Helpful Gen Z Marketing Stats and Info
Generation Z is a crucial audience for marketers in every category.
The group is poised to wield the most purchasing power in history. And many of the cohort’s members are already in the workforce and spending their hard-earned dollars.
But what do Gen Z’s demographics look like? What do they care about? How do they purchase goods and services? More importantly, why do they purchase them? Read on to find out.
Who is Gen Z?
According to the Pew Research Center, Gen Z ecompasses anyone born between 1996 and 2010. Generation Z is very representative of the country’s changing racial and ethnic demographics.
This generation is projected to become majority nonwhite by 2026 according to Census Bureau projections.
Gen Z is also on track to be the best-educated generation to date. A higher percentage of them are enrolled in two- or four-year schools compared to Millennial and Gen X groups that came before them.
When it comes to ideas about gender identity, Gen Z is at the forefront of a changing landscape. Gen Zers are much more likely than those in older generations to say they personally know someone who prefers to go by gender-neutral pronouns, with 35% saying so, compared to 25% of Millennials.
It’s clear this group lives largely on digital platforms. But the opinions of friends and family still trump third-party reviews. A Morning Consult Influencer Report found that 52% of Gen Z trusts influencers they follow on social media for advice about products or brands. But that pales in comparison to the whopping 82% who trust their friends and family over any other source.
What does Gen Z look for in a shopping experience?
Gen Zers are an economic force to be reckoned with. As of 2020, they are projected to be 2.56 billion people strong. As the first generation to largely grow up with social media and mobile devices, it’s no surprise they are digital natives. And that extends to their shopping habits.
A report created by IBM and the National Retail Foundation uncovered some key takeaways around Gen Z’s online expectations:
What does Gen Z care about?
Both online and off, members of Gen Z closely guard their privacy. On social media, they often limit their posts to close friends and family. The same is true of the businesses they choose to work with. They expect brands to be transparent about how personal data will be stored and used. In fact 61% of respondents to a survey about personal data ranked “Offer secure storage and protection of personal data” as their top priority when choosing a brand.
Gen Z has a very entrepreneurial mindset, especially when it comes to the online world. 22% say they make money online and 16% say they work for themselves. They’ve naturally leveraged their position as digital natives, turning it into income via side hustles or businesses started at a young age.
It then comes as no surprise that they are very conscious of financial health. According to Indeed, the group’s collective coming of age during hardships like the great recession and COVID 19 pandemic means they saw parents or other loved ones struggle. This has had a profound effect on Gen Z’s outlook towards careers and financial security.
Regarding society as a whole, Gen Z is very engaged in social change. This includes everything from racial inequities to climate change. 66% of surveyed Gen Zers believe that communities are created by causes and interests, not by economic backgrounds or educational levels.
Members of this generation expect brands to take a stand when it comes to topics like these—and show their monetary support when companies do. In that same survey, 77% of Gen Z say they feel more positively towards a brand when it promotes equality on social media.
What does all of this mean for your brand?
While Gen Z may not currently be the world’s primary purchasers, their time is quickly approaching. Even now they influence the decisions of parents and friends, putting their purchasing power to work before being the bankroll.
Now is the time to begin courting this audience. Build brand affinity early by providing value to them through meaningful experiences. You can let them try your product firsthand through tactics like product sampling programs.
Quality sponsored content—especially tied to a cause Gen Z cares about—is another good way to get in front of this group. When shared by trusted real-world influencers, from teachers to community leaders, this tactic allows you to leverage the third-party credibility of respected figures.
Regardless of what tactic you choose, one thing is clear: Gen Z is not an audience that can be ignored.