Now that the Q4 holiday shopping season is over, it’s time to look forward to the trends that will shape shopping habits in 2022. Who’s driving these trends? In many ways, the emerging consumer bloc of digital natives known as “Gen Z.”
As a group, Gen Z has a collective buying power of almost $150 billion. This represents a large and growing revenue opportunity for brands that can tap into Gen Z’s purchase decisions. Whether your target demographic of users falls in the Gen Z consumer bloc or not, this generation of users is shaping the ecommerce app trends of 2022 and beyond.
Beyond just Gen Z, most consumers have made the jump from desktop to mobile. In 2021, 67% of all ecommerce sales came from mobile. The convenience of shopping on mobile devices is sure to continue expanding in 2022 and beyond. It highlights the need to create shopping experiences that are personalized to a specific user group’s needs.
Below, find our top ecommerce app trends of 2022 to help you market your app to Gen Z users.
Ecommerce App Trends in 2022: The Gen Z User
The Mobile-First Generation
The basic detail to know about Gen Z is that they were just children when smartphones entered the market. Therefore, even the oldest members of Gen Z — known as “Zoomers” — have little recollection of life without mobile devices. Gen Z members were born in 1997 or later and are very much digital natives. That is to say: tech-savvy, active on social media, and in constant use of a variety of messaging apps to stay connected with friends and family.
Top ecommerce app trends in 2022 to know about Gen Z: 68% of Gen Z uses their phone 1-4 times a week to shop. Also, 58% of Gen Z users frequently use their mobile devices to make retail purchases specifically.
Ecommerce App Trend of 2022 Takeaway
More than half of Gen Z uses their mobile device frequently to make ecommerce purchases. This means there’s an over $75 billion revenue opportunity for ecommerce apps to tap into in their app growth strategies.
Rewarded Ads Drive Value
Because Gen Z has engaged in mobile-first behavior for most of their lives, advertising efforts have a different impact on them. They’re used to mobile ads and, if anything, they’re also used to opting out of ads. Remember: this is the generation that has little recollection of sitting through commercials while watching cable television. What they are familiar with is having the ability to fast-forward through ads on streaming services or skip ads altogether on YouTube. This has resulted in a generation that has high standards when it comes to advertising and marketing content.
In fact, Gen Z users typically resonate most with ads that provide a value exchange. For example, overall, Gen Z users are most likely to engage with rewarded mobile game ads (42%).
When it comes to ecommerce app ads specifically, Gen Z is most likely to engage with Instagram ads (22%), rewarded mobile game ads (21%) and Facebook ads (14%). This highlights the value of investing in paid social ads and also serving ads in gaming apps that align with your brand’s target demographic.
Ecommerce App Trends of 2022 Takeaway
Serving ads for your ecommerce app in a game app is a smart, strategic play to engage Gen Z users. Focus on serving rewarded mobile game ad formats such as offerwalls.
Sustainable Shoppers
Another trend influencing Gen Z’s purchasing decisions is sustainability. Last year, climate change and protecting the environment ranked as a top personal concern among Gen Z adults worldwide. This awareness of environmental issues and a commitment to finding solutions has been further amplified by the pandemic.
Source: eMarketer
In 2022, 1 in 4 Gen Z shoppers will shop online through second-hand websites and apps like DePop and Poshmark. The same amount of Gen Z shoppers will also sell their clothes through second-hand channels.
With Gen Zers’ interest in thrifting driving this ecommerce app trend throughout 2022, online resale platform sales are projected to reach $30.63 billion by 2025, growing at an estimated rate of 24% CAGR. By 2025, it's predicted thrift sales will represent 10% of all ecommerce apparel and accessories sales.
Source: eMarketer
Ecommerce App Trends of 2022 Takeaway
Expect to compete with secondhand marketplace apps like DePop and Poshmark in 2022. Consider building out sustainable supply chain practices or offerings for your ecommerce brand if you haven’t done so already. Highlight the ways your brand engages in sustainable practices in your ad creatives to engage Gen Z users. Second hand shopping apps should capitalize on Gen Z’s high engagement with mobile ads with retargeting ads. It’s also smart to use retargeted ads to engage the Gen Z demographic given average attention span lengths in a crowded mobile landscape.
The Influence of Social Commerce
According to Tapjoy’s Gen Z mobile user survey, 42% of Gen Z users use social media apps first thing in the morning and 35% of them use them right before they go to sleep. This consistent use of social media also influences their purchase decisions. Gen Z members ages 18 to 24 are most likely to make purchases via social channels than any other age group.
Source: eMarketer
This data points to the value of creating a cross-channel marketing strategy that aligns your paid growth advertising efforts with your social media. It also reflects the value of building your brand’s presence on emerging social commerce channels like TikTok Shopping.
Ecommerce App Trends of 2022 Takeaway
Remove silos in your marketing activities so that your paid growth, paid social and content marketing activities all push users through the same end-goal conversion funnel. Be open to testing new social commerce channels like TikTok and Instagram’s Shopping marketplaces.
Provide Flexible Payment Options
An ongoing ecommerce app trend that fits the needs of Gen Z are BNPL (buy now, pay later) apps and services. BNPL apps first saw record growth at the end of 2020 with shoppers looking for more flexible payment options in the face of economic insecurities.
The growth of the BNPL sector will continue in 2022 largely because of the Gen Z age group. By 2025, it’s projected that almost half of all Gen Z shoppers will have made a purchase using a BNPL service.
Source: eMarketer
Ecommerce App Trends of 2022 Takeaway
Offering flexible payment options will make your brand more relevant to Gen Z’s specific needs. Integrate a BNPL service into your ecommerce app’s checkout functionality if you haven’t done so already.
Main eCommerce App Trends Takeaways in 2022
As a group, Gen Z has a collective buying power of almost $150 billion. This represents a large and growing revenue opportunity for ecommerce apps that can tap into Gen Z’s purchase decisions.
- Gen Z is already on mobile. More than half of Gen Z uses their mobile device regularly to make ecommerce purchases.
- Gen Z likes rewarded mobile game ad formats. To tap into Gen Z, serve rewarded mobile game ad formats such as offerwalls in game apps that engage your target demographic.
- Gen Z cares if your brand is sustainable. Build out and highlight the ways your brand engages in sustainable practices in your ad creatives to appeal to the Gen Z shopper. Second hand shopping apps should use retargeted ads to re-engage Gen Z users.
- Gen Z makes purchases based on social media. Create a seamless omnichannel strategy that aligns your paid growth, paid social and social commerce activities.
- Gen Z likes flexible payment options. Integrate with BNPL apps and services to meet Gen Z in their specific buying needs.
Need Support Engaging Gen Z?
We can help you build out a specific strategy for engaging Gen Z users in your app growth strategy. Contact us to chat more about how to align your ecommerce app’s retargeting and UA activities to engage Gen Z shoppers.