Gen Z spends an estimated $143 billion.
And by the way…
This does not include indirect spending influence…
Or the money spent by their parents.
Who wouldn’t want a chunk of this for their business?
So how to market to Gen Z?
So who’s this Generation Z or Gen Z?
Millennials vs Gen Z
It is a demographic group after the Millennials.
Millennials or Generation Y are in the 25-40 age group.
Generation z years range?
They fall in the 15-22 age bracket.
And they have used the Internet since a young age.
They are comfortable with social media and technology.
Gen X falls in the 40-54 years range.
Baby Boomers are between 55-75 years old.
Marketing to millennials and gen z is a different game altogether.
Hence, let’s talk about some data to understand this generation better.
What’s the mindset of Generation Z?
Let’s start with gen z characteristics.
Gen Zs demonstrate a strong loyalty or connection to a brand.
That being said, they want real value for their money.
Did you know that more than 45% of Gen Zs
feel dissatisfied with a brand’s response?
Does this make them negative?
Not at all.
their positive to negative feedback ratio is 2 to 1.
This generation trusts the brands they grew up with.
Involvement and participation is key to targeting this generation.
They like to submit ideas for product designs.
What kind of brands do Gen Zs like?
Fun, Cool, and Eco-friendly!
Do you know that Generation Z believes that
responsiveness is a key indicator of authenticity?
Understand this trendy generation on an individual level,
and you will see amazing returns.
Gen z marketing insights: Advertising
38% Gen Zs want online ads to be based on
their browsing history or entertainment preferences.
What’s shocking is that more than
30% of them don’t care about privacy.
In other words, they don’t care that their own information
could be used against them.
Don’t expect a long attention span with this generation.
When it comes to ads, eight seconds is the magic number.
A majority of this group stays away
from clicking ads when browsing websites.
Moreover, they freely use ad-blocking technology.
They believe ads “interrupt” them,
slow down their phones, or are not relevant.
According to Inmar Research, 77% of US teens showed an affinity for ads that highlight real people in real situations.
There goes photoshop!
Talking about attention span,
they continue doing something else while consuming an online ad.
Gen Zs, however, enjoy cinema,
outdoor, print, newspaper, and TV advertising.
Radio came last in this category.
Where to place ads to reach out to Gen Z?
Social news feed works best in this case.
Native ads and blog posts work as well.
Gen Z Marketing Trends: Technologies
As you already know, Gen Z and smartphones are inseparable.
A study revealed that 55% of Generation Z
spends more than five hours a day on their mobile devices.
More than half of the Gen Z wants to have a say
in the movie or TV show content, they watch.
This includes the plot, characters, and even the ending.
Movie Producers and directors should start paying attention!
Most (over 94%) of them also own a laptop.
Tablets, gaming consoles, desktop computers, fitness trackers, and smartwatches share the remaining numbers (descending order).
What’s interesting is that
less than 4% of Gen Zs own VR (virtual reality) gear.
More than 65% of Gen Zs use
more than one digital device simultaneously.
What’s surprising is that the majority of this generation does NOT trust Facebook with their personal data.
Slow loading sites and apps, and websites with
complex navigation are a turn off for Gen Z.
As mentioned earlier,
Gen Zs command $143 billion in total spending power
Online reviews play an important role in their purchase decisions.
More than 75% of Gen Zs enjoy shopping online and in-store.
Instagram beats Facebook by a
250% factor in terms of Gen Z brand following.
Instagram and Snapchat are dominating the scene for Gen Z.
According to emarketer,
51% of US teens use Snapchat, and 27% use Instagram.
Facebook stands at the third place
with 19% usage among this generation.
A true omnichannel marketing experience
involves authentic storytelling.
Gen Z couldn’t agree more.
Loyalty to smartphone brands and to electronics
in general stand at 70% and 59% among the generation z.
Clothing brands don’t rank high in this regard.
66% of Gen Zs are open to using paid music apps.
Entertainment apps, health & fitness apps,
and productivity apps rank lower in this regard.
The genzs focus on high-quality products and services.
They enjoy when their favorite products
come with a coupon, incentive or a rewards program.
According to an IBM report,
the Gen Z dislikes boring shopping experiences.
And recommendations of friends and family members play a significant role in the purchase decisions of 46% of the Gen Z.
As per an NRF survey,
over 66% preferred shopping at brick-and-mortar stores.
Moreover, shopping at stores allows
the Gen Zs to click pictures and share it on social media.
Perhaps, it makes sense to shop with friends at a store.
Gen Zs love Netflix.
83% of them watch Netflix as per the IBM report.
What about printed books?
Well, 77% still enjoy real books.
Close to 80% of Gen Z consumes news via social media.
News from apps, TV, news websites, and email newsletters share the rest (in descending order).
A majority of Gen Z does not listen to podcasts,
Facebook Live or video streaming shows.
They like sharing videos over articles.
And they are certainly night owls in terms of content consumption.
The biggest reason for this generation
to go to college is to earn a high salary.
73% of Gen Z students have a side job to pay for expenses,
while 35% rely on government loans.
Only 48% of this generation owns a credit card.
And 72% of them have a savings/checking account
by the time they graduate high school.
As expected, this generation spends most of their free time online.
44% of Gen Zs hang out with their friends and family
or watch offline TV and movies.
Sadly, less than 24% of Gen Zs
participate in extracurricular activities and exercising.
Volunteering and organized group activities
are least popular among the Gen Z.
Hotels enjoy the love of this generation more than Airbnb does.
Gen Z and Amazon
Digital is the lifestyle of Generation Z.
They eat, breathe, and live digital.
Amazon realizes Gen Z’s need for speed and convenience.
More than 60% of this generation said that
they bought clothing on Amazon in the past six months.
Free shipping and speedy delivery came up as some of the most important factors for shopping online.
What do they care about?
As per Barkley, personal success, racial equality, and access to healthcare are the most important parts of Gen Z’s life.
Environmental, Education costs, jobs & unemployment
command the interest of 68%, 81%, and 63% Gen Z respectively.
They put a big mistrust on the country’s leadership…
With close to 60% believing that their voices
are unheard by the leaders of their nations.
They favor brands over governments to solve social issues.
Over 62% support racial/ethnic diversity
and eliminating gender inequality.
A majority of them plan on getting married or having kids.
Now that you have enough data about generation z characteristics…
You might be wondering…..
How to market to Gen Z?
Collecting and Understanding Data
Don’t market to Generation Z without learning about them.
The statistics mentioned in this post are just a glimpse into their behavior.
Do your own research for your brand.
Survey some of the people from that generation.
This will yield valuable data to understand how to market to gen z.
Pass On The Control
As mentioned earlier, Gen Zs like to have control.
You can give them more control over the content.
Experimentation is the key here.
Remember, user-generated content
is the best form of content marketing.
Keep an eye on the KPIs and metrics
when following this digital marketing strategy.
Artificial Intelligence (AI) can play an important role
in marketing to Generation Z.
I always maintain that audience first marketing is “the” way to go.
When you make the buying process personal,
engagement and conversions will increase.
In short, you will generate more ROI.
Experiment with content, ad placement,
and email outreach to connect with Gen Z better.
Be authentic and relevant.
Don’t make the mistake of putting Gen Z
in the same bracket as Gen Y (millennial).
This is a different breed together.
Their attitudes, values, and lifestyles are unique.
With the rise in Gen Z population,
their buying power will increase.
Businesses need to pay close attention to this generation.
Best way to define the Gen Z persona?
Optimistic…self-assured..tech lovers…image-driven shoppers..
the no bullsh*t tribe!
Now that you know how to market to Gen Z,
it’s time to execute your marketing strategy.