Shopping: Why Gen Z is spending (a lot of) time in Coach stores
- InsightTrendsWorld
- Mar 26
- 9 min read
Why it is the topic trending:
Gen Z Engagement with Retail Stores:Â In an era dominated by online shopping, the fact that a brand is successfully attracting and retaining Gen Z in physical stores is noteworthy. This demographic's shopping habits and preferences are closely watched by retailers.
Innovative Store Concept:Â Coach's "Coach Play" stores represent a novel approach to retail that goes beyond traditional product display, making it an interesting case study for other brands.
Focus on Experiential Retail:Â The emphasis on creating immersive and activity-based store environments, rather than just sales spaces, aligns with current trends in retail seeking to offer experiences to consumers.
High Dwell Time Metric:Â The significant increase in dwell time (4-8 times higher) in Coach Play stores compared to typical stores indicates a successful strategy in engaging this demographic. This metric is a key indicator of consumer interest and potential for conversion.
Data-Driven Insights into Gen Z Preferences:Â The article provides insights into what appeals to Gen Z in a retail setting, such as customization, social interaction, and localized experiences.
Overview:
The article explores the success of Coach's "Coach Play" concept stores in attracting and engaging Gen Z shoppers. These stores, designed as testbeds for ideas, focus on creating immersive and hyperlocal experiences, resulting in significantly longer dwell times compared to traditional Coach stores. By incorporating elements like customization stations, occasional coffee or ice cream shops, and hosting regular events featuring music, local food vendors, and customization artists, Coach Play has created spaces where Gen Z wants to spend time. The learnings from these stores are then being integrated into the broader Coach retail ecosystem, demonstrating a strategic approach to understanding and engaging this key demographic.
Detailed Findings:
Coach has 12 "Coach Play" concept stores acting as testbeds for Gen Z engagement.
Dwell time in Coach Play stores is 4-8 times greater than in typical Coach stores (even higher in Asia).
10-15% of a Coach Play store is usually dedicated to experiences like customization or a coffee shop.
Coach Play APW in Malaysia dedicates 50% of its space to experiences like tote customization and T-shirt screen-printing, resulting in 8 times more dwell time than other Malaysian Coach stores.
A college campus version of Coach Play with ice cream and Tabby bag customization saw 12 times the average dwell time.
Coach Play stores host events every Friday-Sunday with music, local food vendors, and artists for customization.
Store managers localize events with guidance from Coach's events team.
Coach considers Play stores "laboratories" to test ideas for Gen Z engagement that can be scaled to their larger network.
Learnings from Coach Play have led to localized playlists, more sustainable storefronts, edited product assortments, increased in-store customization, more casual uniforms for associates, and improvements to customer service and fitting rooms in all Coach stores.
Only two of the 12 Coach Play stores are in the U.S. (Chicago and Salt Lake City).
Coach prioritizes "Gen Z penetration" as its No. 1 KPI.
Sarah Engel from January Digital notes that Coach is going deeper into measuring store success by tracking dwell time, especially for Gen Z shoppers.
Coach plans to expand customization offerings with pop-ups for Tabby bags and Soho sneakers.
Coach's sales increased 10% year-over-year in fiscal Q2 2025, with Tabby bag sales doubling.
Parent company Tapestry acquired 2.7 million new customers in North America, half of whom were Millennials and Gen Z.
Key success factors:
Focus on Immersive and Hyperlocal Experiences:Â Creating stores that go beyond just displaying products and instead offer engaging, localized environments is crucial.
Dedicated Space for Experiences:Â Allocating a significant portion of the store (10-50%) to activities rather than just merchandise encourages longer visits.
Customization Options:Â Providing opportunities for Gen Z to personalize products, like tote customization and T-shirt screen-printing, increases engagement and allows for self-expression.
Regular Events:Â Hosting events with music (DJs), local food vendors, and customization artists creates a draw for repeat visits and a social atmosphere.
Localization Efforts:Â Tailoring the store design, events, and partnerships to the specific neighborhood and community fosters a sense of belonging and authenticity.
Creating a "Hangout" Atmosphere:Â Making the store a comfortable space where people want to spend time, even without immediate intent to purchase, is key.
Integrating Learnings into the Broader Brand:Â Using Coach Play stores as testbeds to understand what resonates with Gen Z and then applying those learnings to their larger network of stores.
Prioritizing Gen Z Engagement:Â Explicitly focusing on attracting and engaging Gen Z shoppers as a primary key performance indicator (KPI).
Measuring Dwell Time:Â Tracking how long Gen Z shoppers spend in the store as a key metric, recognizing that longer dwell times are linked to higher sales and brand building.
Key Takeaway:
Coach's "Coach Play" stores are successfully attracting and engaging Gen Z shoppers by offering immersive, localized experiences that go beyond traditional retail, leading to significantly longer dwell times and providing valuable insights for the brand's broader strategy.
Main Trend:Â Experiential Retail as a Key to Gen Z Engagement
Description of the trend:Â This trend highlights the increasing importance of creating interactive, immersive, and activity-based shopping environments to attract and retain Gen Z consumers in physical retail spaces. This involves moving beyond simply selling products to offering experiences that resonate with this demographic's desire for engagement, personalization, and social connection.
What is consumer motivation:
Seeking Experiences Over Just Products:Â Gen Z often values experiences and opportunities for engagement more than simply acquiring goods.
Desire for Personalization and Customization:Â This generation appreciates brands that allow them to personalize products and express their individuality.
Social Connection and "Hanging Out":Â Gen Z often seeks out spaces where they can socialize, connect with peers, and spend time in a relaxed atmosphere.
Authenticity and Local Relevance:Â Hyperlocal and community-focused initiatives resonate with Gen Z's desire for authentic brand connections.
Entertainment and Discovery:Â Retail spaces that offer elements of surprise, discovery, and entertainment are more likely to capture their attention.
What is driving trend:
Digital Native Expectations:Â Having grown up with the internet and social media, Gen Z expects physical retail to offer something more than just what they can find online.
Demand for Engagement and Interaction:Â This generation is accustomed to interactive digital experiences and seeks similar engagement in physical spaces.
Influence of Social Media and Content Creation:Â Experiential retail provides opportunities for unique content creation and sharing on social media, which is important to Gen Z.
Brand Building Beyond Transactions:Â Brands are recognizing that creating positive in-store experiences can lead to stronger emotional connections and long-term loyalty with Gen Z.
What is motivation beyond the trend:
Beyond immediate shopping needs, this trend might reflect:
A Desire for Physical Connection:Â In a digitally saturated world, Gen Z may seek out physical spaces for genuine social interaction and connection.
A Search for Community and Belonging:Â Experiential retail can foster a sense of community around a brand and its values.
Description of consumers article is referring to:
The article specifically refers to Gen Z shoppers, generally defined as individuals born roughly between the mid-1990s and the early 2010s (though the article mentions acquiring customers born up to the early 2010s, aligning with this general definition). Key characteristics based on the article:
Age:Â Roughly 13-29 years old in 2025 (this is an estimated range based on birth years).
Gender:Â Not specifically differentiated, suggesting the trend applies broadly across genders within this generation.
Income:Â The article doesn't focus heavily on income, but the fact that Coach is a recognizable brand suggests a consumer base with some disposable income for fashion and accessories.
Lifestyle:Â Digitally native, value experiences, seek personalization, are influenced by social media, and appreciate authentic and localized interactions with brands.
Conclusions:
Coach's success with its "Coach Play" stores demonstrates that by prioritizing immersive, localized experiences with elements like customization and events, brands can effectively attract and engage Gen Z shoppers in physical retail spaces, leading to increased dwell times and ultimately driving sales and brand loyalty.
Implications for brands:
Reimagine Retail Spaces:Â Brands need to think beyond traditional product displays and incorporate interactive and experiential elements into their store designs.
Focus on Creating Engaging Experiences:Â Offer activities, events, and opportunities for personalization and customization to draw in Gen Z.
Embrace Localization and Community Building:Â Tailor store experiences to the specific neighborhood and connect with local communities to create a sense of belonging.
Leverage the Power of Events:Â Regularly host events in stores that offer entertainment, social interaction, and unique experiences.
Integrate Online and Offline Experiences:Â Create a seamless brand experience that connects digital interactions with the in-store environment.
Implication for society:
Evolution of Retail Spaces:Â Retail locations may increasingly become hubs for community engagement and brand experiences rather than just places to buy products.
Emphasis on Physical Spaces for Social Interaction:Â Brands can contribute to creating physical spaces where younger generations can connect and interact.
Implications for consumers:
More Engaging Shopping Experiences:Â Gen Z consumers can expect more dynamic and interactive retail environments that cater to their preferences.
Opportunities for Personalization and Self-Expression:Â Stores that offer customization and unique experiences allow for greater self-expression.
Sense of Community Around Brands:Â Experiential retail can foster a stronger sense of connection and community among consumers who share an affinity for a brand.
Implication for Future:
The trend of experiential retail as a means of engaging Gen Z is likely to continue and expand across various sectors. Brands that fail to adapt and offer more than just products in their physical spaces risk losing the attention and business of this important demographic. We may see further innovation in blending physical and digital experiences in retail.
Consumer Trend (name, detailed description):Â The Experience-Seeking Shopper (Gen Z Focus)
Detailed Description:Â This consumer trend specifically focuses on Gen Z's preference for shopping environments that offer engaging experiences, interaction, and opportunities for personalization, rather than solely focusing on product acquisition.
Consumer Sub Trend (name, detailed description):Â Hyperlocal Retail Engagement
Detailed Description:Â This sub-trend within experiential retail emphasizes the importance of brands creating store experiences that are deeply connected to the local community and resonate with the specific culture and interests of the neighborhood.
Big Social Trend (name, detailed description):Â The Value of "Third Places" for Social Interaction
Detailed Description:Â This broader social trend highlights the importance of physical spaces outside of home and work (like retail stores designed as gathering places) for social interaction, community building, and a sense of belonging, especially for younger generations.
Worldwide Social Trend (name, detailed description):Â The Global Demand for Immersive Brand Experiences
Detailed Description:Â Across various global markets, consumers, particularly younger demographics, are increasingly seeking immersive and engaging experiences from the brands they interact with, blurring the lines between retail and entertainment.
Social Drive (name, detailed description):Â The Need for Connection, Expression, and Engagement
Detailed Description:Â Gen Z is driven by a need for authentic connection, opportunities for self-expression, and engaging experiences that go beyond superficial transactions, which experiential retail aims to fulfill.
Learnings for brands to use in 2025 (bullets, detailed description):
Dedicate a portion of your retail space to experiences, not just product displays.
Offer customization options that allow for personalization and creativity.
Host regular events that provide entertainment and social interaction.
Tailor your store design and offerings to reflect the local neighborhood and community.
Prioritize creating a welcoming and "hangout" atmosphere.
Strategy Recommendations for brands to follow in 2025 (bullets, detail description):
Develop a dedicated "experiential retail" strategy that focuses on creating engaging in-store environments.
Invest in training store associates to facilitate experiences and build relationships with customers.
Partner with local artists, vendors, and community organizations to create unique and relevant in-store activations.
Utilize social media to promote in-store events and experiences and encourage user-generated content.
Continuously test and iterate on your experiential retail concepts based on customer feedback and engagement metrics.
Final sentence (key concept) describing main trend from article:Â Coach's success in attracting Gen Z to its "Coach Play" stores underscores the growing importance of experiential retail strategies that offer immersive, localized experiences to engage this demographic beyond traditional shopping.
What brands & companies should do in 2025 to benefit from trend and how to do it:
In 2025, brands and companies looking to connect with Gen Z in physical retail should prioritize creating experiential environments that go beyond simply selling products. To benefit from this trend, they should:
Dedicate space within their stores for experiences:Â This could include customization stations, workshops, social areas, or even food and beverage offerings.
Focus on localization:Â Tailor the store's design, events, and partnerships to reflect the unique character and interests of the local community.
Host regular events:Â Create reasons for Gen Z to visit stores frequently by offering engaging and shareable experiences like music, art, and opportunities for interaction.
Final Note:
Core Trend:
Name:Â The Experiential Imperative for Gen Z Retail
Detailed Description:Â For brands to successfully engage Gen Z in physical stores, offering immersive, interactive, and localized experiences is not just a bonus but a fundamental requirement.
Core Strategy:
Name:Â Build "Hangout" Spaces with Value-Added Activities
Detailed Description:Â Retailers should strategically design their stores to be welcoming spaces where Gen Z wants to spend time, incorporating activities like customization, events, and community engagement to foster loyalty.
Core Industry Trend:
Name:Â The Transformation of Retail into Experience Hubs
Detailed Description:Â The retail industry is undergoing a significant shift, with physical stores evolving from mere transaction points into dynamic hubs that offer consumers unique experiences and foster deeper brand connections.
Core Consumer Motivation:
Name:Â Seeking Engagement, Personalization, and Community in Retail
Detailed Description:Â Gen Z consumers are primarily motivated by a desire for engaging experiences, opportunities for personalization and self-expression, and a sense of community when they choose to spend time in physical retail spaces.
Final Conclusion:Â Coach's innovative "Coach Play" strategy offers a compelling blueprint for how brands can effectively attract and engage Gen Z in physical retail by prioritizing experience, localization, and community, underscoring the evolving role of the store as a destination beyond mere shopping in 2025.
Core Trend Detailed (name, detailed summary):
Name:Â The Experiential Imperative for Gen Z Retail
Detailed Summary:Â To get Gen Z to visit their stores, brands need to offer more than just products. They need to create fun, interactive places where young people can do things, personalize items, and connect with others.
