education
14 Things You Should Know About Gen Z
Gen Z confuses, perplexes, and stymies marketers like no other. Here, insights collected from expert sources offer clues on how to reach the first truly digital demographic. By Charles Pappas
Company: Born: 1997 to 2012
Age: 12 to 27 Size: 68.6 million, about 20 percent of the U.S. population Median income: $38,300 for Gen Z workers between the ages of 20 and 24 Cities with the highest concentration of Gen Z per capita: Minneapolis, MN; Atlanta; Boston; Columbus, OH; Raleigh, NC; Tucson, AZ; Austin, TX; Milwaukee, WI; Houston; Philadelphia
When you think of a wave of almost 70 million people coming at you whose collective designation starts with the letter “Z,” you might be forgiven for assuming “ombie” completes the rest of the name. But you would be wrong. It's zoomers, aka Generation Z, aka Gen Z, the demographic born between 1997 and 2012. According to the United States Census Bureau, Gen Z represents about 20 percent of the U.S. population. Around half of them are now in the job market, and, by the end of the year, they will overtake baby boomers in the U.S. workforce. By 2030, they will comprise about 30 percent of the workforce. They're your coworkers, employees, and customers you'll need to work with, supervise, and not least, market to.
Understanding the forces that shape them can be difficult. Gen Z's defining moments are seismic but difficult to visualize: the Great Recession, the Affordable Care Act, growing up with the first Black U.S. President, legalized gay marriage, and being born in the digital age. They are the most diverse group yet, with 48 percent of them non-white compared to 18 percent of boomers who share that designation. For exhibit and event marketers, the more you know about them, the better you can compete for their business. Here we've collected nine revealing insights about Generation Z and their impact on the world. Since the cohort wields about $360 billion in buying/spending power, you ignore or dismiss them at your bottom line's peril. While you're reading, keep in mind something Gloria Steinem once said: “We need to remember across generations that there is as much to learn as there is to teach.” 1AI, Caramba When even Bill Gates frets about losing his job to AI, these super-smart programs might seem too alarming for lesser mortals. But Gen Z is taking to the transformative technology with the speed of a fiber-optic internet connection. A report from Morning Consult said that 58 percent of Gen Z members have used generative AI in the last month, while more than 30 percent have experimented with it in their workplace — a number that's likely to grow. The flip side to Gen Z's greater familiarity with AI is an increased level of anxiety toward brands employing it without guardrails against potential drawbacks. These negatives include reduced human interaction resulting in poorer customer service, and the lessened authenticity that results from programs spewing preformatted responses. THE TAKEAWAY: Marketers should refrain from sprinkling the term “AI” on their products like we do pumpkin spice on anything edible. Emphasize AI's dependability and capacity for increasing productivity, but also incorporate customer-centric policies. Let online clients know how they can escalate to an actual human being if the chatbot isn't giving them what they need. 2 Reality: Now with Extra Toppings! More than 90 percent of Gen Z are interested in using augmented reality when shopping, per research from instant-messaging app Snapchat. Gen Z is also 71 percent more likely than older generations to use AR regularly, while 26 percent report using it in some form at least once a day. On top of that, Gen Z (along with Millennials) are the age groups most interested in metaverse activities, especially to socialize — zoomers spend twice as much time with their friends in the metaverse as they do in real life. Even more significant, 52 percent of Generation Z gamers report they feel more like themselves in the metaverse than they do in real life, according to interactive agency Razorfish and Vice Media Group. THE TAKEAWAY: Use AR to show your products either online or in person. Gamified events requiring extensive interaction can vastly increase dwell time in the metaverse, which means prolonging participants' exposure to your brand. 3The Clock Is Ticking, TikTok, TikTok Exhibit and event marketers can anticipate where they should target the various generations by understanding the online platforms each favors the most. Millennials, for example, flock to Reddit and WhatsApp (43.7 and 36.4 percent, respectively, use them), while Gen Z veers off in a radically different direction: The Pew Research Center confirmed they prefer TikTok (44.7 percent), and Snapchat (51 percent) even more, spending about 24 to 48 hours per month on TikTok alone. THE TAKEAWAY: This may indicate a trend toward apps that feel more instantaneous, scrape (supposedly) less personal information about users, and place more emphasis on visual appeal. Instagram's visual format makes it an effective means to communicate with the group. The popularity of YouTube strongly suggests this cohort has a preference for learning through videos. 4Face Value Even though Gen Zers stay close to their phones and screens, the face-to-face (F2F) marketing industry doesn't have to worry about live events going the way of the dinosaur. A survey conducted by the AAA and Bread Financial Holdings Inc. ascertained that approximately 65 percent of Gen Z members report having traveled in the past 12 months, and/or plan to travel in the next 12 months more than 50 miles from home for in-person activities such as sporting events, comedy shows, and concerts. Underscoring how attractive live events are to Gen Z, more than half (53 percent) plan to attend live events by plane, easily the most of any generation. Distance is no obstacle for them, either: 18 percent of Gen Z report they are willing to go more than 1,500 miles for an event compared to just 9 percent of baby boomer travelers. THE TAKEAWAY: Gen Z wants to interact with brands via their phones and visually oriented websites. To cement a relationship with them, invest in live F2F events, which they are clearly more willing than any previous generation to attend. When it comes to engaging with brands, Gen Z exhibits a lack of enthusiasm that borders on aversion. Per Lab42 Research, nearly a fifth — 19 percent — do not engage with companies and brands at all. Furthermore, 27 percent never “like” a brand or company's social-media page and 43 percent never leave a comment on it. It gets worse: Almost eight out of every 10 Gen Zers believe that brands are disingenuous and say things they don't sincerely stand behind. THE TAKEAWAY: IBM/NRF research concluded that Gen Z reacts well to brands they grew up with (e.g., Nike, Doritos, Amazon), and research company YPULSE Inc. states they place enormous value on authenticity and diversity. The most strategically sound way to approach Gen Z may be to center your messaging around your brand's quality, supply chain, and how you address related social and environmental issues. If appropriate, include diverse and body-positive imagery in your marketing. 6Long Story Short Bigger may be better, but shorter is smarter. That's according to Emarketer Inc.'s research that concludes 61 percent of Gen Z prefer videos running under 90 seconds. But longer content isn't dead. The same study found 20 percent of people in that demographic watch videos that run more than 30 minutes long. THE TAKEAWAY: Videos under 90 seconds signal to viewers that they can be quickly consumed, conveniently stored, and easily shared with others. To entice Gen Z with longer-form videos, Think with Google's analytics insights suggest that videos where brands collaborate with celebrity or influencers are highly watchable. 7Search and Ye Shall Not Find Gen Z is just one year older than Google, which may be why the search giant is almost as passe among them as floppy disks and landlines are to older demographics. A survey from Forbes Advisor and Talker Research reveals an upheaval in search habits that is almost as dramatic as the one going from paper to pixels. A full quarter of Gen Z members polled say they only or primarily use social media to conduct general searches online, while just 64 percent use search engines to explore anything about brands, compared to 94 percent of baby boomers. This bias toward social media is also reflected in the 44 percent of zoomers who report they discover new brands on social media every day. Gen Z is much more likely to use TikTok and Instagram than Google for certain kinds of lifestyle searches, e.g., hair/makeup, well-being/fitness, and fashion. Google is still king, however, when it comes to searches for things like news, sports, cars, electronics, and financial services. THE TAKEAWAY: Optimizing your brand's presence on Google is still an important part of an effective marketing strategy, but companies and brands should continue to expand into social media, such as Snapchat, TikTok, and Instagram. Those and similar sites offer a combination of video formats alongside more relatable and even personalized answers, which are a powerful lure for zoomers. 8User (Generated) Friendly The desire to create its own content fuels Gen Z like no other. To illustrate: More than 60 percent of TikTok users are Gen Zers, according to Wallaroo Media, where they form part of a tribe of which more than eight out of every 10 have created a video they posted on the social media site. Gen Zers prefer user-generated content (UGC) because it feels more authentic than something churned out by corporate committees or “Mad Men”-like advertisers, which helps build trust with the brand. Actually, 70 percent of Gen Z consider UGC (e.g., reviews) in a brand's marketing when making purchase decisions, asserts Cloudinary and Researchscape, following a joint survey. While this refers generally to text reviews from users, the most effective part of such appraisals is a photo, with the text coming in second. THE TAKEAWAY: Marketers should capitalize on such untouched territory for brands on social media by asking customers for reviews of products and services, or ideas on creating and improving them. 9Cause and Effect The depth of Gen Z's belief in causes may surprise you. Around one in three Gen Zers are regularly involved in some form of activism compared to 24 percent of Millennials, according to the United Way's survey on Gen Z activism. Action takes precedence with them over donating money, too: 61 percent volunteer their time to causes at least once a year contrasting with 27 percent who donate money to specific organizations or causes biennially. Their top areas of concern include inflation/cost of living, healthcare access/affordability, affordable housing, climate-change initiatives, gun control, and income inequality. THE TAKEAWAY: Give back to social causes that resonate with Gen Z by, for example, visibly donating to a charity or nonprofit related to the causes listed above. Demonstrate you're sustainable: Whatever cause you support or stand you take, follow through on it. Gen Z values authenticity, and short-lived support will likely backfire. Perhaps the most visually oriented of the past several generations, Gen Z devours optical content through their social platforms of choice: YouTube, TikTok, and Instagram, based on findings from Morning Consult. The preference goes beyond a here-we-are-now-entertain-us attitude, though: 65 percent of Gen Z prefer to learn things via videos, with only 19 percent favoring the written word. This contrasts sharply with the rest of the adult population, only 45 percent of whom want to learn through videos. THE TAKEAWAY: Savvy marketers will steer away from the paper pamphlets and collateral literature of yore and project their message to Gen Z through video-heavy methods. 11Mail Storm Based on findings from Babbel GmbH, more than a third of Gen Z workers — 36 percent — report a backlog in excess of 1,000 unread emails in their inbox, compared to 18 percent of all office workers. More than any other demographic, they're also likely to acknowledge they've sent an email they regret, with one in five Gen Z workers admitting they “very often” feel remorse over their emails. Zoomers allow their emails to pile up unread because the formal nature of email, combined with a lack of visual cues, make dealing with the medium uncomfortable. THE TAKEAWAY: Move away from blindly spamming them with thousands of emails that might not ever be opened. Instead, consider opting for communication, when possible, on their preferred platforms, such as Instagram or TikTok, which emphasize visual cues. More importantly, 65 percent and 62 percent of their Gen Z users check them daily, respectively, according to Business Insider. 12Phone It In The IBM Institute for Business Value and The National Retail Federation (NRF) discovered an overwhelming 75 percent of Gen Zers consider mobile phones their go-to device of choice. That's likely the result of 91 percent of them receiving their first mobile device before age 16. THE TAKEAWAY: Gen Z is truly mobile-first, and the generation is more likely to engage with content designed for mobile devices, such as videos, memes, stories, and GIFs. Design mobile-friendly content because 60 percent will not use an app or website that is too slow to load. 13Shop Talk The Influencer Marketing Factory states that when it comes to their primary source of shopping ideas, 97.5 percent of Gen Z cites social media. Another survey by Yes Lifecycle Marketing revealed that about 80 percent of Generation Z shoppers have purchased a product that they've seen in their social-media feed. One in five Gen Zers say that their activity on instant-messaging app Snapchat influences their purchasing decisions. To get a sense of how this plays out, #Tiktokmademebuy has garnered more than 75 billion views. THE TAKEAWAY: Gen Z window shops on social media first. Any marketing strategy needs to re-focus on getting in front of them on their favorite platforms, and the easiest/quickest way to do that might be influencer marketing. 14Sports Is Not a Slam Dunk Anyone who's ever watched a Super Bowl knows the companies like Sleep Number and Budweiser who go one-on-one with football (yes, the mixed metaphor is on purpose). Aligning your brand with a sports team in a country where the NFL draft has nearly achieved the status of a national holiday might seem like a no-brainer. But instead of hitting a homerun with your Gen Z customers, that might be a quick way of striking out with them. While a Siena/St. Bonaventure survey revealed 70 percent of Americans identify as sports fans, there is a steep decline with Gen Z, who are more “Meh” than “Rah! Rah!” when it comes to athletic fandom. A mere 23 percent of Generation Z describe themselves as avid sports fans, as opposed to 42 percent of millennials, 33 percent of Generation X, and 31 percent of baby boomers. Even more revealing perhaps is the number of Gen Z members who identify as “anti-sports fans” — a staggering 27 percent contrasting with 7 percent of millennials, 5 percent of Gen X, and 6 percent of boomers. Traditional sports may be 🙃 with Gen Z, but gaming is nonetheless deeply woven into their lives. The Newzoo International B.V. study of gamers showed that 90 percent of them are video-game enthusiasts, compared to 79 percent of the total online population. Gen Z gamers play for an average of 6 hours and 10 minutes per week. THE TAKEAWAY: Given Gen Z's fondness for gaming and mobile phones, it might be effective to market to them through short, phone-based games that offer a chance to socialize with others as well as win product-related rewards. Also consider approaching them through gaming channels, online gaming communities, gaming podcasts, and gaming-heavy conventions such as Comic-Con International, Penny Arcade Expo, and QuakeCon. E
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