How to Market to Gen Z

Understanding and effectively marketing to Generation Z is more crucial for brands than ever. Born between the mid-1990s and early 2010s, this dynamic cohort is not only shaping the future of consumer behavior but also redefining the rules of engagement for brands. With their strong emphasis on authenticity, social responsibility, and inclusivity, Gen Z demands a fresh approach to marketing—one that resonates with their values and preferences.

In this guide, we’ll explore key strategies and insights that will help brands connect with this influential generation, ensuring that your marketing efforts not only capture their attention but also foster lasting loyalty.

What is Gen Z?

Generation Z (Gen Z) refers to individuals born between 1997 and 2012 and are now aged between 12 and 27. As of 2023, they represent approximately 20% of the U.S. population and about 26% of the global population. This generation is characterized as digital natives, having grown up in an era dominated by technology and social media. They are known for their social consciousness, diversity, and acceptance of various identities and cultures. They are increasingly influential in the marketplace, with significant spending power estimated at around $450 billion in the U.S. alone.

Gen Z is crucial for brands for several reasons:

• Growing Spending Power: As they enter the workforce, their financial influence is expanding rapidly.
• Market Influence: They are expected to account for about 40% of global consumers by 2024, making them a key demographic for brands to engage with.
• Social Responsibility: Gen Z is known for supporting brands that align with their values, such as sustainability and authenticity. Brands that fail to demonstrate social responsibility may lose their loyalty.
• Digital Savvy: Their comfort with technology and social media makes them a target for digital marketing strategies, especially on platforms like TikTok and Instagram

10 Key Gen Z Marketing & Social Media Statistics

Gen Z is the first generation to grow up in a fully digital world, surrounded by smartphones, tablets, and social media. This upbringing has shaped their online habits in unique ways. Before exploring how to effectively market to this dynamic group, here are some important statistics to consider:

• By 2025 Gen Z should make up 27% of the workforce.
• By 2030, Gen Z will represent 17% of total global retail spending. 
• 53% of Gen Z would choose to only shop online if possible. 
• 90% of Gen Z adults (ages 18 to 26) use social media. 
• Gen Z’s most used social media platforms are YouTube (96%), TikTok (72%), and Instagram (69%). 
• 71% of Gen Z say social media influences their product purchases. 
• Adult Gen Zers (ages 18 to 26) are more likely to use text-based social media, compared to teenage Gen Zers (ages 15 to 17) who are more likely to use video-based social media platforms. 
• 21% of Gen Zers begin their brand searches on social media rather than Google or other search engines. 
• 40% of Gen Zers follow brands they like on social media. 
• Over a third of Gen Zers report they spend more than 4 hours a day on social media.

How Does Gen Z Differ from Other Generations? 

Gen Z stands out from previous generations in several key ways, shaping how brands approach marketing to this younger audience. Here are some of the most significant differences:

Social Media Landscape

• Heavy Usage: Gen Z spends over three hours a day on social media, gravitating towards platforms like TikTok, Instagram Reels, and YouTube Shorts for engaging video content. This constant engagement creates a vibrant environment for brands to connect with them.
• Authenticity Matters: This generation is drawn to real and relatable content. For brands, authenticity is not just a buzzword; it’s essential for building trust and loyalty among Gen Z consumers.

Attitudes Toward Advertising

• Skeptical of Traditional Ads: Gen Z is less responsive to conventional advertising methods, often feeling overwhelmed by the sheer volume of brand messages they encounter. This skepticism calls for innovative and engaging marketing strategies that cut through the noise.
• Desire for Reciprocity: They seek meaningful relationships with brands and value interactions that offer benefits, even if they don’t lead to immediate purchases. Brands that foster genuine connections are more likely to earn their loyalty.

Consumption Habits and Preferences

• Non-linear Purchase Path: Unlike previous generations, Gen Z’s buyer’s journey resembles an infinite loop of inspiration and exploration rather than a straightforward path. They often engage in research and discovery across multiple channels before making a decision.
• Access Over Ownership: This generation prefers to access products and services rather than own them outright. This shift in mindset influences their purchasing decisions and brand loyalty.
• Value-Driven Choices: Gen Z prioritizes wellness, diversity, and social causes, and favor brands that align with their values.
• Preference for Online Shopping: Gen Z favors online shopping, particularly through mobile devices and social media platforms. They expect a seamless online shopping experience and are more likely to abandon a purchase due to a negative experience compared to older generations.

The Challenges of Gen Z Marketing

Marketing to Gen Z presents a unique set of challenges that brands must navigate thoughtfully. Here are some of the key hurdles brands need to overcome to effectively reach this audience:

• Skepticism Towards Advertising: This generation is often wary of traditional advertising methods, viewing them as either inauthentic or intrusive. To capture their attention, brands must rethink their approach and focus on building trust.
• Content Control: Gen Z has a strong grip on the media they consume. Many use ad-blockers and frequently skip ads, which means that brands must create compelling and engaging content that truly resonates with them to break through the noise.
• Fast-Paced Trends: Trends come and go quickly for Gen Z. They are quick to move on from what’s popular, so brands need to stay ahead of the curve and anticipate what will capture their interest next.
• Preference for Authenticity: Gen Z has a keen eye for inauthentic messaging and can easily spot when brands are not being genuine. It’s vital for brands to communicate transparently and authentically to connect with this audience effectively.
• Seamless Experience: Gen Z expects a fast and seamless shopping experience, especially on mobile devices. They didn’t grow up with bad internet connections and have little patience for slow loading times or poor user experiences, making it essential for brands to prioritize usability.

Strategies and Tips for Marketing to Gen Z

To effectively connect with Gen Z, it’s important to adopt a marketing approach that resonates with their unique values and behaviors. Here are some key strategies to consider:

1. Understand Your Audience

Begin by gaining a deep understanding of Gen Z’s values, preferences, and behaviors. This generation is known for its emphasis on authenticity, social responsibility, and inclusivity. Research their interests and the platforms they frequent to tailor your messaging accordingly.

2. Establish a Relatable Brand Identity

Your brand should have a personality that resonates with Gen Z. Aim for a fun, approachable identity that aligns with their interests. Use language and visuals that appeal to them, ensuring your brand feels relatable and genuine. For example, brands like Duolingo have successfully created engaging identities that connect with younger audiences.

3. Be Present on the Right Platforms

Focus your marketing efforts on the social media platforms that Gen Z uses most, such as TikTok, Instagram, and YouTube. Avoid platforms like Facebook, which have seen a decline in usage among this demographic. Meeting Gen Z where they are is crucial for effective engagement.

4. Create Engaging and Authentic Content

Gen Z values content that is entertaining and relatable. Invest in high-quality visuals and short, snappy videos that capture their attention. User-generated content can also enhance authenticity, as it showcases real experiences and fosters a sense of community around your brand.

5. Leverage Influencer Marketing

Partner with influencers who resonate with Gen Z. This generation tends to trust recommendations from relatable figures rather than traditional celebrity endorsements. Collaborating with influencers can significantly boost your brand’s visibility and credibility among younger consumers.

6. Emphasize Transparency and Accountability

Gen Z appreciates brands that are open and honest. Be transparent about your business practices, values, and any mistakes you make. This builds trust and shows that your brand is committed to accountability, which is essential for connecting with this audience.

7. Offer Personalization and Exclusive Deals

Personalized marketing is highly effective with Gen Z. Use data to tailor your messaging and offers to individual preferences. Additionally, exclusive discounts and promotions can attract their attention and encourage brand loyalty, especially given their sensitivity to pricing.

8. Foster a Sense of Community

Encourage interaction and engagement with your brand by creating opportunities for community building. Use brand hashtags, host giveaways, and engage with your audience through polls and questions on social media. This not only enhances brand loyalty but also makes Gen Z feel valued.

9. Stay Ahead of Trends

Gen Z is quick to move on from trends, so it’s essential to stay current and anticipate what will resonate with them next. Follow industry trends and be willing to adapt your strategy to remain relevant in their eyes.

10. Focus on a Seamless Experience

Ensure that your online shopping experience is fast and user-friendly, especially on mobile devices. Gen Z has little patience for slow loading times or complicated navigation, so prioritize a seamless user experience to reduce cart abandonment.

Gretchen Oestreicher , 01 August 2024