The Attack of Generation Z

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In my last posting, “Who Is Generation Z and Why Should We Be Worried?” I wrote about “Generation Z” and the disruptive impact it is anticipated to have on consumer products companies and retailers.  I learned about Generation Z in a Business Insider article by Hayley Peterson entitled “Generation Z Is A Complete Nightmare for Retailers.”

As the title of her article implies, Peterson thinks Generation Z is going to turn retailing upside down.  Here is why:

  1. They don’t have brand loyalty.  They care more about the product than who makes it.
  2. They have major spending power. Their $70 per month allowance computes to $44 billion dollars. 
  3. They have outsized influencing power, having a lot to say about what toys, food and clothing the family purchases.
  4. They have shifted their spending from products to food and beverages.  They would rather spend time at a coffee shop than at the mall.
  5. They have left the malls (teen visits are down 30% over the last ten years).

Actually, I don’t find this information worrying as much as intriguingThey have money to spend; love great product no matter who makes it and feel no need to go cluster in groups and scare the mall walkers. 

In fact this generation, according to the article, loves great product so much as they love to share it with their friends and family.   So what can we learn from this; how about that we need to spend more time and money making great products and less time and money trying to remind consumers of our brands.

Sounds good to me; what do you think?

 

 

2 thoughts

  1. Every generation behind us we should fear. It’s been true for every generation ahead of us. My dad complained about “kids these days” when I was a kid. No work ethic, haven’t struggled and therefore appreciate what they have, too busy with technology (like that blasted remote that was tethered to the TV and that blasted telephone that was tethered to the kitchen wall, come to think of it, many things were tethered when I was growing up… 🙂 but I digress.
    I agree Richard, love great products and share that love with others. What’s the worse that can happen? So far, my money is on shortsightedness as in near sightedness as in why is everything like your tablet untethered and therefore hard to find?

  2. Agree. Recently my 7yr old son saved 90$ to buy a well made skateboard that he wanted even though he was aware of cheaper options. It took him 6 months to save the money and he forgo other toys in the meantime. As a side note, he bought it online and has been inside a mall maybe a total of 5 times in his life.

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