iGeneration, Centennials, Zoomers — whatever you choose to call them, Gen Z is comprised digital natives that are inserting themselves into the dialogue between brand and consumer in entirely new ways. As the cohort of the population born between 1996 and 2010, Gen Z is widely recognized as the next consumer powerhouse.

As a digital marketer, hopefully you’re already aware of the impact this generation has on your business’s bottom line. Gen Z accounts for an estimated $143 billion in direct spending in the United States alone and will soon make up 40% of all consumers. By 2026, this generation is projected to be the largest consumer population.

All the negative stereotypes surrounding millennials — that they’re lazy, entitled, and engulfed in their phones — may make you think Gen Z have the exact same tendencies. However, they have much more profound values that are driving their purchases. They’re socially aware, putting their money where their beliefs are, and are leveraging social platforms for their individual purposes. Gen Z can be a tricky bunch, but it doesn’t mean they’re unreceptive.

Many businesses intend to increase their spending on Gen Z this year — will you be one of them? From insights into their values to the types of content that drive their purchases, here is everything you need to know about getting through to this tricky, but impactful, demographic.

The Gen Z Marketing Challenge

If you thought the Millennial attention span couldn’t get any lower, you’re in for a rude awakening: Gen Z has an attention span of about 8 seconds, compared to the Millennials’ 12.

When it comes to spending habits, Gen Z doesn’t want to pay full price for anything. They also want their money to go beyond helping businesses drive profits, which is why they crave purpose-led brands. Many of them are bargain hunters and smart consumers; they can see through unfair pricing and are equipped with the technology to help them find a better deal in seconds.

On top of that, display advertising is not enough to get Gen Z’s attention. With their ad-blocked mobile devices and their ultra-discerning eyes, Gen Zers have earned themselves a reputation of being tough customers. They have needs well beyond the need to be sold something, and we will share exactly what brands can do to overcome that.

Millennials vs. Gen. Z: What’s the Difference?

On the outside, Millennials and Gen Zers are very similar: they are early adopters of all things that simplify their lives and exhibit similar digital, social, and mobile behaviors. However, Gen Zers fragment and focus their social media time much more intentionally than do Millennials.

In contrast from a majority of the Millennial generation, Gen Z has been linked to technology since day one. They don’t know a world without smartphones, tablets, and popular streaming services like Spotify and Netflix. At age 4, they were already faster than their parents at unlocking an iPhone.

Gen Z also lacks the wide-eye optimism that characterizes Millennials. They are more cynical of the world, value data privacy, and are very careful and intentional about managing their online reputation. This has gained Snapchat massive popularity among the generation, due to its strict control over who can see their content.

While Millennials are stereotyped as self-involved and demanding, Gen Z is conscientious and mindful of the future. Gen Z’s also celebrate JOMO — the joy of missing out — a polar opposite to the Millennial-coined acronym FOMO — the fear of missing out. They are moving away from constant connectivity through social media in favor of taking more purposeful actions.

Focus on Creator-Driven, Influencer-Heavy Content

Gen Zers grew up with YouTube as their TV, swooning over culturally relevant content creators on platforms like Instagram and TikTok. They are suspicious of authority, they question decades-old societal constructs, and they stand to disrupt the status quo.

Because of their desire for down-to-earth content, it’s no surprise that the generation practically worships influencers. In fact, 45% of Gen Z follows 10 or more influencers on social media. Unlike celebrities, authenticity is crucial for influencers because their audience is their currency.

On top of that, Gen Zers are experts at spotting pure sponsorship, and they intentionally filter out anything they perceive as inauthentic, unrealistic, or overly aspirational. Influencers have changed the way Gen Zers shop and interact with brands — so much so that 18% of them choose to eat at a restaurant because it’s “instagrammable.”

Tap into Gen Z as Brand Ambassadors

According to Ad Age, Gen Z doesn’t want to buy your brand — they want to join it. They value self-expression, individuality, creativity, and entrepreneurship. Rather than marketing at them, you should market with them.

This means creating authentic two-way conversations that allow this generation to co-create with your brand. And if you’re lucky, they will become brand ambassadors for you through their own social channels. Don’t be afraid to tap into Gen Z’s ambition and technical prowess — they’re a generation of YouTube stars, self-proclaimed filmmakers, and promising bloggers and vloggers.

Take a Mobile-First Approach

Smartphones are Gen Z’s device of choice, so it's no surprise that 53% of the demographic are using them to make online purchases. In this day and age, brands must make their products and services available in a mobile-friendly and mobile-first fashion.

This means you need to optimize your digital content to look stellar on a mobile screen. Start by using a mobile-optimized website theme, simplifying your checkout process, and creating content with mobile devices in mind.

On top of that, more and more social platforms and applications are innovating ways to make in-app purchases. For instance, Instagram Stories recently came out with "shopping tags," letting users tag brands in their photos to promote their apparel. Making use of emerging technological features like these can help you better reach Gen Z customers and drive sales.

Showcase your Purpose

Gen Z is looking for morals. They value diversity, they are culturally aware of pressing issues, and they’ve been involved in social activism from a young age. This generation has high expectations when it comes to brands taking stances on social issues.

On top of that, they’re very environmentally conscious. 61% of Gen Zers say they’d pay more for products or services that are produced in an ethical and sustainable way. This generation has a soft spot for Hydro Flask water bottles, reusable straws, and “Save the turtles” stickers. They are aggressively loyal to brands like Pura Vida Bracelets, a philanthropic accessory company that helps provide full-time jobs to artisans worldwide.

Because of Gen Z’s preference for purpose-led brands, we’ve seen more and more brands wear their beliefs and values on their sleeves as a form of marketing. Gen Z is pragmatic — they know the future depends on them, so they gravitate towards brands with forward-facing missions.

Understand the Role of Community and Peer Influence

Often Gen Z crowdsources their purchasing decisions. More than any other generation, they seek the opinions and approval of their peers to solidify their purchases. Why is this?

The sheer saturation of products has decreased brand trust significantly, causing Gen Zers to lean on their peers for reinforcement. The average Gen Zer is bombarded by over 10,000 marketing messages a day. They are the first generation that grew up with the mass saturation of advertising and marketing messages.

On top of relying on their peers, they rely greatly on the Internet as a tool. Gen Zers take much more calculated, intentional approaches to their purchasing decisions than Millennials and other generations before them. They evaluate costs and product reviews across the Internet, solicit social validation, and carefully evaluate a company and its values.

Invoke Nostalgia

Nostalgia is powerful. It’s the reason we cherish the movies we watched as children and the music that marked our most important moments in life.

The opportunity to unite over simpler times and the “good old days” can be appealing — especially that now a majority of Gen Zers are entering the workforce. For this generation, the simpler, less intense, and more ‘old-fashioned’ times can be as recent as the 90’s and even the early 2000’s.

Forging meaningful connections between the past and present can help you satisfy Gen Z’s desire to reflect on their younger days. It's no wonder characters like Pokémon and Sonic the Hedgehog have made successful comebacks in modern media and marketing. Nostalgia marketing is becoming a trend — not to mention, it satisfies Gen Z’s desire for relatability, authenticity, and trust.

Understand How Gen Z Uses Each Platform

Gen Z doesn’t prefer any one platform over the other. In contrast from other generations, they are highly likely to utilize multiple digital channels across multiple devices. They are also much more likely than Millennials and Baby Boomers to use social media for entertainment purposes — hence their desire for video content, which we will touch on later.

The reasoning behind this is simple: each platform serves a distinct purpose. Gen Zers showcase their aspirational selves on Instagram, share real-life moments on Snapchat, get their news from Twitter, and glean information on Facebook, according to a study conducted by Response Media.

Leverage Video Content When you Can

As for types of content, Gen Zers consume significantly more video content than generations before them — and they are very receptive to it, too. On average, Gen Z consumes an astounding 23 hours of online video content per week.

In lieu of long-form content, brands have been sharing messages through bite-sized videos like Instagram and Snapchat Stories. The rise of TikTok also shows this generation’s attraction to short-form video bursting with overlays, effects, and music. Not only does TikTok leverage catchy video content, it is also easy to use and it’s even easier to go viral on the app than other more established social media platforms. The video app also feeds into Gen Z’s appeal to creator-driven content and entrepreneurial pursuits.

Authenticity

Gen Zers are geniuses at sniffing out hypocrisy and ingenuity from brands. That being said, it’s not enough for a brand to claim they stand for something without proving it. For instance, a brand that changes its logo to appear in rainbow colors needs to show very evident proof that it is really committed to serving the LGBTQ+ community.

Incorporating real people into your marketing is a promising technique to show authenticity. Consider Aerie’s #AerieReal campaign or the Dove Campaign for real beauty. They both celebrate natural beauty by making use of real, diverse people in their advertisements. Moreover, a stunning 84% of Gen Z trust a company more if they use actual customers in their ads.

A protip for brands? Ditch the "Instagram-perfect" aesthetic and strive to portray a more realistic, effortless image.

TIme to Tap into Gen Z

With headlines like “Gen Z is Coming, Are You Ready?” circulating the internet, this young generation might as well be an incoming natural disaster. However, they are not as intimidating as they’re portrayed. They’ve contributed greatly to the explosion of the influencer economy, the consumer-as-creator movement, and purpose-driven branding. By being authentic, showing your values, and appealing to Gen Zers’ digital and mobile behaviors, you are well on your way to appealing to this generational powerhouse.

Reaching Gen Z: The Next Consumer Powerhouse