The youngest consumer group, Generation Z (or “Gen Z”), is quickly growing into a formidable force. By 2020, today's 14-19 year-olds will be the largest group of consumers worldwide, making up 40 percent of the US, Europe, and BRIC countries. Gen Z’s habits and behaviors will heavily influence the future of mainstream retail, and much of it already looks positive!
Gen Z is interacting with brands on social media in a far more favorable manner than Millennials—they’re buying.
According to a recent study by ORIGIN, Hill Holliday’s independent business and consumer research group, 43 percent of Gen Z social media users have made a purchase directly through a social media platform. In fact, they’re 4X more likely to convert on social media than Millennials.
Additionally, the study notes that 65 percent of Gen Z social media users follow brands on social channels. However, purchases can also happen through advertisements as indicated by the 55 percent who noted that their purchase was inspired by an ad.
To keep pace with these shoppers, brands must balance both organic and paid social media content.
Pop culture events and trends are a great opportunity for brands to engage in real-time conversations with Gen Z. Brands such as Nike and Adidas are quick to start conversations on trending affairs, and its young followers have taken notice. Both brands are among the most preferred by Gen Z.
- Maintain a balance of organic and sponsored content.
- Connect with Gen Z through the social channels they use to relate with their friends. Get a breakdown of the demographics behind social media users here.
- Learn from each interaction, then use that data to deliver customized services and experiences.