Ripped jeans, crop tops: It's Gen Z time for fashion retailers

In 2023, Flipkart-backed Myntra launched a separate section called FWD for Gen Z shoppers.
In 2023, Flipkart-backed Myntra launched a separate section called FWD for Gen Z shoppers.

Summary

Fashion retailers like Myntra, Max Fashion and Madame adapt their collections and platforms to Gen Z's preferences, reflecting a shift in fashion trends.

NEW DELHI : Gen Z shoppers are keeping fashion retailers on their toes. Over the past year, retailers like Myntra, Max Fashion and Madame have introduced collections tailored to Gen Z preferences. Some have even revamped their platforms to attract this demographic, the oldest of which is 27.

“Five years later, every brand will need to cater to this demographic because they would be a very big business. We’ve made some progress, going from 8 million Gen Z shoppers to 16 million now. The future for us is how do we go from 16 million and add another 20 million to 25 million in the next couple of years," Sunder Balasubramanian, marketing officer at online fashion platform Myntra, told Mint

In 2023, the Flipkart-backed retailer launched a separate section called FWD for Gen Z shoppers. It offers looks curated from the recently released original series Call Me Bae, along with collections curated under “Y2K" and “All about bows".

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Revived by a viral social-media trend last year, bows have made their way to fashion runways, with brands like Miu Miu and Dior featuring them in their collections. Searches on Myntra under Y2K, another viral social-media trend, throw up recommendations for low-rise jeans and cargo pants.

Big market

Gen Z shoppers, born between 1997 and 2012, are fashion-forward consumers. India has 60 million Gen Z shoppers who actively shop online, accounting for 20-25% of the online lifestyle market valued at around $4 billion in gross merchandise value, showed an August report by Bain & Co. and Myntra. 

Gen Z shoppers’ signature style often leans toward athleisure, with oversized trousers, t-shirts, sweatshirts (even in summer), crop tops and sneakers being common choices. They are also heavily influenced by social-media trends, meaning retailers must respond quickly.

Interestingly, though Gen Z shoppers spend less per transaction than millennials (born between 1981 and 1996)—an average of $7-8 as against millennials’ $14-16—they shop more frequently. 

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Gen Z consumers make purchases 8-9 times a year, compared to the national average of 5-6 times, according to the report. 

It isn't just online fashion retailers that are taking note.

In August, value retailer Max Fashion, a part of Dubai-based Landmark Group, partnered with 26-year-old actor Alaya F to launch a new collection targeted at young consumers. 

These young consumers shop according to their “vibe", says Sumit Chandna, president at Max Fashion. Gen Z shoppers are prompting the retailer—present in India since 2006—to raise its fashion game. Earlier this year, it launched a new private label, Max Urb_n, for youngsters in the 17-22 age bracket.


“This consumer doesn't shop like their predecessors. They are forever roaming the market. Whatever vibes with them, they will pick it up as and when they see it. As a result, legacy brands have to reinvent and reposition themselves continuously," Chandna told Mint.


Frequency over spending power

Myntra’s Balasubramanian agrees that Gen Z's spending power is still limited, as many have just started their careers. Collections curated for Gen Z shoppers start at ₹499 to cater to their budget, compared to ₹800 for others. Gen Z's shopping frequency makes up for the low pricing. 

They are also prone to buying more from online-first brands, which can pose a challenge for legacy brands in the coming years.

“This demographic will be our future customers in the next five years, and we need to catch them early," said Akhil Jain, executive director of Madame.

Also Read: Why senior managers walk on eggshells around Gen Z at the workplace

The women’s fashion brand roped in actor Shanaya Kapoor last year to speak to a younger consumer. Gen Z shoppers are “very experimental", Jain added. "They will stay with us for the next decade, so we have to reposition ourselves to be part of their brand consideration set."

The retailer has also revamped some of its stores, allowing more self-browsing and featuring a more youthful collection—say, ripped jeans and crop tops.







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