Appealing to Gen Z: 10 things you need to know
Article topics
- Who are Gen Z?
- Gen Z are tech-savvy
- Gen Z search in a different way
- Gen Z are willing to shop around
- Gen Z likes a good perk
- Gen Z champions small businesses
- Gen Z are socially conscious
- Gen Z are willing to embrace alternative payment platforms
- Gen Z wants an authentic experience
- Gen Z are fans of social media and social commerce
- Gen Z likes to spend time in the real world
The age of your customers will affect how you market to them.
For example, older customers are more likely to use Facebook and less likely to scroll through TikTok than younger ones.
In this article, we’ll look at one of the largest-growing generational cohorts – Gen Z. We’ll investigate what they like and dislike, what makes them buy from specific businesses, and how you can appeal to this powerful group of prospective customers.
Who are Gen Z?
Generation Z (Gen Z) is the collective term referring to all people born between 1997 and 2012.
As of 2024, this means the eldest Gen Zers are 27 while the youngest are 12.
Gen Z succeeds the Millennials and precedes Generation Alpha.
Gen Z are also referred to a Zoomers and post-Millennials.
Find out more about the different generational cohorts and how they buy online.
Some interesting facts about Gen Z
- Gen Z have a lot of purchasing power, with an estimated $450bn (£353bn) in spending power worldwide
- Even younger Gen Zers have a lot of financial sway, with 93% influencing household spending
- Gen Zers have incredible levels of recall, being able to remember an ad they watched for less than two seconds!
- The entrepreneurial spirit of Gen Z is strong – with 45% having a side hustle
- Gen Z is the generation most likely to leave a negative review after a bad experience
Now, let’s look at what you need to bear in mind when selling to Gen Z.
1. Gen Z are tech-savvy
Gen Z was the first generation to grow up with the internet and access to digital technology like smartphones, smart speakers, and the Internet of Things.
Gen Zers spend 12 hours a day using technology, with 94% owning a smartphone and 52% owning gaming consoles.
As a result, Gen Zers are highly likely to shop online, with one in three buying online at least once a day.
However, all this skill with tech comes at a cost. Information overload means that Gen Zers find it hard to pay attention, with Gen Zers having a 34% shorter attention span than their Millennial peers.
What this means for your business
A secure online experience is important to Gen Zers, with 87% saying they’d rather keep their personal information private than get likes and shares.
Ensuring your website has an SSL certificate, regularly updating software, and removing plugins and extensions you don’t use can boost security and give Gen Z shoppers confidence in your site.
It’s essential to ensure your site is speedy and mobile-responsive, given how many Gen Zers use smart devices to access the internet. Good technical SEO is vital.
Finally, offer as many communication channels as possible to ensure a great customer experience. Live chat, social media, and WhatsApp are popular choices among young people.
2. Gen Z search in a different way
When Millennials and Gen Xers need to search for something, odds are that they’ll go to Google.
However, Gen Zers are turning to social media to answer their questions.
74% of Gen Zers use TikTok as a search engine, with 51% preferring it to Google. Given that Gen Z spends a lot of time on social media and trusts the content out there, it makes sense.
YouTube is also a popular search destination, with 80% of Gen Zers saying that YouTube has helped expand their knowledge.
What this means for your business
It’s still vital to optimise your website for the search engines. However, you also need to optimise your social media content to rank as high as possible when a prospective customer asks a question.
Think about the words and phrases your customers use on social media, and add them to your posts – for example, your titles, captions, and hashtags.
Also post as regularly as possible – this increases the odds of appearing at the top of the search results.
3. Gen Z are willing to shop around
With a small amount of savings, high levels of student loan debts, and difficulties getting on the property ladder, Gen Zers aren’t as cash-rich as their older peers.
In fact, 56% of Gen Zers admit that money worries significantly affect their mental health.
As a result, Gen Zers are happy to shop around to save money on the products and services they buy the most.
60% of Gen Zers say price is the most important factor in determining where they shop.
However, once Gen Zers find a brand they love, they’re loyal to the bitter end, with 61% identifying as ‘forever customers.’ Compare and contrast with Boomers (43%) and Millennials (57%).
What this means for your business
If you want to win the hearts of your Gen Z customers, it’s vital to offer high-quality products, an exceptional customer experience, and values that align with their own. We’ll talk more about values later.
Do loyalty programmes appeal to Gen Z shoppers? They can, but you must design them with Gen Z’s needs and wants in mind. Gen Zers would rather receive experiences rather than transactional rewards – for example, VIP invitations to events and early access to new products.
Gamified loyalty programmes can also appeal to Gen Zers who play a lot of video or smartphone games.
4. Gen Z likes a good perk
Everyone loves a freebie – and Gen Z is no exception.
50% of Gen Zers say they’re more likely to engage with a brand if they offer a discount, while 38% will happily abandon their shopping carts if free shipping isn’t an option.
Gen Z also loves product samples, with 50% advising that they’d try a sample that came with a delivery. This can be a fantastic way to provide additional value, as well as encourage customers to try new product lines.
What this means for your business
Keeping your Gen Z customers sweet with discount codes, free shipping, and product samples can lead to more sales, increased average order value (AOV), and boosted brand loyalty.
If you’re not able to offer discount codes and free shipping, consider other benefits like early access to sales and expedited shipping.
Speak to your customers and ask what they’d like to see most.
5. Gen Z champions small businesses
Gen Zers want to stand out from the crowd and have their own distinct style. As a result, they’re more likely to support small businesses.
60% of Gen Zers choose products because they’re made by smaller brands, compared to just 42% of Gen Xers.
What this means for your business
If you’re a small business, you can’t rest on your laurels. It’s still important to showcase your unique selling points to encourage Gen Zers to choose you over the competition.
If you’re locally based, local SEO can be a brilliant way to stand out in the search engine (and social search engine) results. Identify local keywords, create a Google Business Profile, and add location pages to your website.
6. Gen Z are socially conscious
Social issues and sustainability are important to Gen Z. They are highly aware of what is happening in the world and are conscious that their future well-being is linked to the state of the planet.
62% of Gen Zers prefer to buy from sustainable brands, with 73% willing to pay a premium for sustainable products.
69% of Gen Zers want brands to take a stance on racial justice, while 50% want them to take a stance on LGBTQ+ rights.
It’s important to note that while Gen Z wants to be socially conscious, pricing and other factors sometimes mean this isn’t possible. While 63% of Gen Zers are concerned about fast fashion, 17% shop weekly at retailers like Primark and Shein.
What this means for your business
If you want to successfully sell to Gen Z, it’s vital that your values mirror theirs.
You also need to communicate these values clearly on your website and in your marketing. 58% of Gen Zers say that if a brand doesn’t do this, they assume they’re not doing anything.
Remember that Gen Z is one of the most diverse generations around – make sure your marketing and promotional materials reflect this. User-generated content (UGC) is a great way to acquire content that truly represents your customers.
7. Gen Z are willing to embrace alternative payment platforms
Cash isn’t king when it comes to Gen Z – with only one in ten using cash as their primary form of payment.
Debit cards are the payment method of choice, with 52% of Gen Zers using them. However, Venmo, Apple Pay, Cash App, and PayPal are also popular options.
While not as well-used, Gen Zers, along with Millennials, are the most likely generational cohort to own and use cryptocurrency.
In place of credit cards, Gen Z are also willing to use buy-now-pay-later services like Klarna and Clearpay. 18% of Gen Zers use the services to buy big-ticket items at a time convenient to them.
What this means for your business
You need to offer a selection of payment options that increase the chances of Gen Z shoppers buying on your website.
(Although bear in mind that more payment options aren’t always better.)
Don’t forget to display the payment options you accept prominently on your website – this boosts confidence and trust in your online store.
8. Gen Z wants an authentic experience
Gen Z wants to buy from authentic brands that they trust.
Brand authenticity is important to 34% of Gen Zers, compared to 24% of all customers.
Gen Z is the least likely generation to trust and engage with content made with artificial intelligence (AI). Similarly, they are significantly affected by photoshopped images, with 70% feeling self-conscious after viewing flawless photos on social media.
What this means for your business
Avoiding AI and photoshopped content, as well as encouraging reviews and testimonials from previous customers, will give Gen Z shoppers a reason to trust you.
Personalisation can help your cause too – for example, segmented email marketing, product recommendations, and customised loyalty programmes.
Whatever you do, don’t take a performative approach to your marketing – Gen Zers can quickly suss this out. A third of Gen Zers say they’ve unfollowed brands on social media because they’re not authentic.
9. Gen Z are fans of social media and social commerce
Gen Z spends an average of two hours and 55 minutes a day scrolling through social media. As a result, it’s no surprise that they use these platforms to identify, research, and even buy products and services.
55% of Gen Zers have made an online purchase while browsing social media, compared to 38% of the general population.
Why is this the case? As Gen Z spend so much time on social media, buying through social commerce means they can continue to browse and engage interrupted.
Plus, as Gen Z trust social media content creators and influencers, they’re readily willing to accept their recommendations.
Which social media platforms does Gen Z use? 91% of Gen Zers are on Instagram, while 86% are on TikTok.
What this means for your business
It’s free to add your product catalogue to your social media platform of choice, and if you use an eCommerce platform like Shopify, you can import your product catalogue directly. You can also use paid social advertising to promote your business to new, highly targeted audiences.
Gen Zers respond well to influencer marketing and UGC as they’re authentic and credible. 70% of Gen Zers say UGC plays a significant role in what they decide to buy.
Fresh content is essential, given that 25% of Gen Zers access TikTok at least once a day. Post regularly and engage with followers to get the best results.
Gen Z has a wicked sense of humour, so be sure to factor that into your social media campaigns to get their attention. Think Duolingo, Ryanair, Scrub Daddy, and e.l.f!
10. Gen Z likes to spend time in the real world
While Gen Z feels right at home on a smartphone or tablet, they also like to take a break now and then.
Three out of five Gen Zers have taken a social media detox to reconnect with the world around them.
While Gen Zers love to shop online, they also enjoy an in-store experience – the ability to see products before buying, and the instant gratification of getting their product right away. 77% of Gen Zers like to buy clothing in a real-life store.
What this means for your business
An influential online presence is vital if you want to attract a Gen Z crowd, but it’s just as important to consider how you represent yourself offline.
If you have brick-and-mortar stores, consider your omnichannel experience and ensure consistency between your offline and online presence.
Also think about how you engage with customers in the real world, everything from out-of-home (OOH) advertising to real-life meetups.
And finally…
Don’t forget to identify your exact target audience.
According to Statista, just over 13 million people in the UK are Gen Z. That’s a lot of people with a lot of different lifestyles, interests, and hobbies!
The eldest Gen Zers will have jobs and possibly even children, while the youngest will still be in school.
While this guide will help you understand more about what Gen Z likes and dislikes in general, it’s still essential to carry out extensive market research.
This will help you identify the people most likely to buy your products and services and create marketing campaigns that will grab their attention.
Need help creating marketing campaigns that your younger customers will love? Get in touch with us today.
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