Understanding the Marketing Segments: How to Attract Gen Z Customers

Author: Waqas Nazeer

In the ever-growing digital marketing landscape, Generation-z often known as Gen-Z has remarkably changed the dynamics and strategies of marketing. Born between the mid-1990s and early 2010s, Gen-Z is the frontier of consumerism with unparalleled influence over the world of marketing. According to statistical data, almost 40% of the shoppers around the globe are Gen-Z. Not only that, sources from the BBC confirmed that Gen Z represents spending power of $360 billion in the US. To thrive in this era, businesses must master the art of segmentation and tailor their strategies to resonate with the preferences of this generation. It won’t be long before Gen-Z will take over the global retail spend. By 2030, there will be an increase of global retail spend for this market segment. (Source: Afterpay) Here’s what modern brands need to know to craft compelling marketing campaigns.

Cracking the Gen-Z Code

Gen-Z is not just another generation, it is a cultural force. They are a generation born around the time when the internet was just being explored and the world was shifting towards more technological advancements. Thus, they are tech-savvy and take their time to understand everything in detail. This group includes individuals with varying interests and lifestyles, brands that recognize these nuances and strategize accordingly always take the lead. Following are the key segmentations that might help in marketing:

Authenticity and Transparency

This culturally diverse group consists of young shopaholics who won’t settle for anything less than what they deem perfect. They take their sweet time to properly research brands to have a better insight into what they are getting themselves into. Such well-rounded customers demand authenticity. Brands should be open and honest about their core values, products, and mission. Don’t treat them as just a source of profit, be genuine and you’ll more likely attract them.

How to Attract Gen Z Customers, an image showing gen z people looking into screen
Generated by Leonardo AI

Value-Driven Initiatives

Gen Z is often characterized by their focus on social responsibility, sustainability, and authenticity. 73% of this generation are more likely to support brands that align with their values. (Source: Edelman) They are willing to pay high if the brand is more value-driven. From sustainability to mental health, brands should embrace social responsibility and create marketing strategies likewise. This generation is more woke and vocal, so such businesses thrive more and have layouts matching their values.

Visual Storytelling

In the modern era in which we reside where everything is just a click away, brands need to be more visual. This generation loves creativity, the more artistic your brand storytelling is, the more chances you have at big sales. Utilize engaging visuals, short-form videos, and interactive content to capture their attention. Social media platforms like Instagram and Snapchat reels or TikTok are among the most favorite time-passing activities. International Council of Shopping Center reported that social media impacts almost 85% of Gen-Z shoppers. Build credibility by being more active on social media.

Add Crispy Content 

You can’t grab the attention of Gen-Z by just being active on social media. The quality of the content you post speaks volumes about your brand. Whether it is a short fun video or an interesting challenge that your customers have to take, as long as the content is cool, all eyes are on that brand. The interests of Gen-Z change with the shifting trends. If the brand’s content is more adaptable to the palate of this generation, be ready to take a step up the ladder of success.

Influencers Collaborations

Creative collaborations are important for building your brand and making it more successful. The micro-influencers that communicate with their audience have a striking influence. The brands that pass their judgment are among the conquering heroes. When it comes to brands and product recommendations, 52% of Gen-Z users take advice from their favorite influencers. (Source: Ion) Target the influencers who resonate with Gen-Z. This collaboration will even put more ideas in your head to do the trick and get to the top.

AI generated influencer
AI generated influencer, tool used: Leonardo AI.

Create Community Spaces

Research indicates that Gen-Z spends more time being present on social media and misses out on real-time interactions which has made them more lonely. Brands can utilize this and create a safe space to grow the brand. Community spaces act like a missing puzzle piece allowing the users and customers to connect with each other and share the feedback and interests with the marketing team too. It’s a win-win situation for any existing or emerging brand as it will get more credibility with users and it can give you a chance to explore further improvements you might need to give your brand the spotlight that it deserves. 

Personalized Experiences

Who doesn’t instantly add to cart things that they are in dire need of? Well, no one. This is the importance of crafting personalized experiences for the customers. If the product matches their vibe, then it becomes worth the hype. Use the data and insights to know more about the customers, that way you’ll be able to deliver personalized experiences and recommendations that cater to personal choices. Tailor your marketing messages to target the issues of Gen-Z. 

User-Friendly Websites

One of the major things that every brand should focus on is creating a user-friendly experience. With the attention span of a goldfish, Gen-Z doesn’t like to spend minutes and hours searching for the products and their information. They need everything in the palm of their hands and just a ‘tap tap’ away. So, it is important to make sure that the website or all the marketing material is optimized to work on mobile and is easily accessible.

Additional Tips

  • Businesses need to understand that they’re dealing with a generation that evolves rapidly. So, they have to stay up-to-date on all the famous trends. Be it the most trending song for a reel or a funny voiceover, utilize whatever comes in handy. 
  • What’s a better way to know about the likes and dislikes of Gen-Z than hearing directly from them? Collaborate with this age group and involve them in the creative process. This will enable brands to hear directly from the users what they want. 
  • Measure the success of marketing campaigns. Track the key performance indicators (KPI) to evaluate the campaigns. A well-optimized campaign is more likely to reach a bigger audience and create a larger impact. So, walk the talk.

Final Verdict

Generation Z offers diverse market segments that are changing with the emerging trends. The businesses need to understand the refined taste and varying interests of this generation to create a long-term relationship with this group. Authenticity and purpose-driven initiatives are the trademarks of this generation to shop. Businesses can leave no stone unturned in prospering if they make use of all the successful marketing strategies that are targeting Gen-Z.