Chris Hayes EVP, Brand Strategy
Marketers are understandably excited about Generation Z. Members of this newest demographic cohort, aged 16 to 21 (the overall cohort is 7 to 21), spend an estimated $143 billion annually and that number does not include the money spent by parents on their Gen Z children. There are approximately 65 million members of Generation Z and by next year they will account for 40% of all consumers in the U.S. according to MNI Targeted Media.
No doubt as time goes on this generational cohort will be researched to the nth degree, but for now, here are four things to keep in mind if you are hoping to attract and keep Gen Z customers.
Speed is Everything
They are digital nativists having never known a world without the internet. They make purchases on their computers and smartphones and are addicted to the almost instant gratification that companies like Amazon offer with free and fast shipping.
In fact, speed and convenience matter more than cost. According to multinational research from Accenture, 58% of customers aged 18 to 20 said they would pay an extra $5 for 1-hour delivery.
Brick-and-Mortar is Popular
Over two thirds of customers aged 13 to 21 said stores were their preferred shopping channel according to a recent National Research Federation (NRF) survey.
But retailers should note that Gen Z are more demanding and their expectations are higher than any previous generation. If the store experience does not deliver, they won’t be back. Retailers need to embrace technology and make products accessible and easy to test.
Attention Spans are Limited
Most members of Gen Z have several devices that they interact with throughout the day. They are multi-taskers, easily jumping from one app to the next. Unfortunately, this can make them distracted and difficult to engage. Make sure all communication can break through the clutter and noise.
Oversharing is a Way of Life
Gen Zers share every experience, purchase, thought, opinion… you get the picture. A good shopping experience can and probably will go viral and spread like wildfire. The only thing that will spread faster is a bad experience. And, with social media a cross-generational addiction, you can assume any information will spread exponentially. Make sure to consistently provide products and shopping experiences worth sharing.
Every new generation presents its own new and unique set of challenges for marketers. In the competition for share of mind and wallet, knowledge and fresh insights are important tools for ongoing success.
If you’re looking for insights that can move your brand forward? We can help.
