Winning over Gen Z is crucial to many retailers’ plans, and the relationship between Walmart and TikTok adds a new level of urgency to the equation. The vision that Walmart CEO Doug McMillon has put forth involves making social commerce easier, such as by facilitating purchases of items that users see in TikTok videos. This goal comes full circle when you realize that 60% of TikTok users are Gen Zers.
Walmart is sending a clear signal about the value it sees in Gen Z. The upper end of this cohort (approximately 23 years old) is starting to join the workforce. They’re gaining more income, adopting new buying habits, and prioritizing different types of purchases. Gen Z’s $150 billion in spending power is only going up.
Ultimately, Walmart’s interest in TikTok is a catalyst and critical reminder for the retail industry: Always be prospecting. Here are three factors that retail marketers should be thinking about to stay ahead of the shifting consumer landscape and engage the new generation.
