Monday, April 3, 2023

Gen Z are Not Millennials, Not Gen X They are Different

Do you know who spends the most at your brand, who spends the most, who looks for your stores the most?  Is it Gen Z, Millennials, Gen X, Baby Boomers? The more important is the question who will be spending the most at your locations over the next 10 years?  According to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® Gen Z will soon be more important to your band than any other demographic.

Today the oldest members of Generation Z are coming of age and poised to become the most racially and ethnically diverse generation yet. That according to Mintel in addition they believe brands must start to recognize concerns particular to this group if they want to successfully connect to them.

Once again in a new report, Mintel breaks down three key findings brands will need to know about successfully marketing to Gen Z consumers. We think you should know this information as well so we are going to share information gleaned from the report.  

So, “Gen Z is the first generation to grow up with smartphones, tablets and platforms like social media and YouTube as the norm. The oldest Gen Z members (born 1996) were 11 when iPhones first launched (2007) and 14 when the iPad was introduced (2010).

Admit it or Not

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Share of Stomach

Generation Z members media habits and usage of digital technology will force businesses to approach them differently than previous generations. They are intolerant of traditional ads, which makes them tune out, but are open to being influenced by people they genuinely trust, including celebrities and micro-influencers (who Gen Z find more authentic and emotionally appealing).

What’s troubling about that for example is Gen Z members once embraced Kanye West, then dropped him faster than any brand could have imagined.  That’s and example of being youthful, problimic if you a brand endorsing West.  

So, Mintel thinks that Gen Z's usage of social media is a behavioral trait that also sets them apart, while simultaneously creating new avenues for marketers to connect with them. The cohort has a tendency to shop with smartphones, so brands and retailers should continue to leverage digital channels where these consumers typically find content to drive discovery, engagement and, ultimately, purchases, according to Mintel. Here lets see some more insights from Mintel:

1.       Gen Z members have experienced several economic and social traumas and are no longer willing to be silent about the cards they've been dealt, Mintel pointed out. They are open about their need for social and environmental change and will hold corporations accountable for their actions.

2.       Gen Z members are more likely than older consumers to pay attention to brands' values/missions and to support those that align with their own. For marketers, that creates the opportunity to connect causes with purchase behaviors. Category players that lead with a cause that aligns with Gen Z's values are better positioned to connect with this audience, thus driving more brand engagement and repeat purchases. 

3.       Gen Z members in the United States are more diverse than any previous generation in terms of race, gender and sexuality. They value individuality, while proudly supporting equity and inclusion, and will rally behind authentic and accurate representations.

4.       More than half of Gen Z consumers in the United States feel they would be better represented in advertising if more people without perfect lives were shown. Therefore, brands looking to increase their relatability among this generation would do well to focus on creating ads that embrace inclusivity and use real people rather than relying on celebrities, influencers or models, according to Mintel.

5.       Gen Z wants attainable representation and will increasingly expect brands to destigmatize flaws and work to undo unrealistic beauty standards.

6.       Members of Gen Z will also be more inclined to notice any instances of discrimination or underrepresentation.

7.       Almost one-third of Gen Z adults say they would feel better represented if they saw more racial diversity and more people who do not follow "traditional" gender stereotypes in advertising. For brands, it will be crucial to respect different choices and think the way Gen Z does on these issues, the firm added.

Mintel concludes that while marketers have mastered the art of understanding millennials, brands will need to diversify their approach to connect with Gen Z. They must understand the generation's nuances, target them with relevant products and craft relatable narratives while maintaining ethical standards. Now for more insights into Gen Z shopping habits from Mintel, click here.

For international corporate presentations, regional chain presentations, educational forums, or keynotes contact: Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions.  His extensive experience as a multi-unit restaurant operator, consultant, brand / product positioning expert, and public speaking will leave success clues for all. For more information visit, FoodserviceSolutions.US or call 1-253-759-7869 

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