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Gen Z has already reshaped loyalty. Have you responded?

 

By: Ray Chelstowski

Young consumers are actively changing almost everything in society. Millennials and Gen Z'ers are driving the post-pandemic rethink of what modern day work environments look like, and their impact through social media on public perspectives on every topic imaginable is sizeable and immediate. Simply put they have clout. Moreover, Millennials are on track to become the richest generation in American History. That’s why all brands should be making engagement strategies against this audience part of their plan for long-term success. There are few ways to do just that.  

1. Align with consumer preferences

Younger consumers are making once rigid industries bend to their preferences. For example, healthcare has always been about in-person visits.  However, since the onset of the coronavirus pandemic, consumers expect to have remote-friendly options when it comes to accessing healthcare. In turn, online doctor visits have become a common way for younger consumers to access affordable and timely healthcare.

2. Cater to Different Standards

The most forward-thinking brands have learned that catering to the new, highly informed principles that younger consumers possess can be a great way to earn their loyalty. For instance, McKinsey & Company points out that Gen Z’s interest in supporting social and environmental issues is heavily influencing the marketing efforts of many retailers and brands. They use the example of the word “feminist.” The politically charged term increased more than five-fold on the homepages and newsletters of fashion retailers in the short span of 2016 to 2018. The lesson here is clear. If companies want to attract and retain the loyalty of Gen Z and Millennials, they need to show respect for—and even cater to—their evolving standards.

3. Be Innovative

Brands should look for the best ways to innovate within their industry and lead the way in meeting the needs of a younger generation. One good example of this is Amazon Studio’s upcoming “The Lord of the Rings: The Rings of Power” streaming series. The show is adapting an iconic portion of J.R.R. Tolkien’s stories into a serialized visual format. That includes looking for ways to respect its original characters, places, and events, while simultaneously adding new characters and storylines that resonate with younger consumers. This is reflected in the company’s initial marketing materials, which are created to draw in the core fanbase while also making the programming compelling for new viewers living in a 21st-century world.

Brands that are proactively setting their table for long term success know that the table stakes have quickly changed and that they need to nimble and react in the moment to meet consumers where they are at any moment. This marketing quality is imperative if you want to win in loyalty with Gen Z and Millennials. Perhaps the most difficult first step is acknowledging that younger consumers are a critical piece of a brand’s long-term success. When they do, brands can break free of old marketing habits and set a course that rolls forward with all parties feeling rewarded and valued in ways that matter to them most.

ray.chelstowski@kognitiv.com

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