If you regularly seek insights on different consumer audiences, you will likely be familiar with Gen Z.
This generation of younger people, born roughly between 1997 and 2012, is known for growing up with digital technology and the internet as integral parts of their lives. As a result, Gen Z are generally more adept with social media, mobile devices, and online platforms than the generations that came before them.
Gen Z represents about 20% of the population in the U.S. alone — close to 68 million individuals. This group is often characterized by its values of inclusivity, diversity, and a desire for social change. They are also known to be more pragmatic, financially conscious, and entrepreneurial than previous generations. Therefore, Gen Z also tends to favor brands that align with their values, particularly around sustainability and authenticity.
The TelmarHelixa team has just published a new report that offers a fresh look at this generation. In this article, we'll reinforce what we know about them and highlight some interesting findings from our latest research.
Issues That Have Shaped the Identity of Gen Z
As digital natives, Gen Z has been able to follow and stay in tune with global events more easily. Here are some of the most significant issues that have shaped their view of that world.
Technology
Gen Z is the first generation to grow up fully immersed in digital technology, smartphones, and social media. This constant connectivity has influenced their communication style, values, and identity formation, with platforms like TikTok, Instagram, and YouTube playing pivotal roles in shaping their views and self-expression.
Social and Political Activism
Issues like climate change, racial justice, gender equality, LGBTQ+ rights, and gun control have resonated strongly with Gen Z. Nearly one-third of Gen Zers (32%) are regularly engaged in activism or social justice work, often using social media to promote causes and mobilize movements. Figures like Greta Thunberg and movements like Black Lives Matter have impacted their perspectives.
Mental Health Awareness
Due in part to the pressures of social media, Gen Z has experienced higher levels of stress, anxiety, and mental health challenges. As a result, they are vocal advocates for mental health awareness and positive mental well-being.
Diversity and Inclusion
Growing up in a more diverse world, Gen Z is known for embracing diversity in race, gender, and sexual orientation. A majority (60%) of Gen Zers view increased racial and ethnic diversity as beneficial to society. Because members of Gen Z prioritize inclusion and representation, they expect brands, institutions, and media to reflect their values of equality and fairness.
Economic Uncertainty
Since coming of age during the Great Recession's aftermath and a pandemic-led economic downturn, Gen Z is financially cautious and pragmatic. According to a survey by Deloitte, 30% of Gen Zers feel financially insecure, and over half (56%) live paycheck-to-paycheck. They are generally concerned about job security, student debt, and the cost of living, which has made them more entrepreneurial and savings-oriented than previous generations.
Climate Change
Environmental issues have deeply impacted Gen Z. With 62% of Gen Zers reporting feeling anxious or worried about climate change in the past month, many see environmental sustainability as a top priority — and are critical of businesses and governments that fail to take meaningful action. For their proactive stance on environmental advocacy, they are often dubbed the “climate generation.”
Technological Advances That Have Influenced Gen Z
Like most generations, technology impacts how they interact with the world. But for Gen Z in particular, technology has shaped their expectations for convenience, personalization, and connectivity in their personal and professional lives.
Smartphones and Mobile Technology
Gen Z grew up with smartphones, making mobile technology a core part of their daily lives. More than any previous generation, they rely on mobile devices for communication, entertainment, shopping, and social media. The result is a generation that's always connected and more comfortable with multitasking via mobile.
Social Media Platforms
Platforms like Instagram, TikTok, Snapchat, and YouTube have greatly influenced how Gen Z interacts, expresses themselves, and consumes content. Social media shapes their social circles, trends, and even how they discover new products and information. In fact, Gen Z spends a minimum of four hours daily on social media. Over 80% of Gen Zers spend time on YouTube, while 75% use Instagram. TikTok is closing in, with 69% of these young people spending time on the platform.
Streaming Services
The rise of streaming platforms like Netflix, Spotify, and Twitch has transformed how Gen Z consumes entertainment. They expect on-demand, personalized content and have largely moved away from traditional TV and radio, favoring more interactive and diverse media options.
Artificial Intelligence (AI)
AI-driven recommendations, from Netflix suggestions to TikTok’s "For You" page, have created a personalized digital experience for Gen Z. AI is also present in chatbots, virtual assistants, and predictive marketing, which influences how they engage with brands and products. When it comes to AI at work, 80% of Gen Zers who use GenAI frequently believe it will free up their time and improve their work/life balance.
E-commerce and Digital Payment Solutions
Gen Z has embraced online shopping and digital payments through platforms like Amazon, Shopify, PayPal, and Venmo. The convenience of mobile apps, one-click shopping, and cashless payment options aligns with their preference for fast, seamless transactions.
Why Gen Z is So Important
Gen Z is a vital consumer to understand for brand leaders, marketers, advertisers, and media platform owners. Here are some reasons and factors that may help you better understand them.
Growing Purchasing Power
Gen Z’s economic influence is rapidly increasing as they enter the workforce. While they currently earn less than older generations, their disposable income is growing, and they have significant influence over household spending. Gen Z shopping habits are also helping shape the future of e-commerce, making them a key target audience for brands that want to secure long-term customer loyalty.
Digital Natives
As true digital natives, Gen Z has grown up with the internet, social media, and smartphones. Their deep integration with technology has transformed how they consume content, interact with brands, and make purchasing decisions. Marketers must tailor their strategies for mobile-first, interactive, and personalized experiences to effectively engage this generation.
Influence on Trends and Culture
Gen Z plays a significant role in shaping cultural trends, particularly in fashion, music, entertainment, and social justice movements. They are trendsetters who influence not only their peers but also Millennials and even older generations. Brands that connect with Gen Z can stay relevant in broader cultural conversations.
Preference for Authenticity and Transparency
Gen Z values authenticity and transparency in the brands they support. They are likelier to engage with companies that demonstrate clear values, genuine social responsibility, and openness. This generation often rejects marketing campaigns that feel performative or insincere, making it crucial for brands to build trust through honest, transparent communication.
Social Media and Content Creation
Gen Z is generally more engaged in creating and consuming user-generated content. They spend much of their time on platforms like TikTok, Instagram, and YouTube. They favor short, entertaining, and visually engaging content. This opens opportunities for advertisers but also contributes to a shrinking attention span that makes reaching them trickier than ever.
Multi-Channel Consumption Habits
Gen Z consumes content across various platforms and devices, from traditional broadcast media to streaming services, social media, and podcasts. They seamlessly shift between channels, requiring brands and broadcasters to adopt cross-channel strategies to capture and maintain their attention.
Demand for Personalization
Gen Z expects personalized experiences from brands — so they want to see ads, products, and recommendations that are tailored to their individual preferences. Brands that use data and technology to deliver customized experiences will have a stronger connection with this generation. For marketers and advertisers, it drives the need for advanced audience segmentation, data-driven insights, and personalization at scale.
Social and Environmental Consciousness
Gen Z is highly aware of social and environmental issues, so they tend to favor brands that take a stand on important topics like climate change, diversity, and equality. They expect companies to go beyond superficial campaigns and make meaningful, positive contributions to society. Thus, corporate social responsibility can be critical in marketing to this generation.
Low Tolerance for Traditional Ads
These consumers have grown up in an era of ad-blockers, skipping commercials, and avoiding intrusive advertising. So, Gen Z is generally less receptive to traditional ads and more likely to engage with brands that use creative, interactive, or non-traditional forms of marketing, such as native ads, sponsored content, and experiential marketing.
Fandom and Community Engagement
Gen Z values community and shared interests. They engage deeply with brands, influencers, and entertainment platforms that foster a sense of belonging. This generation is likely to become loyal advocates of brands that build strong, engaging communities, making it vital for marketers to tap into these fandoms and niche interests.
Shifting Media Consumption Patterns
Broadcast media platform owners must adapt to Gen Z’s preference for streaming services and on-demand content. Linear TV is less relevant to them, while they gravitate toward platforms like YouTube, Netflix, Twitch, and TikTok for entertainment. To stay competitive, broadcasters need to focus on offering flexible, multi-platform content that aligns with their consumption habits.
Brand Advocacy
Members of Gen Z can significantly influence online conversations. When they are passionate about a product or cause, they share it widely across social media, helping brands gain viral exposure. This advocacy can help brands rapidly scale their visibility and impact, making this cohort a potential key driver of organic brand growth.
Early Adoption of New Technologies
Gen Z is quick to adopt new technologies, from augmented reality (AR) to virtual reality (VR) and artificial intelligence (AI). Marketers and advertisers must stay ahead of these trends and integrate cutting-edge technology into their strategies to engage this tech-savvy generation.
Get to Know These Five Major Gen Z Personas
Considering their increasing purchasing power and influence over cultural trends, it's helpful to understand how and why Gen Z might engage with your brand or business. Based on the findings outlined in our 2024 Gen Z Report, we've identified five personas and their top interests to help us understand them better.
Fashion Foodies are into:
- Digital Games
- Game Platforms
- Women’s Clothing
- Footwear
- Coffee Houses
Activists make time for:
- Digital Games
- Record Labels
- Footwear
- Fast Food
- Soft Drinks
Competitors engage with:
- Digital Games
- Footwear
- Athletic Apparel
- Sporting Goods
- Game Platforms
Dedicated Gamers prefer:
- Digital Games
- Game Platforms
- Esports Leagues
- Computer Hardware
- Soft Drinks
Entertainment Junkies are interested in:
- Digital Games
- Record Labels
- Women’s Clothing
- Game Platforms
- Makeup
Source: “What Digital Natives Want: Gen Z Report 2024,” TelmarHelixa, October 2024
To successfully engage these Gen Z personas, brands need to create personalized, authentic, and socially conscious experiences across multiple channels and platforms.
What Gen Z Consumers Look for in Brands and Retailers
Gen Z consumers are attracted to particular traits when it comes to shopping – whether online or in person. Many of these will echo and support the research outlined above, and keeping the things they look for in mind should help your campaigns.
Authenticity
Gen Z values brands that are transparent, genuine, and true to their identity. They prefer brands that are not overly polished or “corporate” but show real people, stories, and imperfections.
Social Responsibility
This generation cares deeply about social issues and expects brands to take a stand on topics like climate change, racial justice, gender equality, and LGBTQ+ rights. Brands that demonstrate a commitment to making a positive impact resonate with Gen Z.
Sustainability
Gen Z prioritizes eco-consciousness. According to a recent survey by Deloitte, 64% of Gen Zers are willing to pay more to purchase environmentally sustainable products or services. They look for brands that use sustainable materials, ethical manufacturing practices, and eco-friendly packaging. Likewise, they prefer products with minimal environmental impact.
Diversity and Inclusion
Gen Z demands representation and inclusivity in advertising, product offerings, and company values. Brands that celebrate diverse races, genders, body types, and backgrounds are likelier to win their loyalty.
Personalization
Gen Z enjoys personalized shopping experiences through custom products, tailored recommendations, or direct engagement on social media. They appreciate when brands understand and cater to their unique preferences.
Technology Integration
As digital natives, Gen Z expects seamless, tech-driven shopping experiences. They value brands that embrace new technology, such as augmented reality (AR) for virtual try-ons, chatbots for customer service, or influencer collaborations through social media.
Affordability Without Sacrificing Quality
Though not unique to Gen Z, they are price-conscious and want good quality. They appreciate brands that offer affordable options, especially when combined with durability, style, or ethical production.
Engagement and Interaction
Gen Z favors brands that engage with them directly, especially through social media. They enjoy brands that create interactive content, use influencers, or make them feel part of a community or movement.
Convenience and Speed
Convenience is key for this generation. Gen Z prefers brands that offer fast, easy, and accessible shopping experiences, with features like efficient mobile apps, same-day delivery, and an easy return process.
Factoring in these values and preferences should help brands and retailers attract and retain Gen Z customers who are discerning, socially aware, and tech-savvy.
Top Purchase Considerations for Gen Z
Here are some survey results for marketers and advertisers looking to keep this generation's attention.
Here's how Gen Z members feel about the following statements in 2024:
- 40% I expect the brands I buy to support causes
- 47% I buy the brands I grew up with
- 45% I often seek advice from others when it comes to purchase decisions
- 45% I tend to make impulse purchases
Source: “What Digital Natives Want: Gen Z Report 2024,” TelmarHelixa, October 2024
Here are the top social issues Gen Z care about in 2024:
- Human rights, Ethnic & Identity Groups
- Charity, Philanthropy, and Poverty
- Medical and Health Organizations
- Religion and Beliefs
- Environmental Organizations
Source: “What Digital Natives Want: Gen Z Report 2024,” TelmarHelixa, October 2024
Summary and Takeaways
As outlined above, technology, social justice, and environmental concerns have shaped the Gen Z generation. With their values rooted in authenticity, inclusivity, and social responsibility, Gen Z demands personalized and engaging brand experiences, primarily through digital platforms like social media.
Marketers and advertisers must prioritize transparency, social consciousness, and tech-driven solutions. To successfully engage Gen Z, here are a few ideas to consider:
Emphasize Authenticity and Transparency
Gen Z seeks brands that are genuine and honest. Avoid overly polished content and focus on real stories, people, and transparent business practices.
Leverage Social Media Creatively
Platforms like TikTok, Instagram, and YouTube are critical to reaching Gen Z. Use short, engaging, and visually captivating content — and encourage user-generated content for organic engagement.
Demonstrate Social and Environmental Responsibility
Highlight meaningful actions related to sustainability and social causes. Gen Z supports brands that positively impact the world, so showcasing your initiatives is essential.
Deliver Personalization and Interactive Experiences
Gen Z appreciates tailored experiences. Use data to offer personalized content and product recommendations, and embrace interactive technologies like augmented reality (AR) or chatbots to enhance user engagement.
Take a Mobile-First Approach
With mobile devices at the center of Gen Z's digital experience, ensure your marketing strategy is optimized for mobile platforms, providing seamless, fast, and intuitive interactions.
