What does Generation Z spend their money on?

Generation Z, aka Zoomers, are people born between 1997 and 2012. They are the first generation to grow up with smartphones. Having witnessed a global economic crisis and a pandemic, they show some unique financial behaviours and drive new market trends that businesses need to understand in the years ahead.

This guide will cover:

• Unique characteristics of Zoomers
• What do Gen Zers care about
• How to appeal to Gen Zers

Gen Z people have probably had a smartphone and an iPad or at the very least internet access since they were toddlers. So naturally, they know how to navigate the digital world, feel comfortable using an app for everything, and like to shop online. Learn how to boost your e-commerce sales here.

Gen Z-s have also always had access to vast amounts of resources on the internet, which means they are well informed and self-reliant in finding information and deciding which brands to buy from. That means it’s important to optimise your webpage for search engines to help Zoomers find you online.

Zoomers tend to be more economically conservative and somewhat worried about their future prospects. In light of this, they look for quality and value in the products they purchase.

Through the accessibility of flights and the internet, their parents met people from all over the world. As a result, members of Generation Z are more likely to be multinational than their predecessors. 

They also grew up with gay rights, racial equality and body positivity, for example, making tolerance of differences their default position.

Zoomers have grown up amongst discussions about climate change, pollution and over-exploitation of the planet. But, in recent years, they have also witnessed political turmoil and racial and social injustice. 

Generation Z is a proactive group of young people empowered to stand up for beliefs, causes and campaigns. For example, according to this study, 40% of Gen Z-s have created social media content relating to environmental, human rights, political or social issues.

Since Gen Zers are so tech-savvy, they know digital solutions can offer convenience. Therefore, they value e-commerce for availability and choice in their shopping experience. 

In addition, Zoomers are totally on board with FinTech and the ease of moving money around with apps like Venmo or Cashapp. Zoomers refuse to use websites or services that load slowly or are difficult to navigate. 

Since Generation Z has never felt very financially secure, Zoomers are pragmatic and driven in their career and economic goals. They dream of building their own businesses and never having to answer to a boss.

Spending most of their income on eating out, mobile devices, housing and transportation, this generation is stepping away from luxury goods. But they will pay extra for high quality or sustainably made products. 

Being a very diverse generation, Zoomers care deeply about justice and equality for everyone. Not only are they politically active and driven to make changes, they expect brands and companies to use their wealth to make positive changes in the world.

Gen Z-ers put emphasis on sustainability and human rights. So they care about whether a company they are buying from or working for shares their values. Zoomers are willing to spend more on environmentally friendly products and prefer to buy from companies that invest in bettering the world. 

Now that you know what’s important to Zoomers, you can start thinking about how to present your offerings in a way that speaks to them. Let’s dive into some useful strategies on how to speak to this unique generation:

Since Generation Z has no patience for awkward digital solutions and their attention span is shorter than generations before them, make sure they can sign up or buy from you in 5 taps or less. More on what makes a good website here.

Zoomers also spend about 3 hours a day on social media, so you might want to look into how you can market your business on social platforms.

52% of Zoomers will dump a brand if they feel that quality is not up to par, and 65% say that value is important to them. So if you want this demographic to hear you, make sure you communicate the quality of your products and services as well as the value you offer. 

Social justice and inclusivity are important to Gen Z-ers, so design products that are accessible to as many different people as possible. If the clothes you make only come in sizes 0-8 or your make-up range doesn’t offer any products to darker skin tones, Zoomers might think that you’re brand is not i

Generation Z has strong personal ethics and is willing to fight for what they believe in. Zoomers want to buy from companies that share the same values and take meaningful action. Staying neutral is no longer an option for brands, so try to show this generation that you are on board with fighting for what’s right.

Zoomers expect more from brands than their predecessors, so companies have to work harder to deliver the quality and value that this generation expects. 

Thousands of business owners are using the Countingup app to save time on their financial admin and focus on growing their business. 

Countingup is the business current account and accounting software in one app. It automates time-consuming bookkeeping admin for self-employed people across the UK.

With automatic expense categorisation, receipt capture tools and cash flow insights, you can confidently keep on top of your business finances and save yourself hours of accounting admin, so you can focus on doing what you do best.

Find out more here.