Decoding the picky Gen Z consumer for brands | Mumbai news

Shyam S Prasad, co-founder and CEO of Brand Studio Lifestyle, the online fashion company that sells trendy clothes for men and women under brands such as Highlander, Tokyo Talkies, Vishudh and Locomotive, travels the length and breadth of the country to understand his ever-changing consumer. They have a large customer base but since the company is into trendy, fast-fashion, Gen Z is its prime target. “But it is very difficult to define this generation,” said Prasad.

While there are several reports and white papers on Gen Z or Zoomers as those between the ages of 18 and 26 years are called, brands, marketers and research firms continue to grapple with the fickle nature of this generation.

Publicis Groupe and Kantar recently unveiled a study on Gen Z to better understand Zoomers’ interactions with categories like fashion, food and beverages, media, fitness and finance. “We delved into these as we saw a gap in understanding their needs and preferences in these areas,” said Anupriya Acharya, CEO, Publicis Groupe, South Asia.

“Gen Z is already 25% of the country’s population. Millions of Gen Zs join the workforce every year and become a bigger consuming class,” Acharya said.

What sets them apart from the earlier generations is that they are true digital natives. “They have not seen a world before multi-screens and algorithms,” Acharya said.

They are moulded differently because they are logged into all digital platforms and the platforms know them. “They know only one way to bank, shop, commute and so on. That has a huge implication for categories and marketers,” Acharya said.

Gen Z is defined by their unique online interactions and reliance on influencers who are their digital peers. Their recommendations and endorsements act as a powerful factor when it comes to making purchase decisions, the report said.

In terms of fashion, Brand Studio’s Prasad calls this consumer cohort “self-centric” which he defines as a generation dressing up for itself. “They all dress trendy but have their own unique styles in how they pair the top and bottom or colour their hair. They don’t follow others,” he said. “Looking different from others is what I call fashion,” a participant in the Publicis research said.

Fashion is indeed a way of self-expression for this segment, but comfort is important too, the study said. Besides, this set of consumers is choosing smart and sustainable fashion. Prasad said, Gen Z shoppers may not be brand loyal in the traditional sense but they will stick to a brand if it aligns with values like sustainability, social causes etc.

The Publicis study was carried out across 12 cities and had a sample of 3,000. Gen Z embraces fluidity and thrive on flexibility and change, the study said. “They have a work-in-progress mindset. Their beliefs and values could be shifting. What they are really saying is, don’t judge me really by where I was yesterday. I’m a work-in-progress,” Acharya said. Besides, they value freedom from societal expectations. They want to explore and find their own identities independently.

In terms of content consumption, they appreciate original content. Not fond of “unnecessary” lectures, they like exuberant, meaningful and relevant content. For learning and knowledge, they flock to YouTube and hail ChatGPT.

For Acharya, the bigger surprise was their dependence on social media for news. “This was an eye-opener because on one hand they appreciate authenticity but they would still not rely on traditional news sources like a newspaper or a news channel. I feel this is because they see all the social media chatter on a subject – read all the comments which may be for or against a topic and then make up their minds,” she said. Meme pages are also seen as genuine sources with an added fun element to news.

“The best way to understand this consumer is through observing them in their natural habitat and hangout places rather than interrogating them. That will give a broad understanding of trends and help brands customize their innovation and communication strategy,” said an executive at a traditional FMCG firm who feels that digital brands are doing a better job at engaging with this segment.