Jan Bojko, director of client insights & measurement, APAC, Twitch, explains how companies can woo the digital-first generation by understanding how they interact with brands.
In many ways, getting into a relationship with a brand is similar to getting into one with a person. After all, we’re looking for someone (or, in this case, some brand) who shares our values and we’re happy to introduce to friends and family members.
But while potential suitors can rely on good-looking profile pictures to snag a date, companies looking to woo the digital-first generation need more than an eye-catching logo. They need to understand the behaviour of their audience and how they interact with brands and each other in order to secure that crucial first-mover advantage over the competition.
To better understand Generation Twitch and their lifetime value to brands, Twitch conducted a global survey reaching out to 9,000 people from nine countries. The research explored their lifestyles, how they engage with brands, and how companies can build deeper relationships with them. Here are some of the findings from the Twitch Customer Lifetime Value Research, 2023:
Building Cred With Generation Twitch
So, who are Generation Twitch and why are they a coveted audience segment? Simply put, Generation Twitch is a multi-generational group that consists mainly of younger Millennials and adult Gen Z. They’re mostly starting out in their careers and are passionate about issues close to their hearts. More importantly, they are loyal to brands and desire long-term relationships with them.
Generation Twitch…
…are at a transitional age.
37 per cent are between 25-34 and 68 per cent have full-time employment. This means they have more disposable income and a higher spend than average across all categories. With Gen Z alone projected to have a combined income of $33 trillion by 2030, this is a segment that marketers simply cannot afford to ignore.
…are natural influencers.
Not only are Generation Twitch plugged into the latest cultural developments, they are also discerning consumers who take time to find out all they can about a company’s function, purpose, and philosophy before embracing it. Once they do, they become knowledgeable influencers who are happy to share their findings with their online and offline communities.
…are primed for higher LTV (lifetime value).
Generation Twitch are loyal supporters with 79 per cent saying they want to have a long-term relationship with brands. 75 per cent even consider brands to be a part of their identity, as evidenced by this quote from a research participant:
“The brand becomes part of your identity, you know what they are about, and what they stand for, you never have to adapt to anything new.”
4 Steps To A Lifetime Of Brand Loyalty
Creating lifetime value with customers is a fluid process that occurs over four distinct stages. This cycle of brand engagement, when executed correctly, builds an ever-deepening connection and can turn a curious consumer into an ardent advocate.
Step 1: Discovery
Whether through creativity or innovation, marketers need to cut through the clutter to grab attention, wow their audience, and give them something to share with their peers. In our research, Twitch viewers show a 13 per cent increase over non-users in wanting brands to be creative and stand out.
How Twitch can benefit brands: As a leading community-based service, Twitch is seen as innately creative, bold, and fun. 69 per cent of Twitch viewers say companies that advertise with the service are cooler and more interesting, while 71 per cent say using the service’s interactive tools makes advertising more interesting.
Step 2: Creating Chemistry
This step is all about building belief and strengthening the audience connection by being transparent about a product’s function or even the company’s values. With Twitch viewers being 9 per cent more likely to look for substance and not just style, brands have to be conscious of what they say as well as how they say it. While the brand may be more open to scrutiny, the Generation Twitch audience will appreciate the brand being confident in putting themselves out there, even when it is not perfect.
How Twitch can benefit brands: With live-streaming being the backbone of Twitch’s appeal, authenticity is an indelible part of the service’s DNA. 69 per cent of viewers say brands that advertise on Twitch show more confidence in their product’s quality and 70 per cent agree brands and products will be more honestly assessed on the service.
Step 3: Deepening Connection
At this stage, brands need to be more than just a name; they need to be part of the community. By listening to their audience, being inclusive, and rewarding loyal supporters, they will naturally appear more human, intimate, and friendly.
How Twitch can benefit brands: The two-way interactive aspect of Twitch is invaluable to helping companies connect with their customers in real time. 71 per cent of Twitch viewers say brands can show a more human side on the service and 74 per cent agree Twitch is a supportive community.
Step 4: Evangelising
Finally, it’s time for your consumers to share the brand love. Compared to others, more Twitch viewers say brands should be open and listen to their customers (+6 per cent) as well as enable their customers to show generosity (+12 per cent).
How Twitch can benefit brands: Twitch communities are inherently more engaged, trusted, and generous than those on other platforms. 69 per cent of viewers say they trust the community’s opinion about brands and advertising more and 68 per cent agree there’s more discussion among the community about a brand that advertises on Twitch.
In short, high LTV doesn’t happen by accident but through a carefully considered virtuous cycle of brand engagement. Through creativity, immediacy, and authenticity, brands can maintain their top-of-mind position as well as foster a long-term relationship with customers who will eventually become their strongest advocates. The race to connect with Generation Twitch is on and brands need to start investing in this segment’s community and lifestyle if they want to see incredible results for years to come.
