The Confederation of British Industry (CBI) confirmed what many retailers have been feeling when it announced annual retail sales volumes fell at a sharp pace in June.
But I believe the high street isn’t dead, it’s out of sync. What we’re seeing isn’t a lack of interest in shopping, it’s a disconnect between how Gen Z wants to engage and what they’re being offered.
Gen Z aren’t passive consumers. They’re intentional, creative, and highly influential. And they’re not rejecting retail, but current formats don’t meet their expectations and needs.
With the recent rise in the UK National Minimum Wage, many Gen Z are likely to have felt a positive impact on their pay packets.
According to Nielsen, by 2030, Gen Z will be contributing more wealth to every global region than any previous generation. So, winning over Gen Z isn’t a short-term bet, it’s the future of retail growth.
But what really makes Gen Z tick when it comes to shopping? Despite the stereotypes, our recent survey, showed just 5% of Gen Z (aged 16-28) describe themselves as “impulsive” shoppers, with more choosing “budget-conscious” and “thoughtful and considered” as the label that best fits. They are typically familiar with a brand or product, researching and comparing options extensively before they buy.
But here’s the twist: once they’re ready to buy, they expect it fast. Three quarters of Gen Z said they need “exactly what they want, when they want it, as soon as possible.”
Yet, this isn’t contradictory, it’s the norm for a generation which has grown up in a world shaped by brands built into everyday life, alongside one-click purchases, same-day delivery, and endless choice.
But that doesn’t mean they want shallow shopping experiences; they want discovery on their terms and retailers who speak their language and meet their needs.
Shopping has long been a form of entertainment and a social activity, and our insights show the majority (92%) of daily Snapchatters include their friends in their shopping journey, with half sending messages or pictures via Snap when shopping. These are not disengaged shoppers. They’re people curating, comparing, and collaborating.
That’s where technologies like Augmented Reality (AR) and AI come in. We’ve been pioneering AR at Snapchat for years. It’s technology that overlays digital content onto the real world and we believe it’s the future of how people will interact with the world, including shopping.
Today, over a third of Gen Zs say they find shopping more appealing when they can try things on virtually. Whether that’s lipstick shades via an AR lens, seeing what a pair of Nike trainers look like on your feet without stepping into store, or imagining how a piece of furniture will match a room’s aesthetic, this is how Gen Z makes decisions. It’s playful, practical, and personalised.
In the future, as AR glasses like Spectacles become mainstream, which they will be very soon when we launch to consumers next year, they’ll bring digital experiences seamlessly into the real world, letting shoppers see recommendations, try out items, and connect with friends, in real time.
This isn’t just good tech, it’s good business. And if retailers win Gen Z, they don’t just win online, they can help bring the high street back to life too.
Young people still want to shop in real life; they still want to hang out at the shops – just look at the popularity of experiences like The Jellycat Café at Selfridges. But they want it to feel worth the trip, through immersion, connection, and expression. The high street that meets those needs won’t just survive, it will thrive. The tech is here, and Gen Z is ready for it.
Ronan Harris is President of EMEA, Snap
