Millennials are currently making way for a new generation of young adults, and many are interested to see how their buying habits and consumer behavior will compare to other generations. Generation Z encompasses individuals born after 1996, and while many have reached voting age and are living on their own, the majority of Gen Z are only beginning to take their place in the retail world.
The bulk of Gen Z’ers were born into a stable economy with a low unemployment rate and a lot of potential to take a strong hold in terms of consumerism, unlike the Millennial generation who were born at a time of economic recession and uncertainty. Gen Z were expected to thrive given the state of the world at that time, but the COVID-19 pandemic has placed a significant roadblock in their path. Still, when compared to Millennials, Gen Z are more likely to make impulsive purchases. They know what they want, and they go after it at full speed.
There are three major driving forces associated with Gen Z spending, and many marketers are taking note of how Gen Z buying decisions are influenced. Social Media, flexible payment options, and targeted advertising that focuses on personalized messages are the keys to Gen Z spending, and implementing these strategic digital techniques is how many businesses will thrive with these new young adults who have grown up in a purely digital world.
Social Media: Several recent studies have shown that at least 50% of Gen Z’ers have made online purchases through Instagram as a result of targeted digital advertising campaigns. With 90% of college students using the popular platform, the right campaign can be a highly successful method for increasing Gen Z sales.
Flexible Payment Options: As a result of the coronavirus pandemic and the loss of income faced by many Gen Z individuals, there has been a big push for flexibility when it comes to purchasing items online. Many Gen Z’ers have been flocking towards promotional offers as well as the ability to use things like PayPal Credit when shopping digitally.
Message Personalization & Experience: Gen Z’ers are attracted to marketing messages that align with their way of thinking. Ethics and authenticity are crucial to the success of marketers who wish to attract Gen Z consumers, and messages need to reflect the motivation that Gen Z individuals have when buying different products. It isn’t about possessions, but what those possessions can enable them to experience. Causes are of the utmost importance, and Gen Z’ers will be much more attracted to companies who actively give back to their communities.
Like every generation before, Gen Z brings with it a new wave of consumer habits, and marketers must shift to understand the motives and plan campaigns accordingly. While they started out poised to be the most educated and most successful generation yet, Gen Z are more concerned with how consumerism affects the planet and those living together upon it. Marketers can effectively reach Gen Z’ers by promoting a genuine, authentic brand image that is focused on making the world a better place with their products. This is the key to successful Gen Z marketing, and excelerate Digital has paved the way forward to cater to the needs of this new generation. We’ll help you define an action plan to successfully market your business to these tech-savvy individuals in a way that promotes digital engagement. Contact us to develop your personalized marketing strategy and begin a positive consumer relationship with the future leaders of our world.