Lanndon Lindsay, a Reporter for The Wise Marketer
Through a special arrangement, presented here for discussion is a summary of a current article from The Wise Marketer, a website and newsletter serving the global loyalty industry.
Gen Z is less likely than other generations to join loyalty programs, according to research from loyalty experience firm Kobie. Perhaps even more worrisome, the latest “Deloitte Millennial Survey” describes Gen Z as experiencing a disenfranchisement with contemporary businesses and brands.
Here’s a look at three loyalty missteps you might be making in the face of Gen Z.
Reason 1: In the age of instant gratification, you take too long.
From smartphones to social media, Gen Z’s every move is influenced by a digital context that feeds them information immediately and is ready to interact with them instantaneously. So, when your loyalty program makes collecting points or stacking up purchases a longwinded process, there’s little chance Gen Z shoppers are going to wait patiently for their reward. According to research by Kobie, 40 percent of Gen Z’s agree that programs require too many purchases to earn rewards or redeem points.
Reason 2: Is your tech really that cool?
Deloitte reports that 67 percent of Gen Z survey participants are interested in discovering, exploring and buying new products with the help of emerging interfaces such as voice-based virtual assistants and virtual reality. Gen Z lives in a technological wonderland. To them, tech isn’t just a means to an end (such as when checking a bank account or ordering a pizza), it can be a form of entertainment in its own right or even a window through which to form deeper connections to the real world.
Reason 3: Gen Z is have a tough time trusting you.
Issues such as data misuse and a near constant threat of hacks prevail; politics and business collide; it’s an era in which a reputation can evaporate in mere moments. The general turbulence has led to an overall disillusionment with brands from the perspective of Gen Z. This also has the side effect of making Gen Z notoriously difficult to market to. Tapping into the psyche of this intelligent, self-aware generation with the loyalty ploys of the past simply won’t yield positive results. That’s why Gen Z responds best to tactics such as influencer involvement, social engagements and pop-culture integrations — these are all ways of building genuine authenticity by creating a transparent brand with an understandable voice.
- Three Reasons Why Gen Z Ignores Your Loyalty Program – Wise Marketer
- Study: Lack Of Convenience And Simplicity Deters Half Of Consumers From Joining Loyalty Programs – Kobie/PRNewswire
- Loyalty In The Age Of The Connected Consumer – Kobie
- Shoppers Want More from Loyalty Programs – CPGmatters
- The Deloitte Millennial Survey 2018 - Deloitte