Evaluation of Consumer Behaviour of Millennial and Gen Z Generations in the Latvian Retail Industry

Abstract

The decrease of the older generations and dawn of the Millennials and Gen Z generations have shifted the customer base of every industry, substituting consumer behaviour with more modern ideologies. Therefore, a necessity has arisen to understand the cognitive process of the millennials and Gen Zs and their consumer behaviour in the market. This study was conducted to evaluate the consumer behaviour of Millennials and Gen Zs in Latvia in the context of the retail industry of the country. The research was conducted as a quantitative and qualitative study in the form of an investigation of consumer behaviour in retail shopping using an online survey. 456 valid responses were captured and analysed. Five distinct segments of Millennials and Gen Zs, namely solo buyers, deal prones, wellness lifestyle-rs, influential wanderers and premium pioneers, along a spectrum of three behavioural attributes – value conscious, health & fashion conscious, and image & quality conscious – were identified through the research, which provides valuable insights in the retail industry of Latvia regarding their prospective market. Authors believe that studying consumer behaviour with respect to generations should be a continuous process, as the industries in the world have become dynamic and complex.