Born between 1997 and 2012, Generation Z stands out as the digital natives of the 21st century. Being the generation that grew up with the internet, social media and smartphones, this group has established itself as the most empowered and digitally savvy demographic to date.
As a result, Gen Z consumers have higher expectations when it comes to products and services. In a world saturated with content and advertising, they’re more discerning of brands and seek authentic connections.
Marketing to Gen Z requires a unique approach. In this blog, we delve into the following topics:
• Understanding Gen Z Marketing Trends
• What Are the Challenges of Advertising to Gen Z?
• How To Market to Gen Z
Read on and discover everything you need to know about effective Gen Z branding, marketing trends and advertising to Gen Z.
Understanding Gen Z Marketing Trends
For this tech-savvy generation, using tablets, smartphones and social media is second nature. Technology has granted them the freedom to select the content they wish to consume and the flexibility to decide when and where they engage with it.
Consider these Gen Z marketing trends and spending habits:
• According to a Pew Research Center survey, 95% of teenagers aged 13 to 17 possess a smartphone, while 97% use at least one of the seven major online platforms.
• Gen Z spends a significant amount of time on social media platforms. A 2022 survey shows that 54% of Gen Zers reported dedicating a minimum of four hours daily to social media, with an additional 38% spending more time than that.
• Their most used social platforms include YouTube, Instagram, TikTok and Snapchat.
• Gen Z stands out not only for their digital proficiency but also for their distinct spending habits. A 2021 Bloomberg report reports that this generation collectively has about $360 billion in disposable income. They’re inclined towards thrifting, saving more and supporting companies that align with their values.
As a sizable consumer market, Gen Z advertising presents vast growth opportunities. Employing impactful Gen Z marketing strategies can give you a competitive edge and yield greater returns.
What Are the Challenges of Advertising to Gen Z?
Here are some unique challenges facing brands when marketing to the Gen Z market:
1. Attention Must Be Earned Instantly
Growing up with an endless stream of content at their fingertips, Gen Z consumers tend to have shorter attention spans. They typically give content about eight seconds of attention—four seconds less than millennials (HubSpot).
Moreover, a global study reveals that Gen Z’s attention to ads dwindles in just 1.3 seconds—less time than any other age group.
Gen Z marketing and retention could be challenging, especially with longer content. Gen Z shoppers quickly decide what interests them and swiftly skip or scroll past content that doesn’t grab their attention. This differs from older generations who are accustomed to sitting through TV commercials.
2. They Evaluate and Filter Ads With Precision
Another Generation Z marketing challenge is the preference for ads and content that are concise, visually appealing and less intrusive. For social media marketing consultants and strategists, this requires a strategic shift towards creating impactful, short-form content.
According to a consumer sentiment survey, about 58% of Gen Zers are not fans of ads interrupting their content. Additionally, 52% lean towards creative and entertaining advertising, a preference less echoed by baby boomers (42%), millennials (44%) and Generation X (40%) (NCSolutions).
The younger generation’s tech expertise also means they use ad blockers to fend off intrusive promotions.
3 They Seek Transparency and Authenticity in Marketing
Gen Z is a socially conscious generation. They tend to be critical of the businesses they support and are passionate about positively impacting the world.
For instance, 27% of Gen Zers are more likely to stay loyal to brands using sustainable packaging compared to only 18% of baby boomers. Moreover, 30% of Gen Z values brands that prioritize the environment, in contrast to only 15% of baby boomers (people born between 1946 and 1964).
Gen Z buyers excel at sifting through a vast amount of content and recognizing purpose-driven brands. They seek meaningful stories and genuine connections amid flashy ads and catchy taglines. A notable 23% of Gen Z consumers value authenticity in marketing, rating it as more significant than almost any other product or company attribute.
4. They Adopt a Mobile-First Mindset
Approximately 75% of Gen Z predominantly uses smartphones, favoring them over computers and other devices (Institute of Business Management). As such, Gen Z advertising campaigns that aren’t mobile-friendly may fail to connect with their target audiences effectively.
Besides prioritizing authenticity in marketing, you’ll need to optimize for a mobile-first market. This involves delivering content and experiences optimized for smaller screens, touch interfaces and on-the-go consumption.
How To Market to Gen Z
Given how Gen Z customers behave and the challenges that come with it, brands should consider these six strategies to resonate effectively with this segment of their audience.
1. Leverage User-Generated Content (UGC)
When marketing to Generation Z, brands must avoid overly polished and staged ads. Instead, prioritize sharing unique content that builds trust and creates a more relatable brand image. One way of doing this is by leveraging user-generated content (UGC) in your Gen Z marketing strategies.
UGC provides genuine insights and experiences about your brand from real people. This authenticity makes UGC feel less like marketing and more like honest recommendations. 60% of consumers believe UGC is the most authentic marketing content (HubSpot).
An excellent example of UGC marketing for Gen Z is the GoPro Awards. These are ongoing challenges where participants can win gear and cash by submitting photos and videos taken with their GoPro cameras. GoPro strategically shares the entries across its social media channels to encourage others to join, creating a steady stream of UGC.
Teaming up with a Gen Z marketing agency can aid your brand in conceptualizing and executing hashtag challenges that inspire UGC. Social media consultants can help you monitor trending topics and audience behaviors to maximize the impact of your campaigns.
2. Harness the Power of Short-Form Video
Video content aligns seamlessly with this generation’s preference for quick, entertaining, and bite-sized material. Popular Generation Z marketing platforms like TikTok and Instagram Reels are great for sharing short-form videos, which are between 30 and 60 seconds long and include product demos, behind-the-scenes content or customer testimonials.
Social media consultants advise brands to incorporate trending topics and fun challenges into their videos to encourage user participation and enhance brand recall. Moreover, video content is easily accessible and shareable on smartphones, making it an excellent tool for marketing to Generation Z.
3. Prioritize Personalization in Marketing
More than 50% of Gen Z consumers are open to switching brands if they encounter a higher quality or more affordable alternative (McKinsey & Company). In a generation that doesn’t easily commit to a single brand, personalization in marketing can be the key to success.
About 87% of Gen Z shoppers like personalized suggestions, and 74% are more inclined to buy from businesses that offer them. Personalization in marketing extends to various aspects, ranging from social ads to email campaigns and product recommendations.
Here’s how to harness the power of personalization in advertising:
• Offer Exclusive Discounts: Our social media marketing consultants recommend providing special offers based on customers’ past purchases, preferences or online activity. By making customers feel seen and appreciated, brands can attract higher conversions and repeat sales.
• Use Segmented Marketing: By dividing your audience into specific segments; you can tailor your marketing messages according to each group’s unique needs, shopping patterns and interests. This data-driven approach leads to higher response rates and a greater return on investment (ROI).
• Provide Chat-Based Customer Support: Use personalized chatbots for efficient customer support. If the user can provide their name or ID, the chatbot can offer tailored tips, resolve issues and address queries much faster than scrolling through text-based FAQs.
4. Collaborate With Influencers in Your Niche
Over 70% of Gen Z and Millennials follow influencers on social media (HubSpot).
Influencers are powerful online personalities with a large and dedicated following. They know how to market to Gen Z in an organic and approachable manner, making it more likely for younger shoppers to trust their recommendations. Their endorsement can amplify your brand visibility, broaden your reach and enhance your credibility.
Influencers can run giveaways and contests or post unboxing videos and reviews to promote products or build anticipation around product launches. You can also leverage affiliate marketing, where influencers promote your products or services. They earn commissions for each sale generated through unique codes or referral links.
5. Invest in Immersive Experiences
Gen Z shoppers are drawn to interactive experiences. According to research from the popular platform Snapchat, users engage with augmented reality (AR) more than 6 billion times daily and 93% are interested in using AR for shopping.
Immersive shopping employs simulation-based technologies like augmented and virtual reality. Beauty and fashion brands marketing to Gen Z are beginning to offer virtual try-on experiences. With smartphone cameras, products like lipstick or glasses are superimposed onto the shopper’s live image. Homeware stores are also starting to use AR technology, enabling customers to visualize how furniture or accessories appear in specific locations.
By providing immersive shopping experiences, you captivate Gen Z shoppers and align with their discerning eye for quality and personalization.
6. Embrace Social Responsibility
Effective Gen Z branding involves being transparent about your products and practices. This includes communicating the materials used in your products and explaining your sourcing, manufacturing and hiring processes.
Marketing to Gen Z requires revisiting your brand purpose and values. What do you stand for, and do your business practices align with these values? A commitment to social and environmental issues is more likely to build trust and loyalty. Share initiatives, partnerships or contributions to social causes that align with your beliefs and brand mission.
Collaborating with social media consultants can assist you in developing a cohesive and meaningful brand identity. They specialize in streamlining communication across diverse platforms, ensuring your message resonates with the right audience.
Enhance Your Gen Z Marketing Strategies With Thrive
Ultimately, Gen Z advertising revolves around brevity, honesty and innovation. As a Gen Z marketing agency, Thrive constantly stays on top of trends and shifting consumer behaviors. Count on our social media marketing consultants to develop powerful campaigns that attract your ideal audience and positively impact your bottom line.
From content writing to brand strategy and product photography, we can help. Book a consultation with our social media consultants now and dominate your niche market.