generation z: the new experience strategy

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29/05/14 Generation Z The new experience strategy

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The old rules of branding no longer apply. Meet the most complex yet most critical shopper of all time – Generation Z. By 2020, today’s 14-19 year olds (Gen Z) will be the largest group of consumers worldwide, making up 40% of the US, Europe and BRIC countries, and 10% in the rest of the world. The needs and behaviours of this group will inform not only the next generation of shoppers, but the future of mainstream retail. See the full report at: http://www.fitch.com/think-article/gen-z-shopping-the-future-of-retail/#sthash.jMsi3KLk.dpuf

TRANSCRIPT

Page 1: Generation Z: The new experience strategy

29/05/14Generation ZThe new experience strategy—

Page 2: Generation Z: The new experience strategy

1960—1981

1976—1996

1995—2010

Page 3: Generation Z: The new experience strategy

THE OLD RULES OF BRANDING NO LONGER APPLY

”BY 2020, TODAY’S 14–19 YEAR OLDS (GEN Z) WILL BE THE LARGEST GROUP OF CONSUMERS WORLDWIDE, MAKING UP 40% OF THE US, EUROPE AND THE BRIC COUNTRIES, AND 10% IN THE REST OF THE WORLD.”

Page 4: Generation Z: The new experience strategy

PROFILING GEN Z

Page 5: Generation Z: The new experience strategy

GLOBAL EVENTS THAT HAVE SHAPED THEIR FEARS AND ASPIRATIONS

2004: The emergence of Web 2.0 (from pure consumption to active participation) / Launch of Facebook

2005: Launch of YouTube

2006: Launch of Twitter

2007: Apple debuts iPhone

Google launches Street View

2007: Global economic downturn

2001: 9/11 terrorist attacks in NYC

2008: Barack Obama is sworn in as the first black US president

2004 2005 2006 2007 20081995 2001 today

Page 6: Generation Z: The new experience strategy

HOW GEN Z SHOPS

Page 7: Generation Z: The new experience strategy

ASPIRATIONAL BROWSING

ASPIRATIONAL BROWSE

It’s about the hunt.Creating a scrapbook.Broadcasting their potential purchases.

x&y

z

see buy

see buy

Page 8: Generation Z: The new experience strategy

RETAIL RELEVANTINSIGHTS—BORN SEAMLESS—SAVVY CYNICS—STAFF RESPECT—GOOD ENOUGH /AGILE—MULTIPLE PLATFORMS—CONSTANT INNOVATION

Page 9: Generation Z: The new experience strategy

STORE DESIGNRELEVANT INSIGHTS

—ORIENTATE BY CONTRAST & COLOUR—DON’T LOOK UP—SIGNAGE IS INVISIBLE—MUSIC = OPEN FOR BUSINESS—TOUCH & ACCESS THE PRODUCT—HIDDEN PRICE TAGS

Page 10: Generation Z: The new experience strategy

FITCH’S FIVE POINT PATH TO PURCHASE

Page 11: Generation Z: The new experience strategy

FITCH’S FIVE POINT PATH TO PURCHASE

FINDINGOUT BROWSING DECISION

MAKING BUYING SHOW& TELL

visibility access reassurance price fulfillment

aspirational browsing

Page 12: Generation Z: The new experience strategy

DESIGNING RETAIL FOR THE CONSTANT STATE OF PARTIAL ATTENTION