Don’t Snooze on Gifting
Gifting is more than a transaction—it’s an emotional experience. For today’s shoppers, choosing the perfect gift is about personalization, convenience, and inspiration. Especially, for Gen Z, gifting isn’t just about ticking off items. It’s about finding the perfect match—something that aligns with their recipient’s vibe and values. But here’s the catch: they won’t spend hours sifting through irrelevant options.
India: Over 65% of Gen Z shoppers in India prefer personalized recommendations when gifting. In the U.S., 50% of Gen Z gift purchases are influenced by what they see on social media.
And why do brands care? Because, gifting fuels 25% of annual e-commerce sales globally, with the U.S. and India leading the charge. If your e-commerce platform isn’t optimized for how Gen Z shops, you’re not just missing out—you’re falling behind.
For many, the holidays are also about indulging in a little treat for themselves, with trends like BOGO deals making it easier than ever to shop for others and snag something personal along the way.
Why Gifting Feels More Stressed than Festive
Let’s face it: gifting isn’t as simple as it looks. Shoppers are juggling questions like:
“What would they like?”
“Is it unique enough?”
“Will it arrive on time?”
Now, add Gen Z’s expectations to the mix:
- They want instant gratification. Clunky search or irrelevant suggestions? They’re out.
- They want social validation. Reviews, aesthetics, and social proof play a massive role.
- They care about sustainability and personalization. A generic gift? No, thanks.
And the result?
India: 55% percent of Gen Z shoppers abandon carts when they can’t find what they need quickly. U.S.: 40% percent of U.S. shoppers say they buy “safe” gifts they’re not excited about.
Brands are struggling too. Seasonal spikes in demand often mean inventory chaos, frustrated shoppers, and missed opportunities.
Last-minute shopping is more than just stressful—it’s a missed opportunity for brands to shine. Shoppers face stock shortages, shipping delays, and the frustration of settling for generic gifts in a rush, while brands struggle with abandoned carts, lost sales, and negative customer experiences.
AI Can Help Shoppers Find The Gift, Not Just Any Gift
Gifting has evolved, and so have today’s shoppers. They’re no longer satisfied with endless scrolling or generic suggestions. They expect brands to understand the nuances—the recipient’s personality, preferences, and even that fleeting inspiration they saw on Instagram.
This is where AI, especially multimodal capabilities, steps in as the ultimate gifting sidekick. Here’s how:
- Understanding the nuances: AI-powered shopping assistants don’t stop at “who’s it for?” They dig deeper. What’s their style? What hobbies do they enjoy? AI analyzes these inputs to suggest gifts that feel personal and thoughtful.
- Making it visual: Multimodal search lets shoppers upload an image—be it a trending product from Instagram, a design they love, or even a color palette—and AI delivers tailored gift options instantly.
This is where AI steps in as the ultimate ally, offering smart, instant recommendations tailored to the recipient, suggesting real-time stock alternatives or digital options like e-gift cards, and even bundling complementary products to save time and boost sales. By addressing the chaos of last-minute gifting with precision and personalization, AI not only reduces stress but also builds lasting shopper loyalty.
Gifting Trends and How AI Fits In
In India, personalized gifting is growing at a staggering 26% annually, driven by Gen Z and Millennials. Popular categories include customizable jewelry, gadgets, and ethnic wear.
In the U.S., 55% of Gen Z shoppers prefer gifts that align with the recipient’s personality—think artisanal crafts, niche beauty brands, and exclusive collaborations. AI bridges the gap by offering curated recommendations that reflect these trends.
For Gen Z, gifting is all about being thoughtful, personal, and effortless. For brands, it’s about creating memorable shopping experiences that win hearts—and revenue. With AI-powered shopping assistants, everyone wins.
Make gifting seamless, personal, and unforgettable.
