Who is Gen Z and why should you care?

Who is Gen Z?

Gen Z is the newest generation to be named, categorised and marketed to. Gen Z is a powerful new consumer group and, following Millennials, they’re now the most sought after consumer demographic for marketers.

No matter what industry you're in, whether you sell products, services or you’re a media publishing group, Gen Z should be on your radar. Why you ask? The answer is straightforward - by 2020, Gen Z will be the single largest group of consumers in the market. Next year, buyers from Gen Z will make up 40% of all active consumers.

No longer will the word ‘Millennials’ be plastered all over advertising; the new watchword on everyone’s lips is soon to become Gen Z.

The challenges of Marketing to a Gen Z audience

Gen Z is more than a little different from previous generations. To understand what drives Gen Z, it’s useful to compare them to their closest cohort, the Millennials.

• Gen Z people tend towards individualism, where Millennials crave collectivism

Gen Z as a whole is more entrepreneurial, more driven and more career-focused than Millennials. 

• Gen Z is more financially motivated than Millennials

People from this new generation are more willing to work in a field they aren’t passionate about to seek financial reward  - perhaps because they grew up during the 2008 financial crash, Millennials, on the other hand, are more likely to chase their passions.

• Gen Z is even more skilled digitally than Millennials and has high expectations of online brands and websites

Gen Z has high expectations for their online experiences. They don’t see their lives as being informed by their digital journeys; they see the two as inseparably intertwined.

• Gen Z prefers to use new social media (e.g. Snapchat, Instagram, Whisper, TikTok) while Millennials use traditional social media - Facebook, Twitter

Gen Z uses new social media platforms which value impermanence, privacy and anonymity.

• Gen Z chases cool products, while Millennials chase experiences

Gen Z is more materialistic than Millenials and wants products which benefit their lifestyle and personality. 

• Gen Z is less trusting of brands than Millenials

Despite having a slightly less favourable view of brands overall, Gen Z is likely to have positive impressions of socially conscious brands.

• Gen Z is more reluctant to engage with traditional ads

Despite this, Gen Z-ers tend to click on digital ads more willingly than Millennials. This is due to the fact that they spend so much time online and are such natural online shoppers.

Gen Z is more reluctant to engage with traditional advertising 

When we talk about traditional advertising, we mean outdoor advertising (billboards), printed ads (flyers, posters, newspapers and magazines), TV and radio. 

Fortunately, Gen Z is much more receptive to newer forms of advertising, such as native marketing, also known as influencer marketing and online marketing. This extends from banner ads to video ads.

This is where you can advertise your brand to this powerful new generation of consumers. WordPress-powered websites are fully compatible with Google Adsense, which means you can implement ads on your site and other WordPress websites to attract new customers.

Gen Z uses new channels of communication

One of the challenges of marketing to Gen Z is that they use new methods of communication and purposefully make themselves harder to reach than previous generations, particularly Millennials.

Gen Z communicates mainly through social media apps, from Instagram to Snapchat, as well as TikTok. Gen Z prefers the anonymity and temporary nature of Snapchat and is happier to communicate with brands through these platforms rather than via email, phone call or other more traditional channels of communication.

Smart brands will increasingly communicate with their customers via messaging apps through the use of chatbots. Find out more about the rise of AI-powered chatbots via the Powered By Coffee blog.

Gen Z is less brand-loyal than previous generations

Gen Z  has high expectations of brands and their websites and this causes them to be less loyal to brands overall, compared to previous generations. This seems like a stark statement, but don’t worry, there's a light at the end of the tunnel.

While it’s true that Gen Z is less blindly loyal to brand names, and always try to seek out the best deal economically (they’re fiercely mindful about their financial situation) and morally (they’re socially conscious), when a brand comes off as authentic and understands their needs, they’ll be far more positive about the brand.

But, how do you show your brand understands this emerging group? A good start is improving your website user experience, as Gen Z users expect a website to preempt what they’re looking for; if your user journey is convoluted, these digital natives will jump ship to another brand without blinking.

How to engage Gen Z 

Throughout this article, I hope I have given you some useful tips on how your brand’s messages can resonate with the next generation of consumers. To ensure you’re on the right track to capturing the attention of Gen Z, I have put together a checklist of crucial online activities you need to carry out, to truly engage Gen Z and stay relevant.

Digital checklist 

• Optimise your website experience and user journey
• Invest in personalisation tools (recommended products, email marketing, locational)
• Implement banner ads on your website and where your audience browses
• Communicate to Gen Z via the channels they use
• Highlight your brand’s social consciousness/social awareness
• Ensure all your online communications authentically represent your brand

Last Words

To really thrive as this new generation of consumers emerges, it’s important to thoroughly understand their motivations and drivers online and how they relate to brands. Personally, I'm optimistic about the future and I’m ready to help you deliver a website experience which will win over Gen Z. Contact Powered By Coffee today and we’ll discuss your needs over a hot beverage.