Gen Z has been described as “the most disruptive generation” and is already on track to catch up with millennials’ earnings by 2031. This makes the generation born between 1995 and 2010 a highly sought after demographic for companies looking to continue growing for years to come.
How does Generation Z react to brands?
With Gen Z currently between the ages of 10 and early 20s, they account for 2 billion of the world’s population. Perhaps more importantly for US companies, Gen Z makes up 40% of consumers in the United States.
This means companies need to understand how Gen Z relates to brands and technology to suit their tastes. The best way to do that is with data, and luckily we have recently published insights to analyze.
Gen Z’s Spending Influences
Data firm NowSourcing collected information on Generation Z’s relationship with brands on behalf of Rave Reviews. They found that Gen Z spends their own money mainly on clothes and shoes, books and music, app, toys and games. Events and outings were another popular spending influence for Gen Z.
The most popular brands under Gen Z were Netflix, Google and Youtube, with Amazon, Oreo and Playstation also very popular. Other brands popular with Gen Z included retail giants Walmart and Target, as well as Doritos and Nintendo.
Interestingly, however, only 36% said they have a strong connection or loyalty to a particular brand.
The diversity generation
Another interesting aspect of Generation Z is how diverse they are. Today, 48% of Gen Z are non-white, and 22% have at least one immigrant parent, compared to 14% of millennials.
Twice as many as previous generations identify as LGBT+, with 35% saying they know someone who prefers gender-neutral pronouns.
Generation Z is also on track to become the most educated generation, with 57% of recent high school graduates enrolling in a 2- or 4-year college. Only 44% live with a higher educated parent.
Generation Z Values and Ethics
How Gen Z perceives the world can have a big impact on how companies can sell their products to them. The data suggests that the best way to attract Gen Z customers is an ethical product. This is because 65% say they research the origin of a product before buying it, including where, how and what it is made of.
More than 90% of Gen Z say they prefer products that promote sustainable and ethical business practices. Also high on their list of priorities are inclusiveness and common shared principles. More than three quarters will also actively spread the word about unethical companies they believe are macho, racist or homophobic, as well as involved in scandal.
They also use quite a diverse array of social media platforms, with TikTok, Instagram, YouTube, Snapchat, and Discord being some of the most popular. Less obvious forums are the Fortnite and Roblox games, as well as the Twitch streaming service.
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This post How does Generation Z react to brands?
was original published at “https://smallbiztrends.com/2022/07/generation-z-relationship-with-brands.html”