Gen Z - Changing the face of retail
“The newest consumer generations—Gen Z and millennials—are upturning retailers’ expectations”. But, who are they? We’ll look at who they are, what we know about them, and what should be the plan of attack for online retailers.
Who is Gen Z?
Gen Z is our latest generation, they are born after 1996 and are under the age of 24. Generation Z (also called Gen Z, zoomers, or iGeneration) is the name for people who grew up spanning both sides of the millennium transition. Although there isn’t an exact date range, Generation Z includes those born between the mid-1990s to the early 2010s.
Generation Z is often described as a more well-educated generation that is more stressed and more depressed compared to generations before them. They often have high expectations of themselves that are often not met.
Gen Z is known for advocating for causes they are passionate about via social media platforms. 77% have taken some form of action for a cause they believe in. And, if brands want to tap into the population, they’ll need to pay attention to what the generation values.
There is a new type of consumer for online retailers to get to know.
The most critical generation yet
Generation Z has a different view of shopping and consumption than previous generations. According to Bo Finneman, Gen Z want to breathe “new life” into what corporate social responsibility looks like. Gen Z considers a brand's values and morals before choosing to purchase from them. You can see this through the popularity of sustainable products. 73% of Gen Z are willing to pay 10% more for sustainable products
The rise of the influencer
Gen Z is the first generation to handle the rise of social media influencers which has transformed the way they purchase and interact with brands. Around 18% of people choose to go to an event because it's “instagrammable” whilst 16% choose to eat at certain locations due to the gram. A few negative reviews could kill a brand off.
With a bigger demand for higher-quality items and monitoring their spending more closely, brands have to earn their place in Generation Z’s wallets.
Social Commerce Growth
Social commerce is when you combine social media with E-commerce. Companies have now begun selling products through social media, like Instagram, Facebook, and TikTok. Social commerce has removed friction from the shopper’s customer journey. Social commerce reportedly brought in $36.09 billion in 2021.
The most popular social commerce category is fashion, which includes apparel and accessories. We believe that social commerce is here to stay, and it’ll be very powerful soon.
Another trend Gen Z embraced is mobile payments. This can be either mobile apps or mobile wallets.
Over the past years, mobile apps have been increasing in popularity, and have given great results. Companies with a mobile app have a big advantage compared to companies that don’t have an app. Mobile apps convert 157% more than a mobile web session.
Gen Z - The Future of Retail
The future purchasing power is in the hands of the Millennials and Generation Z. Both generations have become a massive commerce opportunity, thanks to their high buying power, spending power, and brand loyalty. Brands will need to be clever in how they approach Gen Z. The faster a brand can create a relationship with them, the quicker the success.
Are you looking for help to target Gen Z? The Zen Agency can help whether it be implementing a new marketing strategy or implementing new features on your E-commerce website, we’ve got you covered. Call us today on 0141 229 1333 or fill out our quick enquiry form on our website and a member of the team will be in touch to discuss your marketing needs.
The Zen Agency are specialists in all things digital, whether it be website and app development or digital design. We cam help with creating digital marketing strategy, content creation, social media marketing, PPC, SEO and videography.