Future of Consumption: Unlocking Gen Z Behaviour for Crafting Powerful Strategies

Delivery

This report comes in PPT.

Key findings

Numerosity and consumer income growth potential outlines Gen Z as the powerful future consumers

Gen Z, constituting a fifth of the global population, foresees more than a twofold income surge by 2040, cementing their high influence as future consumers. Understanding Gen Z's market potential complexities requires a holistic approach beyond demographics and consumer income analysis.

Contrary behaviours make it difficult to reach and target Gen Z

Gen Z consumers exhibit apparent behavioural polarisation. While endorsing social and environmental responsibility, they hesitate to pay a premium for these values. Tech engagement mirrors enthusiasm but so do privacy and mental health concerns. Despite financial caution, Gen Z tends to splurge on small indulgencies. Deciphering Gen Z’s motives necessitates identifying the key values driving their actions.

Gen Z’s key values help brands navigate their dichotomous behaviours

Gen Z’s contrary behaviours can be bridged by including the key values in the strategies. Empowerment helps with the value-action gap in environmental and social responsibility. Creativity, belonging and willingness to unplug or retreat are influential in bridging the mistrust in tech and cautious spending. When used together, these values can win Gen Z over.

Hyper-personalised loyalty, spending research and emotional connection can help to engage better

Utilising hyper-personalised loyalty programmes, implementing micro-segmentation based on consumer spending analysis, and fostering emotional connections are pivotal strategies in tapping into Gen Z behaviours. However, the values hold the utmost significance for this demographic and all strategies should be developed around them.

Gen Z marketing is about co-creation and communication

To optimise marketing strategies for Gen Z, businesses should prioritise video-centric social media platforms such as TikTok, known for user-generated content and creativity. Higher reach yet can be achieved by addressing Gen Z on communication apps such as WhatsApp and Discord, which are valued for fostering like-minded communities and connections.