Why Should You Embrace Gen Z Customers?

Embrace Gen Z Customers

As the oldest members of Gen Z (those born between 1997 and 2012) enter the workforce and begin to assert their purchasing power, it is increasingly important for businesses to understand and embrace Gen Z customers. Millennials are still regarded by some as the most powerful age group, but Gen Z now represents a significant and influential consumer group. Businesses that can successfully connect with and serve this generation will be well-positioned for success in the coming years. Failure to heed the swathes of information available and be agile in business practices will only be detrimental to static businesses. 

Spending Power Domination 

One reason to embrace Gen Z customers is their sheer size and purchasing power. Gen Z is the largest and most diverse generation in history. As they begin to enter the workforce and gain more disposable income, they are expected to become an increasingly important consumer group. According to a report by Accenture, Gen Z now accounts for 40% of all consumers, and they are projected to have huge spending power, especially come 2030, when they will be inheriting wealth from their Baby Boomer parents. 

Digital Diversity

Another reason to embrace Gen Z customers is their unique values and preferences. Gen Z is a highly digital and connected generation, having grown up with technology and social media as an integral part of their lives. They are also more socially and environmentally conscious than previous generations and highly value diversity and inclusivity. As a result, Gen Z is more likely to support companies that align with their values and demonstrate a commitment to social and environmental responsibility; first and foremost, businesses should beware of greenwashing; it’s never a good look! 

Tides of Change 

Gen Z is also a highly influential group. They are active on social media and have a large and engaged following, which means that their opinions and recommendations can have a significant impact on the purchasing decisions of others. By successfully connecting with Gen Z and meeting their needs and expectations, businesses can attract and retain this key demographic and benefit from the positive word-of-mouth advertising that can result from satisfied Gen Z customers. What more could businesses want besides positive advertisements from trusted sources that generate repeat business? 

Innovation is Key

So, how can businesses embrace Gen Z customers and successfully connect with this generation? Here are a few strategies to consider: 

  1. Deep dive into Gen Z values and preferences. This means researching and gaining an understanding of what Gen Z cares about, including their attitudes towards social and environmental issues, their use of technology and social media, and their expectations for products and services. 
  2. Embrace digital and social media effectively. Gen Z are highly connected and active on social media, so it is important for businesses to have a strong online presence and to use digital and social media channels to connect with this generation. 
  3. Demonstrate a commitment to social and environmental responsibility. Gen Z is more socially and environmentally conscious than previous generations, so businesses that can demonstrate a commitment to these values will be more likely to attract and retain Gen Z customers. 
  4. Be authentic and transparent. Gen Z values authenticity and transparency, so it is important for businesses to be genuine and open in their interactions with this generation. 
  5. Offer a personalised experience. Gen Z is used to personalised experiences and expects a high level of customisation coupled with this personalisation from businesses. By offering personalised products, services, and communications, businesses can more effectively connect with and retain Gen Z customers. Successfully implementing the full use of your CRM system will support you in achieving this desired outcome. 
Disposable Income

By understanding and embracing the unique values and preferences of Gen Z, businesses can successfully connect with this influential and growing consumer group. By meeting the needs and expectations of Gen Z customers, businesses can not only attract and retain this key demographic but also benefit from the positive word-of-mouth advertising that can result from satisfied Gen Z customers. Throw in a bespoke CRM system with support from Caldere, and you will be ensuring the longevity of your business for years to come. 

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