It’s easy to assume that people of the same age have similar life experiences. This is partly true; for example, people start and finish school around the same time. However, while these milestones are relatable, they don’t account for the unique experiences that shape individuals. Therefore, looking beyond basic demographic data is crucial to truly understand your audience.
By delving into psychographics, we can uncover how consumers feel and where their views, habits, lifestyles, and preferences differ. For Gen Z, one of the most diverse groups, what’s fact and what’s fiction? We’re here to clarify.
Who is Generation Z?
Gen Z is the generation following millennials and preceding Gen Alpha, born roughly between the mid-1990s and early 2010s. They are the first generation of “digital natives,” having never known a world without the internet. Their formative years, marked by a global pandemic and a cost of living crisis, have deeply influenced their personalities and values, making them a unique audience. Here are eight key traits of Gen Z based on real consumer data.
Key Characteristics of Generation Z
1. They’re Growing Up
Gen Z is not just a group of young people glued to their phones. They are climbing the corporate ladder, buying homes, getting married, and starting families, encountering new products and services for the first time. This includes routine items like home insurance, mortgages, and dishwashers.
– 11% of Gen Z expect to get engaged or married in the next six months.
While older Gen Z members are planning weddings, the younger ones are entering higher education. This highlights the differences within the generation, showing the need to look beyond age alone.
2. They’re Prioritizing Saving Money
In 2022, stories emerged about Gen Z’s luxury spending habits, partly due to living at home during the pandemic, allowing them to save money.
– 40% of Gen Z households are in the low-income bracket, 25% more likely than the average consumer.
Despite growing up, rising costs are putting pressure on their ambitions. Brands should consider this as Gen Z consumers’ behaviors may change over time.
3. They Love to Travel
Gen Z’s main priorities for 2024 include self-enrichment activities like starting new jobs, learning new skills, reading more, and finding love. While not as travel-focused as older generations, 38% still plan to explore more, both locally and abroad.
– Since Q2 2022, the number of Gen Z who’ve purchased domestic vacation tickets in the last 3-6 months has grown by 15%.
Despite budget constraints, Gen Z is increasingly planning domestic vacations for cost and convenience.
4. They’re Prone to Anxiety
Gen Z is the generation most likely to report anxiety, particularly in Austria, Taiwan, and Germany. This issue is growing, with more Gen Z reporting anxiety since Q3 2022.
– 29% of Gen Z say they’re prone to anxiety.
Factors like climate change, distant homeownership, and COVID-19’s impact on their education contribute to this anxiety. Employers should consider offering mental health support to improve workplace culture and employee satisfaction.
5. They See Gaming as More Than a Hobby
Gen Z is the most likely generation to play games, and this activity remains important as they age.
– 75% of Gen Z gamers have played online in the last month, rising to 81% for Gen Z with children.
Gaming is a significant part of Gen Z’s culture. Brands should use psychographic data to understand how Gen Z interacts with gaming and reflect this in their marketing.
6. Their Environmental Attitudes Aren’t as Strong as You Think
While Gen Z is often seen as environmentally conscious, their attitudes are similar to other generations.
– Gen Z is as likely as any other generation to say helping the environment is important to them.
However, they are the least likely to always recycle, and millennials and baby boomers have stronger eco-friendly behaviors. Brands should adopt a broad perspective on environmental attitudes.
7. They Might Define AI Adoption
AI gained significant attention in 2023, and while many are wary of it, Gen Z is more comfortable using AI tools like ChatGPT, Google Bard, and Bing AI Chat.
– 59% of Gen Z trust AI-generated information a lot/completely, compared to just 33% of baby boomers.
Employers can leverage Gen Z’s familiarity with AI to enhance adoption and integration of these technologies.
8. They Shape Culture Through Social Media
Social media is central to Gen Z’s life, influencing their culture and interactions.
– 86% of Gen Z have mentioned social media in conversations in the last week, compared to 47% of baby boomers.
While TikTok is popular, Instagram is the platform that most shapes Gen Z’s imagination. Brands should understand which apps influence Gen Z’s culture the most.
The Bottom Line
Gen Z is navigating an uncertain world, balancing their desire for adventure with the need for stability. As they are set to become the largest generation, brands must pay attention to their unique traits and diverse interests to stay relevant.
