Mastering Multichannel Engagement: How to Deliver on Gen Z and Millennial Shopper Expectations

Unified commerce, omnichannel, multichannel and cross-channel may seem like buzzwords or different versions of the latest corporate jargon, but what they all refer to is the absolute need for brands to create a seamless, customer-centric experience everywhere and anywhere a shopper interacts with a brand.

A recent survey finds that over the past year, omnichannel shopping increased globally across all generations except baby boomers. There were double-digit increases in omnichannel shopping behavior across categories including beauty, consumer electronics, footwear, apparel, and luxury. Two of the most significant increases were seen in the traditionally high-touch luxury (36 percent) and cosmetics (26 percent) categories.

Before 2020, the idea for omnichannel was simplistic — be available wherever the consumer is. Many retailers interpreted this idea as operating an e-commerce site in addition to physical store locations. During the pandemic, the idea of omnichannel expanded from two separate institutions to the blending of the physical and the virtual. Retailers realized that their websites could no longer be just a representation of their in-store assortment — they needed the physical and digital to align because consumers no longer segmented their behavior into an either-or situation.

Customers who browse online and try on in-store before purchasing later from a retailer’s app or those who order online and pick up in-store, or return an online purchase in-store are now simply “shopping.” Consumers aren't thinking about the channel, nor are they changing their expectations because of the channel. They're simply getting what they want, when they want it, in the most convenient way possible. The retailers that understand this cohesion and, most importantly, act upon it by making “shopping” easy across every possible consumer touchpoint, are the ones that will thrive.

Furthermore, this behavior will continue to grow as digital-native consumers such as millennials and Gen Z become the majority of a brand’s shoppers. In general, millennials are at their peak spending power and have a reputation for preferring online shopping over in-store shopping. Yet globally, nearly 60 percent of millennials use multiple channels to make purchases. On average, millennials who shop multichannel made 43 purchases last year, compared to 33 for Gen Z, 35 for Gen X, and 29 for baby boomers.

In terms of spending, North American millennials outspent all other generations by more than 30 percent across all channels. They made the most purchases by far when compared to all other demographic cohorts. And while they may say that they only want to shop in-store, millennials dramatically increased their multichannel shopping behavior.

Brands that do not offer consumers multiple touchpoints, both domestically and globally, will miss the mark in terms of sales and profits. The burden, of course, lies with the retailers themselves to lead consumers to their door, website or app. Being wherever your consumer is today isn't easy, but retailers on the forefront of tomorrow know that they need always to remain one step ahead of their shoppers.

Martim Avillez Oliveira is chief revenue officer of ESW, a cross-border e-commerce technology and services provider.