Shopee’s ‘The Future of Shopping’ Study Reveals Gen Z Purchase Habits

           7 in 10 choose e-commerce as their research source for informed spending

Shopee, the leading e-commerce platform in Southeast Asia and Taiwan, officially unveils the ‘The Future of Shopping: Engaging Generation Z Shoppers in the Digital Era’ study. The study discovered that 7 in 10 Generation Z (Gen Zs) consumers aged 18 to 24 leverage e-commerce platforms as the primary touchpoint in their shopping journey. This highlights a critical shift, with Gen Z actively utilising these platforms to gather information and conduct in-depth research before committing to a purchase.

Findings revealed a continued preference for e-commerce platforms despite exploring alternative channels for product research and discovery. A significant 68% of Gen Z respondents demonstrate a higher purchase completion rate on e-commerce platforms. 18% of Gen Zs prefer to explore products on social commerce platforms, while the remaining 14% opted to finalise transactions through other channels.

Enhancing Service Quality for Gen Zs

Interestingly, when asked, “What information do you search for when shopping for a product?”, a significant 67% actively seek out positive recommendations, emphasising the importance of high customer reviews and influencer endorsements. This focus on external validation aligns with their value for user trust. They view clear communication of product benefits and effectiveness as justification, prioritising products that deliver strong value for money over affordability (16%) and quality (17%).

While two-thirds of Gen Zs complete their purchase journey within a day, another third dedicate at least five days to in-depth research, demonstrating meticulous research habits. This extended research phase prioritises reviews and video demonstrations to ensure product performance and user satisfaction.

Ming Kit Tan, Head of Marketing and Business Intelligence at Shopee Malaysia, said, “Gen Zs in Malaysia are more than just online shoppers; they're digital explorers who leverage e-commerce for deep dives and informed decisions. They crave a seamless, dependable, and unified shopping experience. Brands can cultivate trust through authentic user-generated content and crystal-clear product information, presenting a golden opportunity to leverage affiliate marketing and Shopee Live. By prioritising their needs, we can continue to be the leading destination for Gen Z's shopping journey.”

Enlivening Shopping Experience

When asked why Gen Zs are choosing e-commerce platforms for purchase, nearly 82% cited the platforms' extensive product variety and brand selection, competitive pricing, and guaranteed quality as key factors. The remaining 18% make informed decisions based on a platform’s reputation and personal experiences. This highlights Gen Z's data-driven approach to shopping, where they actively utilise platform functionalities to validate purchases before committing.

A significant difference emerged among Gen Z shoppers regarding the most impactful attributes influencing their choice of purchase channel. Established fulfilment practices, encompassing flexible shipping options, on-time deliveries, and real-time order tracking, were prioritised by a dominant two-thirds of respondents while the remaining third prioritised a seamless checkout experience and product search convenience. This finding underscores the critical role that trust in fulfilment practices plays in securing Gen Z's loyalty.

In response to these evolving shopping behaviours, Shopee introduced the 15-Days Free Returns, No Questions Asked* program. This policy empowers buyers with unprecedented flexibility by offering "Change Of Mind" returns on eligible items with No Questions Asked* for hassle-free returns, fostering a culture of unwavering customer trust. By prioritising customer satisfaction, Shopee is streamlining the shopping journey and providing users an ultimate peace of mind.

Survey Methodology

• The “The Future of Shopping: Engaging Generation Z Shoppers in the Digital Era” survey was conducted by Kantar’s Profile division, between 31 January and 5 February 2024. Voluntary feedback was obtained from 400 Malaysians.

About Shopee

Shopee is the leading e-commerce platform in Southeast Asia & Taiwan. Shopee promotes an inclusive and sustainable digital ecosystem by enabling businesses to digitalise and grow their online presence, helping more people access and benefit from digital services, and uplifting local communities.

Shopee offers an easy, secure, and engaging experience that is enjoyed by millions of people daily. Shopee is also a key contributor to the region’s digital economy with a firm commitment to helping homegrown brands and entrepreneurs succeed in e-commerce.

Shopee is part of Sea Limited (NYSE: SE), a leading global consumer internet company. Sea’s mission is to better the lives of consumers and small businesses with technology through its three core businesses: Shopee, Garena and SeaMoney.