LLYC, together with Appinio, has released a new report ‘The new rules of Marketing: building genuine brands that connect with Generation Z’, based on surveys carried out with Spanish consumers.
According to the conclusions of this report, Generation Z, made up of young people born between 1995 and 2010, is marking a before and after in the world of retail and consumer habits. This group, which represents 25% of the Spanish population, is characterized by its mastery of technology, its influence on social networks and its demand for authenticity and transparency from brands. However, despite prioritizing sustainability and values, in practice price and convenience are the determining factors in their purchasing decisions.
Although Generation Z appreciates that brands pursue purposes aligned with their values, ultimately, price and convenience are the aspects that most influence their purchasing decisions. This bipolar behavior reflects the dichotomy between what they say and what they do in terms of consumption.
Only 25% of Gen Z say they always buy the same brands, but when a brand makes authentic connections with them, they become the most loyal demographic. Authenticity and understanding their needs are key to retaining these consumers.
Social networks, especially Instagram, TikTok and YouTube, are the main consumption channels of Generation Z. More than 30% use these platforms as search engines, which underlines their importance in the purchasing decision-making process.
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Reviews and opinions from other users play a crucial role in the purchasing decisions of Generation Z. More than 40% actively seek reviews on social networks before purchasing a product, and almost 75% consider them trustworthy.
Generation Z values content generated by real users over that of influencers. More than a third have purchased products after seeing them in other users’ videos, highlighting the importance of valuable and relevant content.
74% of Generation Z make at least one purchase a month on platforms such as Amazon, Shein or Temu, highlighting the preference for the convenience and competitive prices offered by these e-commerce giants.
To retain this consumer segment, it is essential to understand their loyalty levers and meet their expectations beyond price. The favorite categories for loyalty programs are fashion, food and beauty, prioritizing access to free samples, birthday gifts and personalized rewards.
Generation Z is transforming the retail landscape with its focus on authenticity, technology and social media. Brands must adapt to their demands, offering authentic experiences and valuable relationships to capture and maintain their loyalty. Studying the behavior of this demographic group in depth is crucial to adjust marketing and sales strategies to their specific needs in an environment of constant transformation.
This report, carried out by LLYC and Appinio based on surveys of Spanish consumers, sheds light on the trends and contradictions in the purchasing behavior of Generation Z, highlighting the importance of authenticity, the influence of social networks and the relevance of reviews in their consumer decisions.
