Gen Z Buyer Behavior That Brands Need To Know

gen z woman

Every successful brand has one common quality: a nuanced understanding of its target audience. Knowing the customers’ likes, dislikes, and passions is a superpower that all brands must possess to get higher revenue. But things can be slightly challenging if you target the Gen Z audience since it grew up in a different socio-economic climate and has a distinct perspective.

Here are 5 interesting statistics about Gen Z you cannot afford to overlook: 

  • Gen Z accounts for a whopping $143 billion in direct spending, nearly 40% of all consumer shopping.
  • 93% of parents report that Gen Z influences their household spending.
  • 70% of parents ask for their Gen Z kids’ advice before purchasing a product/service.
  • 61% of Gen Z are open to spending more on products produced ethically and sustainably.
  • 56% of Gen Z are highly likely to buy a product if their favorite influencer recommends it.

Therefore, your marketing tactics for Gen Z — also known as Zoomers — and Millennials cannot be the same. Building a stronger relationship with Gen Z is possible only if you understand what motivates them.

Let us now dive into what they are buying and some crucial traits that will help you create a fruitful marketing campaign that gets a high ROI.

The Gen Z Buyer Persona: Telltale Traits Your Marketing Team Should Know

1. Loyalty towards brands that win them over

The Gen Z audience has been notorious for its shorter attention span, higher expectations, quick temper, etc. But when it comes to being loyal to the brands, Gen Z tops the list — provided the brands align with their values and expectations. Expecting loyalty from an audience that is surrounded by zillion brands selling similar products is absurd. However, Gen Zers are in for a long haul when a brand has tugged at their heartstrings. Here are some stats to prove it:

  • 60% of Gen Z are happy to be associated with their brand of choice.
  • 2 in every 3 Gen Zer will stick with a brand they like for years. 

But to become Gen Zers’ all-time favorite and first preference, pay special attention to your brand’s mission, product quality, and service. Running reward programs will also be beneficial, as 65% of the Gen Zers admit that reward programs influence their brand choice. Additionally, speed, convenience, and an intuitive online experience impact Gen Zers purchasing decisions. Therefore, invest in an efficient shipping strategy for faster deliveries. Most importantly, highlight your values and ways to serve the community to resonate with the post-Millenials. 

2. Influenced by influencers

marketing charts Gen Z

Figure 1: Survey exploring reasons Gen Z trust influencers more. Source: Marketing Charts

Gen Z buyers are highly suspicious of the companies touting their products 24/7. And since they have an overwhelming amount of options in the market, settling down on one brand becomes challenging. Therefore, they resort to taking advice from their favorite influencers. Besides, Gen Zers spend approximately 2 hours and 55 minutes per day on social media. The influencer content keeps popping up on their screens. No wonder their purchasing decisions depend on their go-to content creator’s choices!

Studies reveal that influencer marketing will hit $15 billion this year. The reason? Gen Z. One of the common buying habits of Gen Z is they primarily depend on reviews by influencers when purchasing a new product. They trust influencers’ recommendations more than celebrities’! As a result, brands are investing beyond limits in influencer marketing to grab the attention of Gen Z and get high sales.

Interestingly, Gen Zers don’t depend only on the reviews of influencers having a high follower count. But they equally believe and respect the opinions of nano-influencers. They can relate to the “raw” content nano-influencers generate. Therefore, today’s nano-influencers have the most highly engaged following.

3. Support small businesses with authentic marketing

small businesses on instagram Gen Z

Figure 2: Popular small businesses on IG. Source: Later

Another vital trait of a Gen Z buyer is purchasing from small businesses. Studies show that over 77% of them buy online since small companies rarely have a brick-and-mortar store. Research also shows that Gen Z’s small business spending increased by over 260%, which is 80% higher than Millennials. This could be a conscious effort, given that small businesses were hit hardest by the global pandemic. A study conducted by Sendinblue and CITE Research reported that 46% of Gen Z Buyers purchase from small businesses more than they did before the pandemic.

At the same time, Gen Zers are also conscious of the amount spent. They usually run on tight budgets. Therefore, they are ready to share their data with small businesses in exchange for discounts, provided the company is transparent about how they use the data.

Another noteworthy point is that Gen Zers don’t blindly purchase from small businesses. The latter have to prove that they are highly sought after. This is where authentic marketing comes into play. Small brands have to prove they are unique, genuine, and aligned with their customers’ values.

4.  Expect personalized marketing through different channels

Personalization is key to winning the heart of these customers. They enjoy exclusive experiences from brands because they believe no two individuals are identical. Serving authentic and personalized experiences will boost their trust in your brand, compelling them to stay for the long term. To customize their customer journey and build lasting relationships, you’d need the information about their interests and likes, which you can collect through surveys. 

One of the ways to offer a personalized experience is through reward programs. Notify them of the rewards that’ll work best for them. They are always on the lookout for discounts and deals, so they’d love you to share such information. Even bigwig restaurants like Wendy’s and Chick-Fil-A send emails or SMS informing the Gen Z buyers about a freebie up for grabs! 

exclusive deal

Figure 3: Wendy’s reward notifications. Source: APK Pure

Gated content is the second most popular way to deliver a personalized experience. Bespoke content behind a lead capture form makes 41% of Gen Z feel rewarded and 54% excited.

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Figure 4: Gated content example. Source: Crowdfire

5. Cares about what your brand cares about

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Figure 5: Nike’s powerful purpose. Source: Forbes

One of the ways to grab the attention of Gen Z is through value marketing. The answer to “what products does Gen Z buy and from whom?” depends on a brand’s values. They are cautious of your products and what your brand stands for. They steer clear of brands with self-centered money-making motives. So if your business’ sole aim is to generate more sales and cash flow, attracting Gen Z will always remain a pipedream. Gen Z, a.k.a digital native, will raise their voices against your brand if they catch you delving into inauthentic marketing strategies.

So, it is high time to take a deeper look at your brand’s foundational aspects if you’re targeting Gen Z. Discover what you stand for and how it is portrayed in your brand. Your brand should explicitly reflect that you’re concerned about what matters to your target audience. Identify the popular social causes that resonate with your buyers and base your brand on the same. This will make your brand stand out and your sales goals will automatically be achieved. 

Tips For Brands To Attract Gen Z Buyers 

  • Social media plays an integral role in the lives of Gen Z. In fact, Gen Z buyers almost always look for product recommendations and reviews on social channels before making a purchase. They even follow their favorite brands on social media to get the latest updates. So, the lesson here is to be active on social platforms that your target audience spends the most time on. 
  • Gen Z buyers are socially aware. They know everything from the latest global conflicts to local social issues. After all, such information is available at their fingertips! Therefore, you have to become a more responsible and socially vocal brand to grab their attention.
  • Gen Zers have a voracious appetite for visual content, owing to their shorter attention span. Producing engaging videos — instead of text-heavy content — that showcase your product and its results can pique their interest. 
  • Instigating a fear of missing out (FOMO) is key to compelling Gen Z to take action. Posting time-sensitive offers and posts will lead to higher sales and social media engagement.
  • Amending all loopholes in your customer services is another important tip to remember. Gen Zers appreciate brands that respond quickly and provide anticipated solutions. So, enhance your customer service to keep your audience satisfied.
  • As mentioned above, the digital natives trust influencers with all their hearts! Therefore, the easiest way to create a positive impression and increase brand awareness is through influencer marketing. And do not be scared of hiring authentic nano-influencers, as they can do wonders for your brand with their extremely niched following.

Looking For An Influencer To Sway Your Gen Z Audience?

Influencer marketing is key when your target audience is Gen Z. However, finding the right influencer whose values resonate with your brand and serve your target audience can be challenging. And now that there is a wide array of influencers on social media hunting brand partnerships, you never know who’s genuine. 

If that is your concern, we’ve got your back! Our AI-based platform, AtisfyReach is where brands and influencers meet. Start a campaign, share your interests, and sit back to let the platform connect you with the “right fit” influencer. 

Register your interest now!

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