The rise of Gen Z (born between 1997 and 2012), accounting for almost 40% of e-retail shoppers, has been the most pivotal shift in India’s shopper base. This generation has more style influences and references than any other in history, throwing up the biggest challenge for marketers — catering to trend-first fashion choices, say experts.
This trend-first fashion category is expected to grow fourfold, reaching $8 to $10 billion by 2028, with more than half of this revenue from online sales, according to Bain & Company and Flipkart’s ‘How India Shops Online 2025’ report. A rise in Gen Z income will make it a crucial cohort for brands to solve for, it said.
Against this backdrop, it’s easy to see why Amazon Fashion rebranded its Gen Z storefront from the functional “Next Gen Store” to a quirky “SERVE”. It represents a decision to speak the language of young India, particularly the fast-growing base of small-town Gen Z consumers who are reshaping the country’s sprawling fashion economy, say experts. “The rebranding to SERVE stems from Amazon Fashion’s deeper understanding of Gen Z’s cultural cues, values, and language,” says Nikhil Sinha, director, Amazon Fashion. “The term SERVE — to present oneself with confidence and standout style— resonates with Gen Z lexicon.”
Agrees Yasin Hamidani, director, Media Care Brand Solutions. The rebranding reflects a shift from broadly appealing to Gen Z to aligning with their cultural codes, he says. “It signals Amazon’s intent to speak Gen Z’s language, emphasising individuality, viral fashion, and social-media-driven trends,” he adds.
The timing of the shift is interesting. Since 2023, Amazon’s online store has seen a 3X increase in Gen Z customers and a 4X surge in shoppers from Tier II and III cities like Chandigarh, Kochi, Patna, Nagpur, Jaipur, and Surat. Additionally, there is a 40% year-on-year growth from these regions, the company notes. These shoppers are also more experimental, spending three times more on insurgent fashion brands compared to older cohorts. “Small-town Gen Z is becoming a major force in online fashion retail,” says Somdutta Singh, founder and CEO, Assiduus Global. “They are not just browsing; they are actively shaping demand.”
Global playbook
Trend-first fashion has thrived globally by following a tech-driven, repeatable playbook, says Bain & Company. They invest in social media to target Gen Z with edgy, low-priced collections and quick launches driven by advanced trend-spotting algorithms. They use a test-and-scale model to quickly introduce and restock popular styles and offer customised user experience that rewards user engagement.
A range of brands are looking to capture a slice of this market. Offline brands such as Zudio (by Trent), H&M, and Zara have grabbed a big chunk of the market with a compelling price-quality mix, while online platforms, such as Flipkart Spoyl, Myntra Fwd and Shein are also looking to win over this consumer cohort with a greater personalisation and a quick turnaround cycle.
The opportunity here is vast but so are the expectations. Striking a balance between trend-forward fashion and affordability remains a challenge. “With the right mix of tech, content, and cultural nuance, platforms like Amazon stand to gain significant long-term value from this fast-growing, digitally savvy segment,” says Ramya Ramachandran, founder & CEO, Whoppl.
For its part, Amazon has identified key Gen Z archetypes — from ‘The Trend-Hacker’ driving fast-paced microtrends to ‘The Elevated Everyday-ist’ seeking polished relevance. It has curated a collection of over 2 million products from 350+ brands, Sinha states. “We aim to make styles affordable and accessible beyond metro cities,” he adds.
The company claims to deliver to 100% serviceable pin codes in India, with Prime members enjoying free same-day delivery on 1 million items.
The company is also working to redefine how the next-gen shopper engages with trends through AI-powered features like Style Snap (an image-based search tool), Wear it with (styling suggestions), and virtual try-ons. “Fashion shopping in India is evolving into an immersive, tech-driven experience where discovery, personalisation, and engagement are key,” Sinha adds.
Balancing low prices with quality and personalisation will continue to be a challenge, says Hamidani. “With consistent momentum, however, Gen Z from small towns has the potential to drive 50-60% of fashion e-commerce growth over the next 3-5 years,” he adds.