Introducing: Generation Z

Introducing: Generation Z

Generation Z are born after 1995 and they are considered the future of global economy. By 2020 this generation will be the largest group of consumers worldwide. In the U.S., Europe and the BRIC states they will make up to 40% of the consumers and 10% in the rest of the world. Even now they are enormously important for the economy and marketers, as already 93% of household purchases are  influenced by generation Z, especially services and goods regarding travel, food, household goods and furniture.

Generation Z overview characteristics

Furthermore, they believe in diversity, equality and non-discrimination, not only in society, but also in broadcasted advertisement . This generation is rather optimistic and very driven about their personal ambitions. For the digital natives, self actualization is of high priority, as well as a fulfilling job and a good working climate.

Generation Z Characteristics

This generation grew up with diverse family structures, a more varied mix of ethnic groups and blurred gender roles. Before they go shopping, they look for inspiration online, on platforms like Pinterest, Instagram, Facebook and YouTube. Whenever they are shopping in-store, they are getting real-time feedback from their friends via WhatsApp.

The buying process of the generations before was simple: see and buy. With these new insights into the purchasing behavior of the digital natives, new opportunities evolve. When they are shopping (online), companies can provide product inspiration, e.g. scrapbooks that are themed around the product can be shown. Additionally, potential future purchases can be displayed on the website.

This has already been implemented by Amazon, where on the website, products under the titel ‚You might also like …‘ can be seen. Ratings on the internet, reviews on Yelp and rankings become more and more important for this generation, underlining the tendency of digital natives to trust their peers more than the marketers.

Generation Z overview characteristics

As digital natives consider social media influencers as their peers, social media influencing offers a lot of opportunities for marketing. However, this way of marketing has become more and more expensive as the influencers know their worth and effect on their followers. The best way to implement this tool into a company’s marketing strategy is to find influencers who represent the company’s values. Additionally, creators who release content regularly and have a dedicated following (quality over quantity) are especially valuable for a successful (social media) marketing campaign.

Want to read more about Generation X, Y, and Z?

Whenever the birthdate is between 1965 and 1979, the person is considered to be part of the generation X. Even though this generation only makes out one fourth of the U.S. population, their purchasing power already represents 31% of the total U.S. income.

Generation Y,  also known as Millennials, are born between 1980 and 1995. In the U.S., they are already responsible for 1.3 trillion dollars of yearly spending, which is equal to 20% of the nation’s total.

In order to target the audience better it is crucial to know where the target audience spends time (online). Another important factor is to be informed about which format of advertising they prefer in order to increase the efficiency even more.

A great summary of the whole series that draws conclusions from the different articles and insights. This enables a sound understanding of the most important outcomes from the research of Generation X, Y and Z.

Stay informed with our EN GARDE newsletter!