Younger Amazon customers are increasingly shopping on rival platforms like Temu and Shein, especially Gen Z, who are more digitally-savvy and prioritize social media and fast shipping over traditional savings.
Amazon sellers face a growing problem: younger shoppers are increasingly turning to fast-fashion rivals like Temu and Shein. This trend poses significant challenges, including price competition, reduced market share, and shifting customer expectations.
As platforms like TikTok become a key part of Gen Z’s shopping journey, the problem intensifies. A staggering 43% of Gen Z shoppers begin their product searches on TikTok rather than Amazon, while over half shop on Shein. Sellers who fail to address this shift risk losing relevance in a rapidly evolving marketplace.
The solution? Amazon sellers must embrace tailored marketing strategies that resonate with younger audiences, such as optimizing Amazon storefronts, leveraging social media trends, and building compelling brand stories.
Younger Amazon Customers Shop On Rivals
The CIRP Amazon Report shows that many Amazon customers also shop at Temu and Shein, particularly younger shoppers.
- 35% of surveyed Amazon customers have shopped at Temu
- 22% have shopped at Shein
Comparison with Walmart and Target
- 93% of Amazon customers have shopped at Walmart
- 75% have shopped at Target
Despite strong competition, Amazon continues to fight for market share in categories like grocery, apparel, and home goods.
Young Customers' Preferences Among Younger Customers (under 35)
- 41% have shopped at Temu
- 53% have shopped at Shein
This demographic is less inclined to shop at Walmart or Target, highlighting a shift toward emerging platforms.
The report underlines the growing influence of platforms like Temu and Shein, especially among Gen Z, who are reshaping the retail landscape with new shopping habits.
Why Sellers Should Market to Younger Amazon Customers
Why Amazon Sellers Should Market to Millennial Shoppers
Millennial shoppers, born early 1980s/mid 1990s to early 2000s, make up a significant portion of the global consumer market, and their buying power is immense. As digital natives, they have distinct preferences that Amazon sellers need to understand to effectively reach them.
Characteristics of Millennial Shoppers:
- Grew up with technology and are highly comfortable navigating digital platforms.
- Prioritize sustainability, social responsibility, and authenticity in brands.
- Quickly skim through content and expect fast, engaging experiences.
- They value experiences over products, making experiential marketing essential.
Why Millennial Marketing is Crucial for Amazon Sellers:
- Millennials make up a large, tech-savvy consumer base with the financial means to drive brand success.
- Millennials prefer brands that align with their values, which means long-term relationships can be cultivated through transparency and engagement.
- Sellers can leverage various digital platforms—social media, influencers, and videos—where millennials are most active.
Some Interesting Millennial Shopping Statistics from Invesp:
67% of Millennials prefer to shop online rather than in-store
81.3% of millennials said they shop online at least once a month
45% of millennials admitted they prefer buying online because they can run comparisons on products and prices
Why Amazon Sellers Should Market to Gen Z Shoppers
Gen Z, born between mid-to-late 1990s and early 2010s, represents a huge and growing consumer group with purchasing power totaling $360 billion.
As they mature and enter the workforce, they are influencing e-commerce trends, making them a critical target audience for Amazon sellers. Unlike previous generations, Gen Z’s shopping habits and expectations are shaped by their digital nativity and unique preferences.
What Makes Gen Z Shoppers Unique?
- They are digital natives, always connected.
- They demand authenticity and quality from brands.
- While they care about price, they won’t compromise on quality and authenticity.
- They rely on social media for product research and recommendations, with platforms like TikTok, Instagram, and YouTube being key for product discovery.
Gen Z Shoppers’ Key Traits:
- They expect transparency and integrity from brands.
- They value good quality at the right price.
- They trust online reviews and influencer opinions more than traditional ads.
Yaqub M. (CBC), 46+ Online Shopping Statistics: The Facts & Trends73% of Generation Z said they shop online, and the majority (60%) said they do so at least once a week.
Effectively Marketing to Younger Amazon Customers
Why and How Amazon Sellers Should Market to Millennial Shoppers
Why Market to Millennials?
- In 2023, millennials surpassed boomers as the largest U.S. generation.
- Millennials spend heavily on categories like health and beauty.
- They seek transparency and authenticity, making them loyal to brands they trust.
What Are Millennials Buying Online?
Marketing Channels to Reach Millennials
- Partner with trusted influencers to promote products.
- Create short, engaging videos on platforms like TikTok and Instagram.
- Offer memorable, interactive experiences.
- Use podcasts, music apps, and smart speakers to reach them.
How to Market to Millennials on Amazon
- Optimize your listings to appear in search results.
- Share valuable, educational content.
- Be honest about your brand’s values and practices.
- Engage with reviews and feedback to nurture long-term relationships.
Marketing Challenges with Millennials (and Solutions)
Tech-Savvy
Millennials spot inauthentic content quickly.
Solution: Use authentic storytelling, influencer partnerships, and user-generated content.
Values-Driven
They demand sustainability and transparency.
Solution: Showcase ethical practices and social responsibility in your marketing.
Short Attention Span
They need quick, engaging content.
Solution: Use eye-catching visuals, concise text, and interactive formats like videos.
Why and How Amazon Sellers Should Market to Gen Z Shoppers
Why Market to Gen Z?
- Gen Z accounts for 40% of global consumers and influences $600 billion in family spending.
- 70% want a sense of belonging, and they look to brands to foster this.
- They’ve grown up online and demand innovation in the shopping experience.
What Gen Z Buys
Gen Z shoppers prioritize fashion, electronics, and sustainable products.
Marketing Channels to Reach Gen Z
- Social Media:
- 85% of Gen Z uses YouTube for entertainment and product discovery.
- Instagram is deal for aspirational visuals.
- Snapchat and TikTok are ffective for engaging, short-form content.
- Email Marketing:
- Personalization is key; Gen Z opens emails with relevant offers and graphics.
- 58% check emails multiple times daily.
- Influencer Marketing: Collaborate with relatable micro-influencers who align with their values.
How to Market to Gen Z
- Avoid overly promotional content; focus on genuine storytelling.
- Use interactive content like live streams, AR tools, and gamification.
- Highlight sustainability, diversity, and social responsibility.
- Leverage viral moments and memes to connect culturally.
Gen Z Marketing Challenges and Solutions
Medi-Savvy
Gen Z has more control over the media they consume.
Solution: Customize content for each platform and engage through user-generated content.
Limited Attention Span
Sophisticated filters mean short attention spans.
Solution: Capture attention in 8 seconds with engaging visuals and concise messaging.
New Trends
Desire for the “next trend.”
Solution: Be proactive in trend forecasting and continuously innovate campaigns.
Targeted Marketing for Younger Amazon Customers
How a Customer Avatar Boosts Marketing to Young Amazon Shoppers
Creating a customer avatar—a detailed profile of your ideal buyer—focuses your marketing for better results.
- Speak to young shoppers’ interests, like trends or eco-friendliness, to align your product with their needs.
- Use relatable, lifestyle-driven imagery, especially on platforms like TikTok, to grab attention.
- Refine your audience and ensure your ad budget reaches those most likely to buy.
Watch this video to learn more about creating an Amazon Customer Avatar.
Using TikTok for Marketing to Young Amazon Customers
To succeed on TikTok, combine influencer partnerships with user-generated content (UGC). Work with influencers to create authentic content like unboxings, product demos, and trend-based videos. Use this UGC in ads for relatable, high-impact campaigns.
Watch the video to learn more about leveraging TikTok for effective marketing!
Selling on Amazon can be challenging, regardless of the demographic you’re targeting. With intense competition, ever-changing algorithms, and the need for effective marketing strategies, it can feel overwhelming.
However, partnering with experts, like an Amazon agency, can significantly lighten the burden. These agencies bring deep knowledge of the platform, cutting-edge strategies, and a focus on maximizing results, helping you navigate challenges and reach young Amazon customers more effectively.
