Personalization and inclusivity: Bolt spills the secret to connect with Gen Z beauty shoppers
05 Jun 2023 --- In its latest beauty e-commerce report, technology expert Bolt revealed that brands are increasingly shifting beauty standards that cater to the new generation of shoppers interested in inclusive and hyper-personalized products. The company observes that artificial intelligence (AI) is “making a mark” in the beauty industry, allowing brands to meet consumer expectations.
“For brands to stay ahead, it’s all about getting personal,” states Shilpi Narang, SVP of Customer Experience at Bolt. “Retailers are clamoring for new ways to know and recognize their shoppers, and they are learning that personalization is impossible until they identify their shopper.”
“With Bolt, brands can seamlessly log in more of their shoppers, building deeper connections with them and personalizing their buying experience – leading to higher conversion and, most importantly, greater lifetime value.”
The report offers shopper insights for beauty and skin care brands for improving business, consisting of a survey of over 1,000 US consumers.
Opportunity to connect with young shoppers
Bolt says beauty brand investments in the digital shift are paying off.
The report finds that 75% of shoppers would pay more for beauty and skin care products if they got personalized online shopping experiences.
Bolt finds 75% of shoppers would pay more for beauty and skin care products if they got personalized online shopping experiences.
Additionally, 72% of Gen Z consumers are willing to pay more than 10% for beauty products. In comparison, 57% of Gen Z can pay 11% to 20% more for their beauty purchases if they involve custom and curated online shopping journeys.
“By leveraging first- and zero-party customer data, brands can create personalized experiences that resonate with their target audience, cultivate unwavering loyalty and leave a lasting impression,” shares the company.
With AI, brands can offer virtual try-ons for lipsticks and eyeshadows, among others, according to the report. Also, AI-search algorithms and quizzes can be used to curate search results and provide relevant product and content recommendations based on customer data.
The report also suggests increasing engagement and time on-site with shareable digital experiences, such as filters that allow shoppers to try on products.
Bolt believes this to be an opportunity for brands to offer personalized services to connect with shoppers, especially younger generations.
Key to successful sales
Shoppers are increasingly demanding products that they can identify with. This means diversity and inclusion are key.
According to the report, 58% of shoppers said that diversity and inclusion are important factors for purchasing a product from beauty and skin care brands.
“By leveraging identity to understand a customer’s behavioral and physical uniqueness – such as their specific skin type or skin sensitivity – beauty brands can create a more inclusive, customized customer experience and drive growth as a result,” shares Bolt.
“The report found that 62% of shoppers – including a whopping 80% of Gen Z – are more likely to buy a beauty product if they can use technology to land on their perfect formula.”
Diversity and inclusion are important factors for 58% of shoppers.
Brands can diversify and enhance the customer experience with interactive online experiences.
Online AI preference
The report finds that 43% of shoppers prefer shade-match foundation through AI online rather than testing in-store. Approximately half of the Gen Z, Millennial and Gen X generations prefer shade-matching with AI online.
In contrast, 70% of the Baby Boomer and Silent Generation prefer to shade-match in stores rather than online.
According to the report, 45% of shoppers will not purchase a product if it lacks personalized options. Bolt believes these findings are a sign for beauty brands to tailor experiences that align with their audiences by understanding their identities.
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By Venya Patel
