WHO IS GEN Z?

In past years, marketers put time and effort into learning how to market to Millennials. Now, there’s another generation that demands recognition: Gen Z, or the youngest of the five generations. Brands should neither ignore these newcomers nor treat them the same as Millennials. Gen Z has grown up in a post-9/11 world during which their parents struggled through the Great Recession, and for these reasons their world has been more uncertain than it was for Millennials coming of age. Brands today would be wise to understand this socially-native, rapidly growing generation as its spending power and influence increase.

WHY SHOULD MARKETERS CARE?

Because Millennials and Gen Z are adjacent generations, it’s easy to assume that they behave in similar ways, yet research about Gen Z states otherwise. Marketers have learned that to resonate with Gen Z, reaching them on their own terms and the ground of their choosing is imperative.

 

To connect with Gen Z, brands must understand how their growing influence is shaping culture and how important it is to stand for causes that matter to this generation. Marketers cannot afford to remain ignorant about what these young consumers expect of brands today.

HOW CAN IT HELP YOUR BUSINESS?

Engaging effectively with Gen Z can certainly provide economic advantages. These future consumers already account for $29 to $143 billion in direct spending. As the fastest growing generational segment, and on track to becoming the largest cohort of consumers by the year 2020, Gen Z is nearing the end of its generational birth year range.

 

The brands that gain mindshare and loyalty with this generation today stand to reap the rewards in a not-so-distant future. As Gen Z enters adulthood, their influence will only grow, making them even more powerful advocates of the brands they prefer.

The Truth About Innovation, with IPG Media Lab

IPG Media Lab works with some of the world’s largest brands to drive innovation in media, marketing, and business models. As the dedicated innovation initiative of the UM family of agencies, they’ve worked with companies of all sizes, across numerous verticals. Chad Stoller and Adam Simon of IPG Media Lab discussed the types of conversations they have with marketers around innovation, gave us a behind-the-scenes look at how IPG Media stays innovative, and asked whether one can truly measure innovation success.

> See all episodes
iOS 14: Friend or Foe? Breaking Down the Effects of Apple’s New Privacy Policies

There’s more uproar in the data privacy world: Apple has announced that with their newest update to iOS 14, the previously optional Limit Ad Tracking function (LAT) will now be on as a default. This will force all apps and app developers to ask permission to use a user’s data or track their movement, and they’ll need to opt-in to sharing a unique device code, or the ID for Advertisers (IDFA). As Apple has said on their official iOS 14 info page: “Privacy is a fundamental human right and at the core of everything we do. That’s why with iOS 14, we’re giving you more control over the data you share and more transparency into how it’s used.”

Advertisers use the IDFA to target audiences and measure effectiveness. Just like with the cookie’s demise (as we’ve discussed here), the potential for the IDFA to be limited or disappear completely will hinder the reach and understanding advertisers have over their campaigns. Marketers will not only need to survive without cookies in their diet, but they’ll also need to find new—or in many cases, old—ways to gather audience data to aid in their targeting efforts. It may be best summed up in Apple CEO Tim Cook’s remarks on International Privacy day: "Technology does not need vast troves of personal data stitched together across dozens of websites and apps in order to succeed. Advertising existed and thrived for decades without it, and we're here today because the path of least resistance is rarely the path of wisdom. If a business is built on misleading users on data exploitation, on choices that are no choices at all, then it does not deserve our praise. It deserves reform.” The resources collected discuss a post-IDFA world and what marketers can do to adapt without it.

> See all issues

WHO IS GEN Z?

In past years, marketers put time and effort into learning how to market to Millennials. Now, there’s another generation that demands recognition: Gen Z, or the youngest of the five generations. Brands should neither ignore these newcomers nor treat them the same as Millennials. Gen Z has grown up in a post-9/11 world during which their parents struggled through the Great Recession, and for these reasons their world has been more uncertain than it was for Millennials coming of age. Brands today would be wise to understand this socially-native, rapidly growing generation as its spending power and influence increase.

WHY SHOULD MARKETERS CARE?

Because Millennials and Gen Z are adjacent generations, it’s easy to assume that they behave in similar ways, yet research about Gen Z states otherwise. Marketers have learned that to resonate with Gen Z, reaching them on their own terms and the ground of their choosing is imperative.

 

To connect with Gen Z, brands must understand how their growing influence is shaping culture and how important it is to stand for causes that matter to this generation. Marketers cannot afford to remain ignorant about what these young consumers expect of brands today.

HOW CAN IT HELP YOUR BUSINESS?

Engaging effectively with Gen Z can certainly provide economic advantages. These future consumers already account for $29 to $143 billion in direct spending. As the fastest growing generational segment, and on track to becoming the largest cohort of consumers by the year 2020, Gen Z is nearing the end of its generational birth year range.

 

The brands that gain mindshare and loyalty with this generation today stand to reap the rewards in a not-so-distant future. As Gen Z enters adulthood, their influence will only grow, making them even more powerful advocates of the brands they prefer.

“In order to resonate with Millennials and Gen Z, resonating in culture is truly more important than ever. For Oreo, it wasn’t enough to deliver on taste… we needed to be connected to the moments that young generations care most about. For us it became more about resonating in culture while delivering that classic taste people knew and loved.”

Danielle Freid

Brand Manager of Oreo Brand Equity

Mondelez International, Inc.

Key Stats

ANA Marketing Futures and eMarketer have come together to deliver key stats and forecasts on the trends that will shape the industry for years to come.

Related Content

Want to take a deeper dive into the future consumer? ANA Members have access to brand stories, case studies, and expert webinars you won't find anywhere else. 

Marketing to Gen Z: What You Need to Know

ANA. January 2019

FutureCast shared how gen Z is pivoting away from past generations to create a unique identity.

A New Era of Brand Engagement

ANA. September 2019

Cotton Inc. shared insights into how it is using a diversified portfolio to reach millennials and gen Z to change awareness and influence sales.

Five Ways to Engage Gen Z for Life

ANA. April 2019

In this webinar, Mark Beal, author and professor of Public Relations and Marketing at Rutgers University, shared insights directly from the minds and mouths of Gen Z on how to effectively engage them.

Download Now!

Marketers have spent extraordinary time and resources learning how to market to millennials over the past years. It’s now important for brands to understand the youngest of the five generations that are on the minds of marketers today. Gen Z is growing in size and importance, representing the future consumer for brands around the world.

 

ANA Marketing Futures spoke with marketers and experts across industries to better understand what Gen Z is all about, and created a guide to help brands engage consumers in the future.

Danielle Freid

Brand Manager of Oreo Brand Equity

Mondelez International

“In order to resonate with Millennials and Gen Z, resonating in culture is truly more important than ever. For Oreo, it wasn’t enough to deliver on taste… we needed to be connected to the moments that young generations care most about. For us it became more about resonating in culture while delivering that classic taste people knew and loved.”

Key Stats

ANA Marketing Futures and eMarketer have come together to deliver key stats and forecasts on the trends that will shape the industry for years to come.

Related Content

Want to take a deeper dive into the future consumer? ANA Members have access to brand stories, case studies, and expert webinars you won't find anywhere else. 

Marketing to Gen Z: What You Need to Know

ANA. January 2019

FutureCast shared how gen Z is pivoting away from past generations to create a unique identity.

A New Era of Brand Engagement

ANA. September 2019

Cotton Inc. shared insights into how it is using a diversified portfolio to reach millennials and gen Z to change awareness and influence sales.

Five Ways to Engage Gen Z for Life

ANA. April 2019

In this webinar, Mark Beal, author and professor of Public Relations and Marketing at Rutgers University, shared insights directly from the minds and mouths of Gen Z on how to effectively engage them.

Download Now!

Marketers have spent extraordinary time and resources learning how to market to millennials over the past years. It’s now important for brands to understand the youngest of the five generations that are on the minds of marketers today. Gen Z is growing in size and importance, representing the future consumer for brands around the world.

 

ANA Marketing Futures spoke with marketers and experts across industries to better understand what Gen Z is all about, and created a guide to help brands engage consumers in the future.

About ANA Marketing Futures

Knowing that marketers are increasingly challenged in their efforts to keep up with the latest trends and technologies, the Association of National Advertisers (ANA) tasked itself with creating a program designed to help marketers anticipate—and prepare for—the future of marketing.

 

ANA Marketing Futures is what emerged. With a focus on innovative topics and emerging trends, ANA Marketing Futures provides resources that will influence and inform via member cases, research studies, and insight from industry innovators. Check back often to learn about emerging trends and become inspired to take steps toward the growth of your business.

 

Copyright © 2020 Association of National Advertisers-established in 1910

Contact

10 Grand Central

155 E 44th Street

New York, NY 10017

Phone: 212.697.5950

 

Email: marketingfutures@ana.net

 

marketingfutures.ana.net