Tuesday, June 30, 2009

Generation Z: Shift Happens

Though there's a bit of imprecision about the terms Generation X, Y and Z, their behavior is closely watched for obvious reasons: at some point relatively soon, they will start to represent the center of gravity for most products and services.

Generation Z, people roughly born between 1995 and through 2000s, have some characteristics in common with Generations X (roughly born between 1965 and 1980) and Y (roughly born between 1980 and 1994). We perhaps make too much of the precise delineations. But some behavioral trends seem common to all three "generations."

They don't read newspapers.

They tend not to watch scheduled TV, and some would note that even when TV is available, it isn't being "watched," as users are multitasking. They also often have access to digital video recorders and Internet video so "appointment television" doesn't make as much sense to them as it might for older viewers.

They tend to rely on mobiles for voice communications, and in any case texting is an equally dominant behavior.

They tend to trust their peers, even unknown peers, more than they trust experts.

They are used to iTunes, so paying for digital content, or watching some ads to get content at a reduced rate, or for free, might not strike them as unusual.

They are social in a digital way. Communication with “friends” is a primary activity.

Though they might not admit it, brands are important.

To a greater extent than older consumers, they expect to be able to move digital content from platform to platform. In part, that is simply because they know digital content can be moved from device to device.

They use instant messaging or text messaging for communications, they think that email is for their parents.

In part because they have grown up with Web media, mobiles and the Internet, sharing content seems natural.

Most of those behavioral traits have implications for marketing in general, and for Internet and mobile marketing in particular. For starters, new media require new rules and tactics. Each new medium has characteristics that are not well understood at first. That is why early movies essentially were filmed versions of stage plays.

Over time, each media becomes better understood, production values and marketing opportunities change.

Even traditional TV ads do not work as well as they used to, in part because, as media become more personalized, non-relevant messages become ever more annoying.

Also, perceptions of honesty are more important. All three generations have been bombarded from birth with marketing messages and they are fairly adept at tuning them out.

And since social values are strong, advertisers, for example, will have to truly commit to becoming a members of the communities. As a practical matter, that means brands essentially have lost control of their brands, which in many ways are defined by users.

That will be scary, in part because in the new social context, people will criticize what they don't like. Worse, they may simply indicate, by lack of interest, that a particular product is not interesting or relevant.

It's all about "pull," rather than "push," in other words. But since nobody really knows what will work in the new formats, experimentation is required. It will be a big shift.

But as has been said before, "shift happens."

1 comment:

Lisa Cahan Davis said...

Thank you for the summary. I look forward to more content on this demographic/cultural group.

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