Gen Z is powering India's online retail in a major way and forcing companies to change their strategies. This trend can dismantle the decades-old foundational concept of marketing. Around half of India’s online fashion and beauty shoppers are now Gen Z, and platforms are rapidly realigning to keep pace, as per a TOI report. This cohort also boasts 1.5x the e-retail spend share on categories such as lifestyle, beauty and electronics compared to other age groups, driving growth in a market that has more than doubled over five years to $66 billion in gross merchandise value, Bain & Co data showed.
Online platforms, including Amazon, Nykaa, Myntra and Shein, as well as consumer brands are sharpening their strategies around this cohort’s fast-evolving tastes and high-engagement behaviour. At Amazon Fashion, the shift is visible with Gen Z’s share surging to 52% from about 30% two years ago, according to its director, Nikhil Sinha. Beyond penetration, engagement across browsing, visits and transactions is up two-and-a-half times YoY, he told TOI. A significant chunk of the growth and engagement is now coming from tier-2 and tier-3 cities. “Gen Z (shopper) growth in tier 2 and 3 cities is happening at twice the rate compared to the rest of the country. Customers in cities such as Indore, Lucknow, Chandigarh, Kochi, Nagpur, Jaipur and Surat now have access to the same global trends, creators and content as customers in metros like Mumbai or Bengaluru,” Sinha added. For Myntra too, Gen Z accounts for nearly half the customer base and contributes almost half of all new customers in 2025, says Suman Saha, CXO House of Brands and FWD, Myntra.
