People
People play different roles in the fashion industry, which relies heavily on customer engagement for market research. Generation Z comprises people born between 1996 and 2010. This generation’s identity has been shaped by the digital age, climate anxiety, a shifting financial landscape, and COVID-19. Statistics indicate that Generation Z presently contributes to around 5% of spending in the United States. Nonetheless, predictions imply that this number will surge to 17% by 2030. (EcoCart, 2023) Currently, Generation Z is a highly promising market segment, with projections showing an even more significant share of the market in the future.
As the first real digital natives, Generation Z primarily relies on the internet to seek information. They skillfully navigate various online platforms, including websites, applications, and social media. TikTok in particular currently rules trends, feelings, and culture for Generation Z, who make up 60 percent of the app’s one billion-plus users. Generation Z congregates across the internet to engage in dialogues with individuals who share similar hobbies and interests. (McKinsey & Company, 2023) There is strong cohesion and loyalty in this type of interest-based social circle. Generation Z believes that hobbies provide value in the form of self-confidence, fulfillment, and companionship, and these inner needs serve as the drivers for their hobby-centered consumption logic. Generation Z has a strong sense of purchasing power and independent consumption, has the right to decide and dominate shopping, and they often use spiritual consumption to drive physical consumption.Therefore, when brands use emotional link marketing, Generation Z will be more easily persuaded to consume.
Diversity in society is driving the weight of inclusivity and diversity in marketing, and Generation Z consumers expect brands to take on greater social responsibility, which includes respect for diversity and inclusion. They value the impact of brand values when making purchasing decisions. For example, in 2013, Lululemon became an example of size discrimination, setting a warning for brands to follow. Wilson, the chairman of Lululemon, refused to make products in plus sizes (12+) as early as 2005, and in an interview with Bloomberg TV, Wilson attributed the problem with the fabric to the size of the female consumer. Wilson said “Frankly, some women’s bodies just don’t actually work for it.” which puts the brand on par with fat shamming. (Brad, 2013) So brand behavior like Lululemon is contrary to the idea of brand diversification, which also means that the opportunity to expand the market will be lost and will face the crisis of being eliminated from the society with the coming of the diversified society. In contrast to Lululemon, Old Navy and Athleta, a yoga brand within the Gap brand matrix, already offer plus-size yoga clothing. Thus fashion brands need to focus on building diversity and inclusion to avoid making similar brand behaviors.
Therefore, fashion brands need to establish an emotional connection with their customers to increase loyalty and identification between the brand and its customers. When a brand’s target customers identify with the brand’s concept and vision, it will positively contribute to the customer’s purchasing decision, thus boosting sales. Diversity and inclusiveness of a brand will help attract a wider range of customers, and the brand can better improve its products and provide services to meet newfound needs based on extensive feedback. At the same time, inclusive and diverse marketing is not the same as just finding a few pictures and writing a few captions. Brands should take real action and use the right approach in order to gain consumer acceptance.
Bibliography
EcoCart (2023). 42 Statistics on Gen Z Shopping Habits.[Online] Available at: https://ecocart.io/gen-z-spending-habits/ [Accessed 14 10. 2023].
McKinsey & Company (2023). What is Gen Z? [Online] Available at: https://www.mckinsey.com/~/media/mckinsey/featured%20insights/mckinsey%20explainers/what%20is%20gen%20z/what-is-gen-z.pdf [Accessed 14 10. 2023].
Sara, L (2022). How Gen Z consumes media in 5 charts. [Online] Available at: https://www.insiderintelligence.com/content/how-gen-z-consumes-media-5-charts [Accessed 14 10. 2023].
Brad, P (2013). Lululemon Founder To Women: Your Thighs Are Too Fat. [Online] Available at: https://www.throughlinegroup.com/2013/11/12/lululemon-founder-to-women-your-thighs-are-too-fat/ [Accessed 14 10. 2023].