Want to Attract Gen Z Customers? These 3 Factors Matter Most. Businesses should prepare to meet the needs of this demographic cohort, starting with these 3 factors.
By Jeff Brazier Edited by Carl Stoffers
Key Takeaways
- Gen Z values brands that embody their stated principles in a genuine way.
- To appeal to this generation, companies should demonstrate transparency and a strong commitment to values.
- Franchises can attract Gen Z by being active in sustainable practices and local partnerships that align with their brand values.
Opinions expressed by Entrepreneur contributors are their own.
As generations move into different life stages, the way we market to them evolves. It's a unique challenge to consider how to attract different generations of customers as purchasers of our products and services. The up-and-coming generation of 12-to-27-year-olds, also known as Generation Z, are changing the way companies do business. We must understand that this generation embraces different values from those who came before them and favors alternative trends. For continued success, businesses should prepare to meet the needs of this demographic cohort as it grows and changes.
As Gen Zers enter adulthood, they are making purchasing decisions that are having an impact on the bottom line. This means it's time franchisors examine the ways they can adjust their practices to accommodate this market segment. Here are specific ways businesses can appeal to Gen Z:
Focus on authenticity
It's not enough just to say you do or stand for something — you must put it into practice in a way that is transparent and authentic to your consumers. Gen Z, in particular, favors brands with strong values that show through in customer reviews, digital marketing, social media and advertising, as well as through the brand's actions in the real world.
For example, don't just say you offer work-life balance and flexibility to potential employees. Show it on social media through posts highlighting how your organization's benefits and programs support employees that are working parents. Emphasizing a supportive work environment that offers wellness programs can address this generation's desire for a mental and physical health focus that's supported by the brands they love. When a brand supports its workforce, it's putting its words into action.
Stay at the forefront of tech
With a focus on convenience and speed, Gen Z is fully immersed in innovation and tech. Their digital-first approach means that companies need to place the same emphasis on social and digital development, making it a top priority. Mobile ordering, digital-tour scheduling, social media engagement, e-commerce and app integration are just a few of the things to focus on when marketing to Gen Z.
The ability to be nimble when it comes to advances in the tech space is a competitive advantage that can set a company apart in the eyes of consumers. Artificial intelligence, for example, is a key area to practice this type of adaptability. Stay open to all the developments that will propel your company forward in the eyes of a tech-savvy generation.
Related: Taking Control of Your Life Through Franchising (Webinar)
Mitigate risk
According to Emarketer's Gen Z's Path to Purchase report, Gen Z consumers conduct a lot of research before making purchasing decisions and are typically not impulse buyers. Their focus on risk awareness and mitigation efforts means providing enough information to make them feel comfortable with their buying decisions is essential.
Personalization of this experience is a huge factor in the purchasing journey of Gen Zers — they want a website that offers personalized recommendations in real time. And they're more willing to share their data for this purpose. If a brand experience doesn't meet their needs, they're prepared to seek out others that will. Even though they are used to sharing data more readily, these consumers are still very privacy conscious. They're more open to sharing data if they receive a reward like a discount or unlock more personalization features.Helping this set of consumers feel at ease with making a purchasing decision and sharing data is necessary to earn their business.
Related: See The Entrepreneur 2024 Top Franchise Supplier List
Take action
Gen Z is big on community engagement on a large and small scale. They like to see a brand participating in sustainable sourcing and local partnerships to maximize its social impact while also doing good within the communities it serves.
Eco-friendliness and sustainability are two values that can attract a socially conscious Gen Z consumer and entrepreneur to your franchise brand. A company that says it values sustainability but has a high carbon footprint is not going to come across authentically to consumers willing to investigate. Make sure what you're doing is in line with your brand values and not just something to make it look like you're active in this space — discerning consumers can tell the difference.
At Kiddie Academy, we truly value our corporate social responsibility efforts — whether it's seeding a community fund to help teachers during hard times or helping our franchise locations organize local fundraisers — and we share them loudly and proudly so customers and franchisees can see if their values align with ours.
As a franchisor marketing to a rising generation, you're not just selling your product or service, you're selling your brand. Make sure you are learning from and embracing what Gen Z finds important to amplify your business and grow your customer base.
