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Aidan Tattan | 24 June 2025

How young shoppers are transforming retail with technology

How young shoppers are transforming retail with technology
How young shoppers are transforming retail with technology
6:45

In retail, one thing never changes: attention is everything. For decades, brands have chased it, from the heyday of TV infomercials and mail-order catalogs to the dawn of email marketing and social media influencers. While the platforms evolve, the strategy stays the same: find where people are paying attention and show up there. Today’s battleground? Live shopping, short-form video, and interactive content — all driven by the mobile-first, tech-savvy habits of younger consumers.

Here are some of the cutting-edge technologies Gen Z and Millennial consumers are using to shop today and how these tools are making buying faster, easier, and more interactive than ever before.

1. Social commerce

Social commerce — buying products directly through social media platforms like TikTok Shop, Instagram, and Facebook — is taking off, especially among younger consumers. In the UK and across Europe, social shopping is growing fast, though markets like the U.S. and China are already ahead in adoption. According to Statista, half of Gen Z consumers aged 18–26 have already made purchases via social media.

These platforms are where young people already spend their time, engaging with content that feels personal and entertaining. For Gen Z, social shopping is less about browsing products and more about stumbling upon something exciting from a creator they trust. Quick demos, behind-the-scenes peeks, and influencer recommendations often feel more authentic and compelling than traditional ads or online reviews.

Why it’s successful:

  • Social feeds inspire discovery, especially in fashion, beauty, and tech.
  • Shoppers easily find global and local products through familiar platforms.
  • Content feels localized, relatable, and authentic, which is key for young audiences.

2. Live shopping events

Live shopping is where retail meets entertainment, and young shoppers are here for it. These events offer a dynamic mix of live video, real-time interaction, and instant purchasing. In 2023, U.S. livestream commerce hit $50 billion in sales, and is projected to grow 36% by 2026. Europe is catching on too, with 35% of retailers already incorporating live shopping, especially in fashion, beauty, wellness, and electronics. Globally, McKinsey predicts that live shopping could make up 20% of all e-commerce transactions by 2026.

Young consumers love live shopping for its immediacy and entertainment value. They can chat with hosts, ask questions, and score exclusive deals—all in real time. It brings a sense of community and authenticity that traditional e-commerce lacks. Flash sales, limited time offers, and instant checkout create excitement and urgency, while influencers and brand reps add personality and fun.

Why it’s successful:

  • Blends entertainment with real-time buying, a fresh take on e-commerce.
  • Appeals to community-minded shoppers who value interaction and authenticity.
  • Feels exclusive and exciting, encouraging impulse purchases.

3. Digital wallets and BNPL

Young consumers are changing the way we pay. Digital wallets and Buy Now, Pay Later (BNPL) services are now their go-to payment methods. In the U.S., 85% of Gen Z and 82% of Millennials prefer contactless digital payments, while in Mainland China and India, 89% and 73% of Gen Z consumers use BNPL for its convenience and flexibility.

In Europe, mobile-first payment habits are the norm, especially in Sweden, Germany, and the UK. Apps like Klarna and Clearpay are hugely popular with young Europeans, offering easy ways to manage spending and avoid credit card debt. These tools align with their desire for quick, seamless transactions and greater financial control, all while shopping from their phones.

Why it’s successful:

  • Contactless payments are easy, fast, and mobile-friendly.
  • BNPL offers budgeting flexibility without traditional debt.
  • Streamlined checkout reduces friction and encourages purchases.

4. AR try-ons and virtual shopping

Augmented reality (AR) is bringing a “try before you buy” experience to online shopping. From testing how furniture looks in your room to trying on glasses or makeup, AR gives shoppers more confidence in their purchases. Appetite Creative reports that brands using AR see higher conversion rates and fewer returns because customers know what they’re getting. The popularity of AR is skyrocketing with younger generations: 63% of Gen Z and 51% of Millennials say they’ve already tried it for shopping.

Brands are embracing this tech in creative ways. IKEA’s Place app lets users visualize furniture in their space, while Warby Parker allows virtual eyewear try-ons. These experiences make shopping more fun, reduce purchase hesitation, and improve customer satisfaction.

Why it’s successful:

  • Helps shoppers visualize products, reducing returns and regrets.
  • Adds novelty and fun to online shopping.
  • Builds confidence and boosts satisfaction.

5. Sustainable shopping apps

For younger consumers, sustainability isn’t just a buzzword — it’s a way of life. This generation is deeply aware of the environmental impact of overconsumption, waste, and climate change, and they expect the tech they use to reflect those values. That’s why eco-focused shopping platforms are thriving: they give young consumers the tools to make smarter, more responsible choices without sacrificing style, convenience, or price. In fact, 73% of Gen Z say they’re willing to pay more for sustainable products, and over 60% of Millennials actively seek out brands that share their eco-conscious mindset.

Apps like Vinted and Depop make buying and selling secondhand fashion simple and fun, helping users save money while keeping clothes in circulation longer. In France, Too Good To Go turns surplus food into wallet-friendly meals, and Sweden’s Klimato helps users track their carbon footprint, empowering them to make greener choices every day. In Japan, Mercari has become a go-to platform for secondhand goods, from fashion to electronics, making it easy to give pre-owned items a new life and reduce waste. These platforms align with young consumers’ desire to shop with purpose, combining affordability, convenience, and impact.

Why it’s successful:

  • Reflects young shoppers’ values around sustainability and ethics.
  • Offers affordable, purpose-driven alternatives to traditional shopping.
  • Builds community and supports circular economies.

 

Don’t let trends pass you by! Get in touch with our team to learn how LS Central can power your business and captivate today’s young shoppers.

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