 

Although you cannot control the way consumers will perceive your brand, you absolutely could influence it. Help assure your audience that your website is safe by making sure it contains:

• NAP (The name of your company, its address, and phone number).

• Real photos of your brand’s founder or staff members.

• Your company’s email address.

Contrary to popular opinion, most consumers truly do want to trust your brand. A great way to help them do so is by keeping your website transparent and as easily accessible as possible.

Marketing that attracts Gen Z consumers

In his book, This Is Marketing: You Can’t Be Seen Until You Learn to See, author Seth Godin writes, “It doesn’t matter what people you’re not seeking to serve think. What matters is whether you’ve changed the people who trust you, the people who have connected with you, the people you seek to serve.”

If attracting and serving Gen Z is one of your brand’s primary objectives, you must be willing to ignore what other audiences think about your brand by marketing specifically towards Gen Z consumers.

At Decryption, we specialize in helping brands do just that through brand strategy, content marketing, and social media marketing that directly targets Gen Z consumers. If you’d like to advance your brand by becoming our next client, contact our offices today to schedule a complimentary client consultation!