How To Attract Gen Z Customers: What Every Brand Needs To Know

Understanding how the next generation discovers products, chooses brands and decides where to spend their money.

Generation Z have become one of the most talked about consumer groups in the world, yet they’re also one of the most misunderstood.

You’ll often hear that they have short attention spans, don’t like advertising and only shop on TikTok. While there are elements of truth in those statements, they don’t explain why this generation buys the way they do.

The brands winning with Gen Z aren’t necessarily spending the most on advertising, they’re creating products people want to talk about, building communities around their brands and giving customers something worth sharing.

So what can we learn from our next generation of consumers?

Who Are Gen Z Consumers?

Generation Z refers to people born between 1995 and 2010. They are the first generation to grow up with smartphones, social media and WiFi connectivity from a young age. For this generation, technology hasn’t just changed how they communicate, it has fundamentally reshaped how they discover products, engage with brands and decide where to spend their money. 

Today, there are approximately 4.6 million Generation Zs in Australia and when combined with Generation Alpha, these emerging generations now account for almost a third of the Australian population. 

Gen Z are entering adulthood in a very different economic environment to previous generations. They’ve watched the cost of housing climb well beyond what many consider achievable while student debt and living expenses continue to increase. As a result, many have redefined what spending, saving and success looks like for them. 

This generation is shifting the goal posts from traditional milestones like home ownership and starting a family, and increasingly they’re prioritising lifestyle over legacy. For many young people, the house is no longer the only asset they’re saving towards. Instead, they see themselves as the asset, choosing to invest in their health, wellbeing and experiences. 

Research from InsureandGo reflects this shift, finding that 71% of Gen Z are saving for a holiday rather than a home loan. On top of that, McKinsey finds that 56% prioritise health and fitness when spending their disposable income.

This shift towards lifestyle over legacy is essential for brands to understand as it influences almost every purchasing decision our Gen Z makes.

How Gen Z Discover New Products

Previous generations might have discovered a product through a radio or TV ad before heading into a store to make a purchase. Gen Z are far more likely to discover a product through TikTok, watch a creator review it on Instagram, search for comparisons using AI, read customer opinions on Reddit and only then decide whether it’s worth buying.

Research consistently shows just how considered this generation’s purchasing decisions have become. According to LEK’s Generational Shopping Behaviour report, 92% of Gen Z research products before making a purchase. Morning Consult found that 54% have purchased a product following an influencer recommendation, while PwC reports that 43% use social media to discover gift ideas.

Perhaps most tellingly, Mintel found that 60% of TikTok users have purchased products directly through social media, highlighting how discovery and purchasing are increasingly happening in the same place. 

Recommendations from creators, content shared by friends and products gaining momentum across platforms all play a powerful role in what catches the attention of Gen Z consumers. For brands, that means the opportunity is to think beyond just advertising a product, and instead to create something people genuinely want to discover, share and recommend. Here are two brands doing exactly that:

Kmart Australia

Over the past few years, Kmart has become a social media phenomenon among younger consumers by producing affordable homewares that resemble premium designer pieces. Instead of relying entirely on advertising campaigns, the brand has created products that people genuinely want to compare, review and share online. Videos comparing an $18 Kmart candle with a $500 luxury alternative or a $80 coffee table alongside a +$1,000 designer version regularly attract millions of views. 

Kmart understands that products can become marketing and rather than asking customers to create content, they’ve designed products that naturally inspire comparison videos, shopping hauls and product reviews. 

FAYT The Label 

As products become easier to replicate, organisations are being challenged to think beyond what they’re selling and focus on how they’re creating a brand for customers to connect with. 

FAYT The Label is a great example. Founder Brittney Saunders hasn’t simply built a fashion brand. She’s invited customers behind the scenes, documenting the realities of building the business, involving her audience in product development and sharing the highs and lows along the way. This has built her a loyal following of customers that have a vested interest in supporting the brand beyond just the product. 

What Gen Z Are Looking For From Brands

Some things haven’t changed. Price still matters and quality is important. But increasingly, purpose and personality matter too.

Generation Z have grown up with unlimited choice. As a generation of online shoppers, it has never been easier to have multiple tabs open when shopping to get the best bargain. Brands looking to build lasting relationships with Gen Z customers need to think beyond pricing and features and consider what they can build to set their product apart. Here are two brands doing this exceptionally well: 

Who Gives A Crap

Who Gives A Crap shows that even the most ordinary products can become meaningful when they’re connected to a bigger purpose. 

Toilet paper isn’t a product most people feel passionate about, yet the company has built a loyal following by getting really clear on purpose. Every purchase contributes towards improving access to clean water and sanitation around the world, giving customers the opportunity to make a small positive difference through an everyday purchase. 

Single & Fat 

Single & Fat shows the power of personality when trying to stand out on the grocery shelves. Through playful product names, bold packaging and a cheeky tone of voice, Single & Fat has made a pantry staple feel fun, modern and aspirational.

It’s a reminder that consumers don’t always fall in love with the product itself. Often, they fall in love with how the brand makes them feel. By injecting personality into every customer touchpoint, Single & Fat has turned a traditionally functional purchase into a brand people actively want to engage with and share.

What Does This Mean For Your Brand?

Attracting Gen Z isn't about completely reinventing your business or chasing every new trend. It's about understanding what this generation values and thinking about how your product, brand and customer experience can give them more reasons to pay attention, connect and come back. Here are a few strategies to consider: 

Give Them Something To Talk About

Gen Z product discovery is driven by social media sharing and recommendations. Think beyond how you advertise your product and consider what makes someone want to post about it, recommend it or send it to a friend.

Build Your Brand

Products can be copied, but your story, purpose and personality are much harder to replicate. Give customers something meaningful to connect with beyond what you're selling and a reason to choose you over the alternatives. 

Connect With Their Values

Gen Z wants to understand what the brands they support stand for and feel that their spending can reflect their own values. Whether it’s sustainability, social impact or another genuine purpose, make it clear what matters to your business and give customers a reason to feel good about choosing you.

Align With Their Priorities

Gen Z are rethinking traditional priorities and increasingly investing in themselves, their wellbeing and their experiences. Consider how your products can support this shift, whether they help customers treat themselves, enjoy an experience or invest in the lifestyle they value.

Ultimately, Gen Z aren't asking brands to be younger, louder or more active on social media. They're looking for brands that understand what matters to them and give them a reason to care. As their spending power continues to grow, the businesses that create something worth discovering, sharing and belonging to will be the ones best placed to turn Gen Z's attention into long-term loyalty.

About The Author

Scott Millar is a generational consultant, keynote speaker and trusted voice on the future of work, helping organisations understand the trends shaping Gen Z, leadership and the workplace of tomorrow. Scott brings fresh, practical insight into the shifts transforming workplaces, industries and communities. Recognised as one of Australia’s Top 30 Business Leaders Under 30, APAC’s Inspiring Youth Leader and a two-time TEDx speaker, he is regularly engaged to help leaders bridge generational divides and connect more meaningfully with the next generation.

To find out more about Scott and to book him to speak at your next event, head to: www.iamscottmillar.com/speaking