Most of the conversation in marketing in the last few years has centered on the millennial audience. However, it’s time to start thinking about the next generation with buying power. Currently, Generation Z consumers make up about 26% of the market, and that number is expected to increase to 40% by 2020. To account for the Gen Z audience in your marketing plan, here are a couple of things to consider.

Your discounts might be less effective on Gen Z consumers when compared to millennials. A Business Insider report indicates that only 46% of Gen Z consumers would choose a site to shop at based solely on discounts. In the same study, it was shown that less Gen Z consumers are engaged by online advertisements. Gen Z shoppers are more value focused than price focused. For example, additional deals, like free shipping, are more likely to draw their attention.

Loyalty programs may be effective at creating brand loyalty for your millennial consumers, but they aren’t as effective for Gen Z. A study conducted by Ernst & Young found that only 30% of Gen Z consumers feel like these programs have value. To develop brand loyalty, think about how you can improve your customer service or product features. Market those areas of improvement heavily, as 71% of Gen Z consumers believe innovative companies focus on their needs or product value.

Gaining the attention of Gen Z consumers is difficult, and there are still plenty of questions needing to be answered. If you’re an AFEUSA member, utilize your exclusive discount with to find the right way to reach your customer base.   

Article by Charles Jackson, President of AFEUSA

Charles Jackson AFE Board