Youtube Transcrpit
Youtube Transcrpit
Youtube Transcrpit
Introduction
into what consumers want and why my name is Andrew McDougall and I'm director of beauty and
personal care research based
in London, and I'm excited today to bring you our latest installment chatting with more of our lovely
experts. Now
today we're going to be taking a real look and a real deep dive into generation Zed or gen z a
demographic the we're continually getting asked about a lot by clients and by prospects. I'm really
looking
at why gen Z marketing requires much more than simply selling a product and so for today rather
than
just relying on my own thoughts and insights and delights to be joined by two of our experts in this
area firstly we
What is Gen Z
have Johnny Forsyth who's director of Intel food and drink. He's always been involved in many
projects looking at genzee in
great depth on our platform and also with our clients as well. So welcome Johnny happy to every
year and also,
Georgia Stafford joins as well. She's our Beauty personal care and OTC research analyst who's been
doing.
Of projects as well focusing on gen Z and sort of how are looking at how our understanding of this
generation should go further.
So welcome George excited to have you here as well. Hi. So without further Ado sort of get straight
into sort of
gen Z and this is a generation for those not aware and born between 1996 and 2010. It's
very much a generation that is traditionally described as being value conscious and Drawn to brands
that
keep it real and they're very creative. They're bold. The creators of many sort of Trends on tiktoks
Instagram
reels other platforms many things that I myself feel very sort of a separate from going into
the elephant in the room straight away here. I will come out now and say I am a millennial so I
you know may not be may not be speaking from the generation rather about the generation. I don't
know if anyone else has any particular things they want to say on that Johnny if you you Millennial
as well. I'm normally I wish I was Millennial I would give my its film later. I'm actually a gens a
sorry Gen X and I've got a son who's James edem. He reminds
me all the time all day. Oh well and then Georgia you are I'm not gonna guess on this one. So I'm
gonna let you sort of
come out that yourself. From your definition I am officially a gen Z, but I think I'm more of a customer
in terms
Uniqueness of Gen Z
of a culture nice. So we do have a well-rounded sort of group. I think to look at things stairs. I say I
know both of you have done
a lot of different strategic projects on this looking at gen Z both internally and also with external
projects mintel. So I guess my first question to really open it up when we talk about gen Z
is what is unique. Is there anything unique to say about Genesis there anything particular is that
the way they can send themselves or anything like that? so again, I guess my answer this would be
that what I
think it's a great question because it really gets to the heart of what is is different about
gen Z versus the fact they're just another younger generation because a lot of the time their
behaviors
and their attitudes are shapes right by the fact that they are young but they definitely are some
media and Society factors which have also shaped them and make them quite different to say
previous younger Generations we've seen and I think one of the things I've seen that have really
surprised
me is the degree to which they struggle with their mental health and their anxiety and you
know in trying to find out you know, why that is and there's a US research is
that various young generations for decades and you know, she talks
about the fact that they're the first smartphone generation that I said such an impact on their lives in
terms of
having social media surrounded by And all the time in terms of not maybe
about how that made them more vulnerable say than the Millennials were so I don't know what
George thinks about
that. That's certainly was striking aspects from where research. Yeah. I think I'm from that. It's the
first
Digital natives
generation where their digital natives. They've always known. a different life online where
You're very immersed in the digital and maybe less so in the real life as it were
so like you say seeing friends face to face being as comfortable doing that as you are chatting with
them online. It's interesting
as well. Because Johnny you mentioned about the the mental health side of things and when you
think about sort of anxieties and depression
and coming out of covid for all generations because we've had this period a lot of us anyway in the
Western World particularly.
We had all these lockdowns periods of where we weren't socially bonding or mixing with other
people. It's weird to
have this digital native generation as well. Then that is so immersed in their phones as you say
Georgia because then it's
the case of well, actually is this the first generation that's really having to deal with, you know,
obviously not mental health issues, of course, but in terms
of social anxieties and social depressions that this can cause their actual interaction with the world is
very different to how we would perceive particularly from even from advertising marketing point just
happiness
and how we bring happiness to this generation. It's almost a connected generation that is
disconnected.
Yeah, maybe I'll let George answer that first. I think in terms of disconnected it's connected to
Disconnected
so much you have access to so much that then Some of that anxiety might be difficulty knowing
where you are
in all of that you have access to people in the US people in Asia people in Africa, if you're
say in the UK, you think or who am I where do I fit in or as before without social
media? Everything was a bit more close. So it was just your school your town your city. That
was where you had to place yourself and now it's on a much wider stage that you're constantly
accessing on tiktok on
Instagram wherever it is. Yes, that's really interesting as well. There is this strange kind
of paradox that they are the most connected generation ever. But something from our data about
that comes out is that
they're quite lonely generation and maybe it's because they're not physically having these these
interactions
with with people. I I don't know but it's yeah, it strikes me very strange that we can
be so connected on the one hand yet so lonely on the other. It's interesting what you say because it
does seem
like it can be a bit overwhelming to have all these all this information all this data available. It's
almost the case of just because
we're connected. It doesn't mean we're definitely connected to meaningful values or meaningful
things. It
could be that we're also absorbing and live or this generation is also more exposed to sort of junk
values and
things like that so that it's a kind of it's it's a difficult one for this generation. I think what would
you say then are sort of the core characteristics of generations that would you say it's possible to talk
about that in
terms of we talk about the first sort of digital natives, you know, it's a generation where diversity and
social issues
that is more than Norm to talk about it more open generation in terms of being a consumer.
Are they more shrewd? How would you sort of characterize them? Yes. So for me, I would say though
there's a couple of words. I would use
to describe them one hand diverse on the other hand. They're very very common
driven very very primatic. And I think in terms of diversity, obviously, there's the the side of things
where they want everyone to
be treated fairly but I think it shows itself quite interestingly in certain safe
food and drink categories, which I look at. So for example with alcohol, they're less likely to drink
alcohol and
I think a lot of that is around they don't subject their peers to the same
kind of peer pressures say that that my experience when I was younger where you know, if you didn't
drink alcohol is a really big deal and you
have quite a hard time friend and I don't get that sense with them. So I find that really interesting
and but
I also think that they're very very driven and you know, maybe that comes from the fact that they've
experienced, you
know, a couple of recessions and their lifetime and the world feels like a lot
more of a compassionate Place Georgia. Would you say that sort of reflects what you've seen in your
research into and your experience
of Genesis if you were to characterize it would you say similar to Johnny in terms of those sort of key
characteristics or if you've seen sort of
Diversity
everyone. I think Fenty sort of set the standard for that when they came out with such a diverse
array of foundation Shades and now that's the expectation. So a brand who does that is no longer
sort of differentiating themselves. They're doing the bare minimum. And if a brand does not do that,
they're going
to get called out on social media. So I think definitely the commitment to diversity even
if it might not be affecting them directly. They're looking out for their peers. Yes, interesting what you
said? I mean, I love everything that fenty's doing.
I mean, I think the marketing Geniuses behind that brand are really good sort of connecting with
their audience and obviously gen
Z being a big part of that and I would definitely say that you have when you do have a brand like that
then it
definitely sort of breathes loyalty within the consumer. What would you say then that what makes
gen Z loyal to
a brand I mean are they are they specifically loyal to these brands or are they the type that will flick
around a lot?
Hype
I think there's a bit of a mix there's sort of brands that reflect their value something around like elf
stay where
it's an affordable price point quite diverse. and Reflects sort of gen Z's values in that way,
but then also there's the power of tiktok and its ability to make products go viral like that and that
is where I think there's a bit more disloyalty and buying just based on seeing multiple
people use it and then obviously the products sell out increasing demand even more so I think
there's a lot
of hype as well that can drive purchase. You know, I would say that younger people always a bit more
fickle
it comes to brands that are some of you just so we see so I don't think there any more so than
previous younger Generations,
but a brand I find really interesting in food and drink on it and I talk about this personally not
necessary
through work because my son's really into is prime the the isotonic drink
and I don't know where you are aware of that but is it's just so popular amongst amongst the
teenagers. So there's all black market for it at school. There's shots only for 100 pounds and that's
all led by influence. Marketing and it's bigger on George's point about it, exclusivity and height. So
it's very
very hard to to find it in shops as often sold out and I have some kind of go insane series
and try and try and get it for my son and it's not there and and that kind of feeds this this interesting
loyalty
to it and all it is is a very simple iconic drink but you know, my son's not interested in in say
Vita coco or or some other kind of competitor. It has to be Prime. Yes, an interesting example writing
thing is prime
when they launched in the UK, they specifically sort of made it so that it was it was less available.
Just
purely to create a hype is that right? I've sort of read somewhere that their marketing tactics on the
particularly on
the UK launch was very clever in creating that sort of that real Buzz and that demand amongst your
consumers I
think so and also they they launched a flavor that was specific to the UK as well. So they're quite
globally Savvy as well in the way they use exclusivity. You know, I think it's a fascinating example, I
will
say at the time of recording. I have just seen that the sidemen and KSI who's obviously one of the
founders of
prime has been involved in a YouTube Fiore. Shall we say where he's
but yeah, he's potentially he's potentially going to be canceled. He does he's off social media just for
a couple of weeks. So and that's hot that's half the
Press just for you now Johnny, but I still think I don't think that will affect Prime at all as I say, I just
think
it's a very well placed product. It's a very very interesting sort of way that they've marketed that
product. And
one thing I will say though is that I think Prime is a good example that the elephant that you
mentioned as well Georgia, but to
what extent because we always say whenever another generation comes along because we had it
with Millennials and it's always this is an exciting Innovative generation,
and we can Market to them differently. But to what extent would you say is Gen Z the product of its
life
stage versus the generational differences per se because as I say, they, you know, they can be
willing to try more Brands they could be willing to be more Actually triggered they can be more
prone to Hype. So is there an extent of the right now because of
the age of gen Z that's maybe the product of of what how we Market them rather than the
actual generational difference to a millennial or older Generations. Yeah to me life stages are more
important factor than
generational differences. And there's some they've recently uncovered in neurosychology the
teenage brain and
the brain doesn't sort of fully develop until we're age 26 and older and then the prefrontal
cortex starts to dominate and up until that point. We're very different in how it make decisions. We
tend to be more impulsive and more emotional and more short term. So I think a lot of the behaviors
that
are manifesting in general said right now will change and once again to their late 20s and
30s. Yeah, I think especially the hype driven is part of being young. It's no
different really from peer pressure at school. It's just now it's online. I can think of so many
examples pre social media of things. I wanted because I saw everyone around me had them. I
remember neurosport drinks were probably my days
Prime. They were just a drink that the local Corner shops all but everyone at school drunk them. So I
thought I should drink that. I think it's no different.
It's just now it's online more as opposed to in schools. That's a really fascinating example. That's
a really fascinating thoughts. I'm now just thinking I remember when I was younger Red Bull was first
launched and it
was always this case of Red Bull was a drink but actually obviously you see in the sports industry and
all these other avenues. They've gone down Red Bull
is very much in marketing company that has all these other actual products add-ons too, which is
again fascinating because again, that's that's not
a generational differences. Obviously Red Bull would have come out for Millennials or Gen X. I mean
it wouldn't have been for this
but it's a very similar sort of hype marketing and that kind of needing to need all that desire to
want more which is really interesting. Yeah. So your point they love that the brand
and you know very much money, they love apple and apples so good lifestyle.
Side of the marketing so I think it's very true what you say. It's interesting. You bring up Apple as well
because when again when
I was younger and apple, I remember the Apple Macintosh, isn't that I remember like when I was
younger when I
was a student, I really wanted to remember those Apple computers that were like they were like TVs.
They were huge. There were they
were like they were nothing like a flat screen Georgia. We had a huge sort of back to it and that the
the computer was in
that it was almost like a TV that you would have any bedroom and the computer was in the back of
it. It was amazing and I
was just sort of thinking there's so many things that mentioning that now and I feel old now having
to try and explain it to you Georgia,
and I'm just thinking of so many other things like VHS tapes and other things from my childhood
Blockbuster video, for example, that people
just won't have a clue what I'm talking about from a certain generation. So is there also a factor
when we're thinking about this
generation because Nostalgia is such a big Trend in Beauty and food as well, but is
it important to think about what does gen Z not know about what do they not know about?
So I think for me I've looked at sort of they're asked you'd say to sustainability and health
and both of those areas are really really complex. So I think that from from what
I've seen there's a lot where they don't know about the best way to to be sustainable
is going to help the planet and and the ways that they can kind of really have a healthy diet, you
know,
it does not to serve as a bad thing. I think those are such complex areas that it it often takes
you decades so consumers can't really start to work them out. Yeah, I was going to say a similar thing
about health, I think.
Health
That's the purchase journey and there might not be too much research that goes into that yet. So I
think that is something that maybe you start doing when you get older and you think more about the
decision to purchase before you
go ahead and do it and you do your own research as opposed to relying on other people to do it for
you. So
there's not always that knowledge there, especially in health looking at OTC
Behind purchases George as you say is also fact that you get a lot of fake news and
I was read about things like people putting garlic up their nose, for example, because it
was a tiktok trend without that reduced your sinuses. And you know, is that kind of diluting some of
the the tree messages of how to be healthy, for example, Yeah, I think especially with tiktok because
you're consuming
information so quickly it's difficult to then stop and pause and think or is that true or have I just seen
10 people say it
they want the top examples that comes to mine is olaplex olaplex last year. There was a big uproar
that products
were going to cause infertility because an ingredient in it, it was founded on zero science, but it was
enough to
contribute to a decline in salesfor olaplex. It doesn't need to be true doesn't need to be rooted in
anything true for it to spread and for Gen Z to believe. It's true sometimes. I was going to say does
that does that lead to sort of
potential weaknesses then of the generation of is the generation are addicted to technology and we
have this addictive technology that
as you say will constantly keep us scrolling and keep us watching and as you say doesn't necessarily
always give us
correct. It's a great source of information but doesn't always necessarily give us a correct
information. Would you say
that's one of the big weaknesses then of gen Z or would you say that there's other weaknesses as
well that this this generation could
fall foul of because of again, it's circumstance. I think sustainability is one where gen
Sustainability
Z might fall short. It might be a component of Youth and just sort of wanting more and more
have sort of awful track records for sustainability, but putting that to one side so that you can always
have sort of the newest garment or the newest item of clothing that might be a downfall and that
individualism that
don't think that's really unique to gen Z, but it might just be more pronounced would you say
then that the Gen Z would you say there's examples of gen Z, perhaps we misunderstood them just
because
I think sometimes we think of obviously that the younger generation this young activist generation
sort of demanding and expecting
sustainability in that regard. Do you think that actually gen Z is also a bit misunderstood sometimes
they will just
be labeled as one thing when actually it's as you say it's a lot more complicated than that. I think
that's so
misunderstood because you know, when I first started looking at gyms that I was expecting to really
eco-conscious and behaviors
and they aren't And I feel like you always get this with younger Generations where people almost
project certain things onto them
that that aren't true and I think because you have greater thunberg, for example user who's a gen
Zed. I think
a lot of people will assume that you know, the rest of the generation are kind of these credit but
avatars, but they're
not all you really see that when you kind of dig into their behaviors and that that's not a slight on
them. I think that's the
same for every younger generation. They don't tend to be very sustainable and they don't sort of
having abilities so
much to think long term. Yeah, I think it's quite easy maybe to
Gen Z vs Millennials
blame gen Z for some of the the failings of society right now, but I think it was the same for
Millennials. I remember when
I was a teenager. Everyone said Millennials can't buy houses because they're buying avocado toast
and spending on takeout coffee. It's
just an easy and easy thing to to blame the younger generation on.
Yeah, people always really negative about younger generation. It's probably just Envy because they're
the you know, they're not young bitterness
because you're not young anymore was that there's always that classic Trope was always another
every generation every Next
Generation always thinks they're they're sort of the bees knees there that you know, the next most
Innovative generation was
forward thinking but again, every generation is thinking that and then on top of that as I say from the
earth from the other side of the
coin is then there's probably that Envy from all the older consumers thing with that generation has it
easier they have things
that I never had so it can be difficult. I think to sort of navigate in that world. Would you say that gen
Z
is is more pessimistic than previous generations, then in the way that they approach the
world and also from that talking about consumer goods then how they approach brands. Are they
more pessimistic or would
you say that? It's just a standard thing. We always expect from Young consumers anyway,
Well, I actually think they are more pessimistic and I think the reason is because they've been
surrounded by the
24/7 Relentless news cycle and of course news is always negative because
negative new cells and you know, I was thinking about when I was younger and maybe I've watched
the news once a
day at six o'clock on the TV and that would be it. So I was kind of in my own world and I
what always striking on his feet Genesis how cleared up they are and they really understand what's
going on and there,
you know, they've got their finger on the pulse in terms of the news and to me that that's gonna
make you quite negative because
the news just pumping bad news into your your Consciousness all the
time. Yeah, I think being surrounded by the news like you say is difficult not to have a negative
outlook on the world and then
Negative outlook
to bring that fine those negative traits that you're always hearing about say a
country's done and apply that to a brand it's very it's very easily done very easily done. I
It's also interested in if we flip that round to talk about again the consumer business and the
research that we're doing. What would you say then is important to
gen Z in Brands. Like what do they look for and what what should Brands be
doing? To not sort of take advantage but actually to be able to organically connect with these
consumers. What what is
what is it? That is most important. I think authenticity really resonates like we
Authenticity
mentioned earlier genzier quite open about their mental health so it can be quite easy for Brands
if there's nothing behind that and it's just using those words gen Z will see straight through that.
And realized that branch is pandering to them. Whereas authenticity stay supporting a organization
that supports young people's mental health shows a bit more authenticity and
think of rib Beauty for example donates part of their profits to support young people's mental health
and it gives them a bit more credibility to use that language of a supporting and mental
health in in sort of marketing. It really agree with that. I think it was entities a big thing for them
and they are very very marketing and media Savvy. It's quite scary. So if there's
any kind of in the slightest crap between what brand says and what they do in my
experience that they will spot that very very quickly and that Faker is the worst way you
could communicate with them. Yeah, definitely establishing sort of a clear voice sort of having sort of
a strong personality definitely
Content
seems to be a good way to as you say to authentically connect with a consumer. Although again,
even
as you were sort of saying some of the like the words you were saying there George about that sort
of self-care these sort of buzzwords. It's kind of like again
Brands need to be careful as well. I guess to not fall into that trap of just ticking off the buzzwords.
They
need to actually have that authentic message as well. I mean would you say there's sort of any
specific content then
that would attract gen Z is there is there a different way to approach this generation than potentially
we did the Millennials before or is there a way that brands should play in this space?
So I think brands have got to be quicker. You've got less time to get across your message and make
an impact and I think that's because of the media environment in which gen Zed have grown up in
where they are
literally bombarded with with so much information at the stage when their brains still developing. So
research
has shown that the average person will compute about 16 films
worth of data into the brain per day. And if you if that's what's
happening when your brains kind of developing you have to develop some techniques to to really
kind of take
on board information very very quickly. And I think that's why they agenda really like short videos
short videos
on tiktok or YouTube and yes got to be really engaging and sticky. Otherwise,
it's you know, you're gone, you know you yeah, I think being hum as well and like you say being quick
Being human
I can think of so many examples of brands on social media who are using a meme format that was
popular about two
months ago and you can tell they've had to go to a social media manager. They've had to go to a
brand manager and be in meetings for two months
to turn out one video that then is stale the minute it's released. So I think being exceptionally quick
If I was a brand I would be employing the Gen Zed to do my and my digital that marketing
and you know, they're very very kind of business savvy. So a lot of them would be, you know
be in the market. Would you would you say almost then that an indie brand is is much better
place than to play in this market you say they can just move a lot quicker in this then it's a lot easier
for an indie band
or a smaller brand or a niche brand to Target and markets agency than it is for a bigger
company. And and if so, what is there anything that the bigger companies can do then beyond what
you say Johnny about
just sort of employing Genesis. I guess so if a big companies that yeah, it is difficult because they
won't
want to see as much control necessarily but how I might approach it is, you know investing
in smaller companies that that don't have your brand name for example, and then allowing
can you know, really make decisions very quickly and know Their audience and you
can kind of get the benefits of that without any blowback. Well, I think we're thank you very
much for your Insight so far. I think we're sort of coming slowly to the end. Are there any sort of key
takeaways that you that either
of you are sort of say then in terms of when you think about the research you're doing and obviously
your specific categories, but
also in general would you say there's any sort of key takeaways that in the consumer goods industry
brands should be is there
like a do's and don'ts list of what brand should and shouldn't be doing. I think do be authentic and do
Key takeaways
say you're doing something if you're not doing it because like we've said genzier is extremely Savvy
generation, and
they'll be able to find out if you're doing something very quickly and call you out on it if you aren't.
Yeah, I would say Brands need to be careful that they don't believe in in a lot of the myths that are
perpetuates about gen Zed and and take a really careful look at their behaviors and their attitudes.
traditional media. Don't don't be really slow in terms of them how you get your message across
or you know out of touch because I think I think very quickly you'll be found out. Thank you both so
much for your insights in I think it from from what both of you said today my sort of take away from
this as well.
What I can summarize is that obviously as with as with every generation before but James is
obviously have unique interests and behaviors and
different expectations when they do shop. So I guess obviously the key messages about Brands been
authentic knowing where they can play as well. I think being brave enough sometimes to realize that
if you're not being authentical if
you don't have an authentic message, then not playing is also or not playing that space is sometimes
the best decision you
can make rather than potentially making an error by being I sort of forcing that involvement I think
so, I
think tailoring that shocking experience and the product offerings to meet the needs and
preferences.
of gen Z becomes as you say it's a do and don't it's knowing when and we're not to play. So I think it's
gonna
be very interesting. I think moving forward to see the different sort of or the various forms of sort of
value and technology that enhances and
makes shopping fun as well as these ethical practices. I know George you mentioned obviously
sustainability earlier as well being all the
more important or to better appeal to gen Z. So it seems like it's a very new ones demographic that
there
is still a lot to learn from but I still think there's a lot of sort of key simple takeaways that you
both sort of mentioned today. So thank you both very much for your conversation today and
certainly
for your insights on this generation. I know I could probably speak to both of you for for a lot
longer. So thank you both. Thanks. Anyway, thank you, and thank you very much to everyone for
listening as well. But the conversation doesn't
end here head over to mintel's LinkedIn and our Instagram as well to let us know what you think.
We'd love to hear
your thoughts on gen Z and how potentially if your brand is currently marketing to them any sort of
success stories or
failures. You've had. Please feel free to share. Feel free to share and a safe space and sort of continue
that conversation. If you
want to know more about mintel then please visit mintel.com and sign up to become a member of
the free mintel Spotlight
community. And also make sure you never miss an episode by subscribing on iTunes Spotify or
wherever
you get your podcasts, but all that's left for me to say it's thank you very much for listening and have
a great day.