For a while, we have heard companies and news raising the subject of millennials and the importance of focusing on the upcoming new generations. Today, the attention is all on Generation Z or GenZ. But who are they exactly, and why should we keep an eye on them?
Generation Z, iGen, or even digital natives are all different ways to refer to a demographic cohort of all individuals born between 1996 and 2012. Born surrounded by technologies, they behave and think differently, as part of their environment while growing up. Indeed, what makes them unique is that they were always surrounded by technology, even as toddlers.
The next five to 10 years will turn GenZ into the major group of digital product consumers. While building your strategy, you should put a real focus on pleasing Generation Z. Let us explain why.
What makes them so special?
GenZ is distinctive from a purely demographic perspective: they now represent 32% of the world’s population, surpassing both millennials and baby boomers, according to Bloomberg.
The GenZ is considered the generation who grew up on social media, with a tech-savvy profile and a real need to be constantly connected and engaged. They are part of a movement that disrupts businesses in terms of customer behavior, customer expectations, and experience. They prefer a simple, personalized, and social approach.
In other words, GenZers are looking for a seamless experience in their online journey. Whether on mobile devices or desktops, the platform should be appealing enough to make them stay. That means an intuitive, user-friendly, refreshing interface where they can find what they are looking for in a click.
Content and experience must feel unique to the individual. This generation appreciates and values a tailored approach that takes into consideration their expectations and preferences.
The social, community aspect is a sought-after criterion to keep in mind regarding this cohort, as they have always benefited from the internet and social media. In this study published by Spotify in 2019, 62% of Gen Zers and millennials declared they believe brands have the power to create communities based on shared interests and passions, and that’s what they expect from them.
Why does it matter for businesses like yours?
Naturally, such a significantly high population should be in your overall business strategy. Your plan can only be effective with a good understanding of your target’s predominant traits and preferences.
As digital natives, GenZers tend to spend time on their phones. They are always connected, almost like their smartphones are a part of their identity. And it’s no secret. Clickz asked GenZers in this study, and 64% of them answered they’re always online, with an average of four hours and 30 minutes spent on their phone. That is why it is essential to have a responsive platform on mobile. If you miss that part of your strategy, these customers will slip through your fingers.
Moreover, they don’t want to be talked to; they want to be engaged with. Engaging this generation means gamifying your processes. Gamification refers to applying typical elements of game playing (e.g., point scoring, competition with others, rules of play) to other activity areas, typically as an online marketing technique to encourage engagement with a product or service.
A study from Deloitte has shown that adding interactive features to an online experience increases engagement and brand loyalty. This study from Rosetta Consulting found out that engaged customers are five times more likely to buy only from the same brand in the future and that highly-engaged customers buy 90% more often and spend 60% more per transaction. Here, we see the importance of creating a product, brand, or service. You can amp up this strategy by making
It is essential to stay focused on new generations to shape the economy’s future in terms of business perspective. Your business strategy aligned with the current trends is a step towards a successful experience and engagement from your customers.
Generation Z brings a whole new set of insights, especially when we understand how social aspects of a brand translate to brand loyalty. Thus, it should be at the core of the experience you provide to your customers. Most companies have already understood the challenge and outcomes you can gain — meeting this generation’s expectations — so you should move in this direction if you want to stay ahead of the competition.