6 Gen Z Traits Brands Need to Know

Are you targeting Gen Z?  If not, you should be.  They are the youngest generation of new consumers with an astounding $360 billion in disposable income. They also have a huge influence on the habits of other generations.

In fact, about two-thirds (68%) of adults around the world say that teenagers and college-aged people influence where and how they shop.  This is according to a study by Edelman.

(Image Source: Marketing Charts)

Gen Z also influences adults in other areas of brand engagement including:

• How I buy online and through apps (67%)
• How I give brands negative feedback (62%)
• How and where I talk to brands (62%)
• How I connect with brands on social (57%)

6 Gen Z Traits Brands Need To Know

Gen Z is the generation born between 1997 and 2012. As the first true digital natives, they’ve grown up in a rapidly changing world, shaped by technology, cultural shifts, and evolving social norms.

1. Digital Natives and Social Media

Gen Z has never known a world without smartphones, social media, and the internet. They are incredibly tech-savvy, using digital platforms for communication, entertainment, and education.

Stats to Know: 34% of Gen Z social media users follow at least one brand they use or are considering using in the future. Gen Zs are actually more likely to follow brands (34%) than influencers (30%) on social media. When it comes to product research, 69% of Gen Zs turn to Instagram while just 46% use TikTok.

Tip: Meet Gen Zers where they are by investing in an online presence, including mobile-friendly websites and active social media profiles. Utilize social media and e-commerce strategies to reach Gen Z where they spend most of their time.

2. Diversity and Inclusion

Gen Z is the most diverse generation, embracing cultural, racial, and gender diversity.They are highly sensitive to issues of social justice and expect inclusivity and representation.

Stats to Know: Gen Z, more than any previous generation, believes that brands should address diversity and inclusion. According to a study by Quantilope, while 76% of Zoomers consider this extremely important, just 46% of baby boomers and 63% of Gen Xers place the same amount of value on it. Millennials also value diversity and inclusion, with 72% saying it is extremely or very important.

Tip: Embrace diversity in your advertising and workforce. Highlight inclusivity as a core value of your brand. Engage in meaningful conversations around diversity and social justice issues.

3. Values-Driven

Gen Z is passionate about social and environmental causes, seeking brands that align with their values. They are more likely to support businesses that actively contribute to positive change.

Stats to Know: When asked about their concerns on a variety of social issues, 44% of Gen Zs said they were concerned about climate change — the highest percentage on any issue. 43% are concerned about racism, 41% about gun violence, 40% about police brutality, and 38% about pollution.

Additionally, Gen Zs buying habits reflect their environmentally-conscious views. 71% have purchased at least one article of pre-owned clothing. 61% recycle regularly. 57% believe in the importance of buying from brands that do good for the environment.

Tip: Align your brand with social and environmental causes that matter to Gen Z. Show your commitment through transparent practices, sustainability initiatives, and charitable contributions.

4. Individuality and Self-Expression

Gen Z values authenticity and celebrates individuality. They are more interested in expressing themselves than conforming to traditional norms.

Stats to Know: A report from OCAD University revealed that 73% of Gen Z believe they need more self-expression to live a happy, healthy life.  With social media being such a prominent part of Gen Z’s life, this is where they socialize and are able to express their unique identity.

Tip: Encourage user-generated content and engage with Gen Z’s creativity. Allow them to personalize products or experiences. Celebrate uniqueness in your marketing campaigns.

5. Financial Prudence

Gen Z is budget-conscious and tends to compare prices and seek deals. Brands offering quality and affordability attract their attention.

Stats to Know: Of Gen Z, 52% say that money has a negative impact on their mental health. (Bankrate’s money and mental health survey)

Over half (52%) of Gen Zers say the biggest money concern that negatively impacts their mental health is inflation and rising prices; 54 percent cite paying for everyday expenses.

Tip: Provide competitive pricing and discounts where possible. Clearly communicate the value of your products or services. Offer loyalty programs or rewards for budget-conscious shoppers.

6. Brand Loyalty

Gen Z is more likely to switch brands if they perceive a company as unethical or not aligned with their values. Building trust and fostering brand loyalty requires authenticity and consistency.

Stats to Know: Among Gen Zers with a favorite brand, more than 50% would switch it up if another brand were cheaper or of higher quality.

30% would “revert to their ‘go to’ brand for a new product or service” when making purchases, and a whopping 62% said they would check out other options, even if they have a favorite brand.

Tip: Build trust by being authentic and consistent in your messaging and actions. Address any concerns or controversies promptly and transparently. Showcase your commitment to shared values.