Generation Z is the most diverse, best educated generation in America today. Their size and spending power is a force to be reckoned with, already accounting for 40% of US consumers. Annually, Gen Z boasts $143 billion in spending power, plus the $127 billion in family spending on which they exert influence. While the generation as a whole has brands they like, only 36% say they have strong feelings of brand loyalty. Companies of all shapes and sizes need to figure out how to market to the new generation.
If Gen Z doesn’t buy based on brand name, what motivates them to buy? Values. Among Gen Z, trust major institutions fell by 10% during the pandemic. Young people want to buy from brands they trust to do the right thing. The “right thing” includes sustainable business practices, ethical sourcing/production, and inclusivity. 73% of consumers surveyed said they would pay more for a sustainable product, the most of any generation. Attract customers by doing good for people and planet, then base marketing around the fact.
Once you have your message, the best place to post it is social media. Gen Z is most active on TikTok, Instagram, YouTube, and Snapchat.