Generation Z in Thailand is at the forefront of strategic shopping behaviours across Asia, driving significant shifts in consumer trends and market dynamics, according to the consumer intelligence firm NielsenIQ (NIQ).
With their research-intensive and price-sensitive habits, Gen Z is reshaping the retail landscape in Thailand and beyond, the NIQ Spend Z Report has found.
As this group emerges as the largest and most financially powerful generation in history, their impact on the global economy is growing rapidly. According to World Data Lab, Gen Z is expected to be the only generation to reach 2 billion people, making up 25% of the world's population. By 2034, they are projected to contribute over $3 trillion to total spending in the Asia-Pacific region.
The report found that 86% of young Thai consumers thoroughly research products before buying, a figure significantly higher than the Asia average of 71%. This generation often turns to influencers and peers for advice, with 75% relying on these sources for recommendations.
Additionally, 42% are active shoppers through social media, utilising influencer links, in-app purchases, sponsored ads, and live streaming as essential components of their shopping experience.
Price sensitivity is another defining trait, with 71% willing to switch brands for better deals -- compared to 67% across Asia. Moreover, 68% regularly use price comparison websites and apps, further demonstrating their strategic approach to shopping.
When compared to the Asia-Pacific average, Gen Z in Thailand consistently outperforms, setting the standard for informed and price-conscious consumer behaviour.
To successfully engage with this demographic, businesses must adapt to their distinctive shopping habits. NIQ recommends that companies provide transparent and detailed product information to satisfy this generation's research needs.
Loyalty programmes and exclusive offers can help retain these brand-switching consumers. Additionally, marketing strategies should be customised to appeal to research-intensive buyers, while using social media, influencers and peer recommendations can build trust and drive engagement.
Furthermore, businesses should emphasise authenticity, sustainability and health-conscious products that resonate with Gen Z's values. Investing in innovations that align with their preferences, such as eco-friendly and wellness-related attributes, is essential.
Fostering a sense of community and personalisation in products and services can also create lasting connections with this influential group, ensuring long-term brand loyalty and success.
The commitment of young consumers in Thailand to thorough research, along with price sensitivity and household influence make them a formidable consumer group that is reshaping market dynamics. As their influence extends beyond personal purchases to impact family decisions, businesses must adapt to these evolving trends to thrive in a competitive landscape.
To download the Spend Z report for free, visit https://tinyurl.com/3crhpscn
