Study: Generational Targeting Is No Longer The Path To Success

Smiling happy young adult friends arms around shoulder outdoors friendship and connection concept
SHARE
THIS



A new report from Zenith has found that a mass personalisation approach to marketing may require a change in generational targeting strategy, telling us that Generation Z is Not the Next Big Thing.

Though targeting by age remains the accepted practice across many advertising categories, fundamental shifts in media consumption and trading, combined with significant changes in life stages and consumer behaviour, has led Zenith to believe that targeting by a traditional demographic approach is no longer effective when the goal is serving relevant advertising and personalisation of experiences at scale.

In Generation Z is Not the Next Big Thing, Zenith advocates rethinking targeting to take a ‘perennial’ approach.

The term was coined by marketing guru Gina Pell, and, embracing this, Zenith believes that marketers need to shift their focus from age in favour of mindset, behavioural change and disposable income.

Zenith argues in their report that targeting by age is no longer effective when many cultures around the world are seeing changes in the pattern of life events.

According to their findings, as creatures of habit, we are most receptive to new brands when experiencing a life change, and though historically, some of the most defining changes happened before the age of 35, longer lifespans and more varied life changes have led to strategies of targeting the young to become outdated.

As estimated by The Human Mortality Database in 2018, half the babies born in wealthier countries since 2000 may reach their 100th birthdays.

The sting of the modern economy also comes into play, with many young people struggling to find work and therefore not able to enjoy the same frivolity as past generations.

According to the Bureau of Labor Statistics, 16 to 19-year-olds will represent just 26 per cent of labour participation in 2024, compared to 52 per cent in 2000.

Equally, older generations are becoming ever more determined to enjoy life, embrace new things and have more money to spend.

The statistics on a variety of measures, including alcohol consumption and sexual intercourse, show that today’s young people are not the hedonistic disruptors of previous generations.

Rather than trendsetters, they are more conformists trying to make the most within the system.

Generation Z

Zenith Australia CEO Nickie Scriven said of the findings: “The key trends identified in the report is reflective of what’s occurring in Australia.

“What we see is that behaviour is now less aligned to age and demographics.

“Life has become less predictable, with a greater diversity of life journeys now possible and acceptable.

“We’re also seeing spending power shift to older generations, while disruptive behaviour is no longer the domain of the young.

“The Zenith ROI+ process is built with the consumer at the heart, and compels marketers to target their activity to audience behaviour and attitudes rather than broad demographic segments.

“It’s our belief that growth is best driven out of a deep understanding of the drivers of consumer behaviour which can exist across age boundaries.

“This philosophy becomes even more important when we consider the increasing fragmentation of the media and the explosion of consumer choice in the media landscape”.

Zenith global head of strategy Ben Lukawski added: “We are seeing that some of the most effective marketing approaches, while labelled as appealing to a specific generation, are actually engaging like-minded people of all generations.

Rethinking targeting is going to be critical for marketers who want to serve relevant advertising and embrace personalisation at scale”.

 

Please login with linkedin to comment

Gen Z Study Zenith

Latest News

Why DDB Sydney Is Supporting Advertising Equality Initiative ‘ShEqual’
  • Opinion

Why DDB Sydney Is Supporting Advertising Equality Initiative ‘ShEqual’

In this guest post, DDB Sydney MD Priya Patel (pictured) discusses why DDB is supporting the launch fo shEqual, an advertising equality initiative from Women’s Health Victoria… shEqual, which launched last week, encourages advertisers and agencies to seriously consider the work we produce and how, collectively, we can move away from tired stereotypes and sexualised […]

Opinion

by B&T Magazine

B&T Magazine
Adgile Doubles-Down On Australia Growth With Team Expansion
  • Advertising

Adgile Doubles-Down On Australia Growth With Team Expansion

Following on from the appointment of Paul Evans as its first Global CEO, Adgile Media has set about expanding and developing its talent base, in order to support and drive growth within the Australian market. Stu Carr joins as Adgile’s new Director of Customer Insights, where he will support clients with their data and analytics […]

Val Morgan Digital & Fandom Team Up With Adidas For New Campaign Featuring Esports Star
  • Campaigns

Val Morgan Digital & Fandom Team Up With Adidas For New Campaign Featuring Esports Star

Partners of Val Morgan Digital, Fandom, the largest entertainment fan site in the world, have this month teamed up with mega brand, adidas to build hype around the release of their new X9000 range. The multi-faceted campaign included a mix of written & video content that tapped into the core pillars of style, tech, and […]

Akcelo Expands Data Strategy And Martech Capabilities With Appointment Of Senior Marketer Anne Ngo
  • Advertising

Akcelo Expands Data Strategy And Martech Capabilities With Appointment Of Senior Marketer Anne Ngo

Brand experience and innovation company Akcelo has today announced the latest senior addition to its growing team, appointing highly experienced marketer Anne Ngo as martech and customer strategy director to lead and grow the practice. Ngo will help Akcelo clients grow their customer marketing and martech maturity by leveraging her deep understanding of the challenges […]

7-Eleven Partners With Adobe And Microsoft To Accelerate Digital Strategy
  • Marketing

7-Eleven Partners With Adobe And Microsoft To Accelerate Digital Strategy

7-Eleven has entered strategic partnerships with Adobe and Microsoft in what is set to accelerate the company’s ambitious digital strategy.  With transformation works well underway, 7-Eleven’s digital plans signal a significant step forward for Australia’s leading convenience retailer.  7-Eleven General Manager of Strategy and Technology Stephen Eyears (pictured) said the company sought to deliver more agile innovation in order to meet customer needs across […]

Anchor Dairy Launches Christmas Appeal For NZ Food Network Via Pead
  • Campaigns

Anchor Dairy Launches Christmas Appeal For NZ Food Network Via Pead

New Zealand’s Anchor Dairy has switched strategies for its 2020 Christmas campaign, with the company this year drawing attention to the need to give during the festive season. The Fonterra-owned company is encouraging Kiwis to fundraise for the New Zealand Food Network, following the release of research that showed one in five people risk going […]

Victorians Told To Take Advantage Of Energy Reforms In New Campaign, Via Icon Agency
  • Campaigns

Victorians Told To Take Advantage Of Energy Reforms In New Campaign, Via Icon Agency

The ‘It’s Your Energy’ campaign, delivered via Icon Agency, encourages Victorians to take advantage of recent energy reforms and ensure they’re getting the best deal possible. Essential Services Commission, the regulatory body for Victorian energy and gas, water, local government, and transport sectors, has engaged Icon Agency to develop an integrated communications campaign to help […]

MJZ’s Juan Cabral Joins FINCH, Colenso BBDO On ‘NRMA Sleeper’ Campaign
  • Campaigns

MJZ’s Juan Cabral Joins FINCH, Colenso BBDO On ‘NRMA Sleeper’ Campaign

In the insurance company’s latest campaign, NRMA Sleeper depicts a road trip, like any other, except everyone in the car is asleep, even the driver. Yet they arrive unscathed. According to production company FINCH, which is behind the work, the spot dreams up a world where cars drive themselves to remind us that until they […]

Charity Bailey’s Day Launches ‘The Big-Hearted Bear’ Campaign Featuring Livinia Nixon Via Noisy Beast
  • Media

Charity Bailey’s Day Launches ‘The Big-Hearted Bear’ Campaign Featuring Livinia Nixon Via Noisy Beast

Children’s cancer charity, Bailey’s Day, has teamed up with full-service international communications agency Noisy Beast to launch ‘The Big-Hearted Bear’ campaign, voiced by Channel 9’s Livinia Nixon. Each year, Bailey’s Day hosts a charity golf day, auction and luncheon to raise funds for children’s cancer research at Monash Children’s Hospital, but with the COVID-19 pandemic, […]