PYMNTS Mentions First Insight | Personalized Products, Digital First: Gen Z Redefines Health and Beauty Purchases
Generation Z, typically defined as people born between 1997 and 2012, is changing how consumers engage with the health and beauty market, according to PYMNTS data. Unlike older generations, who have traditionally favored in-store shopping for personal care and beauty products, Gen Z is embracing online platforms for health and beauty purchases.
This reflects the values, habits and technological fluency of a generation raised in the digital age. Understanding Gen Z’s approach to health and beauty is crucial for retailers seeking to capture this highly engaged demographic.
Gen Z’s Shift to Online Health and Beauty Shopping
According to the PYMNTS Intelligence “How People Pay” report, “Health and Beauty Products Draw Retail Shoppers Into Brick-and-Mortar Stores,” 46% of Gen Z online shoppers made a health and beauty purchase in the past 30 days. This figure is notable compared to the 30% of online shoppers across all age groups who made similar purchases.
Gen Z consumers prefer online shopping due to their comfort with digital technology, which allows them to easily purchase via eCommerce platforms, social media and online retail channels. The convenience of browsing products, reading reviews and shopping from home aligns with their tech-savvy lifestyle.
Social media significantly shapes Gen Z’s shopping habits, with platforms like Instagram, TikTok and YouTube influencing product trends through beauty influencers and content creators.
Online Shopping Preferences and Personalized Experiences
For Gen Z, online shopping is about more than convenience; it’s also about personalization. Many expect tailored experiences that cater to their preferences. The popularity of beauty subscription boxes, personalized skincare routines, and recommendation algorithms on platforms like Sephora and Amazon has made online shopping more appealing. Retailers are using artificial intelligence (AI) and machine learning to offer individualized shopping experiences that resonate with this generation.
Gen Z also values sustainability and inclusivity in the brands they support. A report by First Insight found 73% are willing to pay more for eco-friendly products. Beauty brands offering clean, cruelty-free products see increased engagement from Gen Z, whose purchasing decisions are influenced by a brand’s transparency, ethical practices, and environmental commitment.
The in-Store Shopping Behavior of Gen Z
Gen Z prefers shopping online for health and beauty products, but for big-ticket items like appliances and home furnishings, they tend to shop in physical stores more than older generations. According to the PYMNTS report, 15% of Gen Z shoppers bought home furnishings in-store, nearly double the rate of the general population, and 13% bought appliances in physical stores, compared to just 6.4% of the overall sample.
This preference for in-store shopping for larger items is likely due to the need for tactile interaction, inspection, and sometimes consultations with sales associates. Unlike with health and beauty products, which are easier to assess online, Gen Z values the tangible experience and sense of security that physical stores offer when making significant purchases.
The Implications for Retailers
Retailers need to adapt to Gen Z’s unique shopping behaviors by prioritizing digital marketing, particularly on social media, and offering personalized recommendations. They should also invest in omnichannel strategies, like in-store pick-up for online purchases, to bridge the gap between online habits and in-person experiences. Exclusive in-store events and promotions can further attract Gen Z consumers.
Ultimately, Gen Z’s strong preference for online shopping, coupled with their desire for in-store experiences, means retailers must offer engaging digital experiences and in-person options to build loyalty in the competitive health and beauty market.
