蘑菇AV

With economic uncertainty influencing how people shop, marketers and retailers have a prime opportunity to create in-store value. Today鈥檚 shoppers seek more than products鈥攖hey want a shopping experience that delivers immediacy, control, and sensory engagement. Here鈥檚 what retailers need to know about current consumer behavior in physical aisles.

Shopping (low disruption). Key market dynamics. Few people make purchases on YouTube. Turning users into buyers has been challenging, with many people relying on YouTube as a shopping research tool as opposed to a buying tool. Even among Gen Z, just 24.8% have bought on the platform, according to our data, versus 67.1% who have used TikTok.

Nearly half (45%) of consumers have pulled forward spending on electronics, while 58% of Gen Zers say they鈥檝e accelerated big-ticket purchases like iPhones and laptops in anticipation of potential price hikes, per a survey conducted for ecommerce platform ESW. The forecast: We expect the Trump administration鈥檚 evolving trade agenda to weigh on back-to-school sales.

The news: Pinterest will host high-performing influencer content posted on affiliate shopping platform LTK, automatically bringing popular images from the platform to Pinterest, according to The Verge. Pinterest also hired Chip Jessopp, former Amazon director of global accounts and ad tech sales, as head of programmatic, per Digiday. Jessopp will help Pinterest create new demand channels while scaling its programmatic abilities. Our take: Pinterest鈥檚 moves could better position it as a legitimate competitor in digital advertising and a promising growth area for influencers and marketers鈥攇iving the platform more legs against social commerce giants like Meta and TikTok.

Gen Alpha鈥檚 shopping journey starts and ends on digital, with parents facilitating the way.

Gen Z is feeling squeezed: High living costs are driving Gen Zers to spend nearly twice as much as they save, which is leading them to prioritize essentials.

Why this matters: Gift cards reign supreme for holiday shopping and are highly popular among Gen Zers. 39% of holiday shoppers plan to spend nearly half (48%) of their total holiday shopping budget on gift cards, per Blackhawk Network. Gen Zers drive this spend: These shoppers were expected to increase their gift card purchases by 12% on gift cards in 2024.

Victoria鈥檚 Secret鈥檚 rebooted fashion show resonated with Gen Z: That, alongside the company鈥檚 efforts to expand and refresh its assortment, resulted in a solid holiday performance.

A new poll finds consumers in the US and UK are almost evenly split鈥�Gen Z is upbeat, Gen X is gloomy鈥攁mid a cost-of-living crunch and rapid tech gains. The results remind brand marketers that price, value, and purpose now collide at every purchase decision.

That鈥檚 especially true for younger shoppers, who are more likely to view beauty as a necessary purchase, regardless of their financial circumstances. 27% of Gen Zers and 26% of millennials consider beauty and skincare products to be essential, per a survey by Intuit Credit Karma. That鈥檚 more than the proportion who believe that dining out, therapy, and travel are necessities.

The news: Lowe鈥檚 launched a home improvement creator network as part of a strategy to reach younger audiences through social media personalities. The network, which Lowe鈥檚 framed as key to deepening its connection with Gen Z and millennial consumers, features MrBeast as its first high-profile partner. Our take: Reaching younger generations is crucial for sustained growth, and as influencer marketing surges, Lowe鈥檚 strategy could prove effective at bridging the gap with young homeowners. Influencer collaborations are most likely to be effective when the creator is seen as unbiased and honest, authentic, entertaining, and educational.

The news: Credit card issuers can cement top-of-wallet status by personalization and perks, especially for millennials and Gen Zers, per a PYMNTS Intelligence and i2c joint report. Our take: To meet young consumers鈥� needs, issuers need to play up the non-rewards features that cardholders crave鈥攈igher credit limits coupled with tools to help cardholders make smart spending decisions.

The news: A Sprout Social report found that 41% of Gen Z turns to social platforms first for finding information, ahead of search engines (32%), AI chatbots (11%), and friends and family (9%). In an exclusive conversation with 蘑菇AV, Thomas Markland, founder of creator company HYDP, discussed the shift and the need for brands to adopt a social-first strategy. Our take: As social media users, especially younger generations, increasingly turn to social for product discovery, brands that are willing to adapt and are strategic with their creator partnerships stand to gain most.

By 2027, a quarter of all digital shoppers will engage with AR shopping, per our forecast. And by 2028, 78% of social network users are projected to interact with its shopping features.

Believe it or not, the year is already halfway over. For advertisers, it's been a whirlwind with economic upheaval, massive AI adoption, Google upending search, and working hard to understand Gen Z. Oh, and remember when TikTok went dark for a weekend?