Visual merchandising trends for young shopper generations

by Julia Pott

The shopping habits of young shoppers change almost as quickly as the latest reel. To keep up with the trends and remain interesting for young consumer generations, retailers need to continuously adapt their visual merchandising strategies. The focus is on interactive experiences, integrating digital elements and responding quickly to the latest social media trends. If you are not agile today, you will be outdated tomorrow.

Young generations such as Gen Z (1995-2010) or Generation Alpha (2010 to 2025) are digital natives through and through, that is clear. One could assume that their retail world is also limited to digital channels. But their shopping habits tell a different story.

A recent study by RetailNext shows that the majority of 18 to 24-year-olds still regularly do their shopping in physical stores. In fact, 69% of Gen Z say they store in physical stores every week. This fact shows that physical retail still plays an important role for young shoppers.

What draws them to the stores? Almost one in four Gen Z respondents say they feel pressured by their peer group to go shopping in-store. And almost as many respondents cite viral trends in social media as a reason for going shopping in stores. Keeping up with current trends is therefore an important factor for visiting physical retail outlets. And this is where social media channels play a decisive role.

Trends emerge on platforms such as TikTok and Instagram that are hugely relevant to young people and constantly push brands to innovate. A TikTok trend or a viral product review can become a new bestseller in retail within hours.

Visual merchandising has to keep up with this speed and has thus evolved from classic, static displays to modular designs that can be updated during store opening hours. Window decorations or in-store displays are now designed to be Instagrammable – a trend that takes its cue from current aesthetic trends, be it cottagecore, clean girl or Y2K.

“Instagrammability” and ‘TikTokability’: A disruptive, interactive and visually appealing design motivates young shoppers to share their shopping experience on social networks. Vibrant colors and trendy designs are important here, as is the theatricalization of the space to enable impressive photos and videos. A simple selfie spot in the store? No thanks! Brands need to continuously adapt their designs to current preferences and social media trends to stay relevant.

The Gen Z shopping experience goes far beyond just buying – it's an interactive adventure. Brands like Nike, H&M or Sephora have understood how to create spaces that appeal to their consumers with technology-driven experiences such as augmented reality applications, smart mirrors and personalized product recommendations. Omnichannel services with interactive touchscreens, virtual reality games or motion sensors that trigger actions: such immersive experiences create memories that are shared on social networks and thus generate organic attention for the brands. A “look, but please don't touch” approach, as found in traditional stores, contradicts this generation's need for tactile interaction and co-creation.

New Year, Easter, summer, Christmas – the days of quarterly updates in visual merchandising are long gone. Agility is a key success factor for brands to keep up with the rapidly changing trends of the social media universe. Modular displays and decorations allow brands to react more quickly to the changing habits of the younger shopper generations. A good example is H&M, the fashion retailer changes its VM themes and displays on a weekly basis to create a constantly fresh atmosphere. Such changing designs also bring with them an exclusivity that plays on the FOMO (Fear of Missing Out) factor: If you weren't there in time, you can't have a say.

Sources: LinkedIn article from Purple Tuché Brand Solutions, RetailNext blog article, Article from Medium, Article from Baron GmbH (German)