Gen Z is defined in part by birth years
which means they were born after Millennials starting in 96. But based on
the talk I'm going to give they're defined by mindsets. And so when I talk
about youth culture I look at how youth culture impacts not only other young
people but Gen X and baby boom buyers because many of the trends we see with
buyers start with young people. We're also seeing now millions of young
Gen Z folks going into the workforce for the first time as well. The topic of
purpose is not new it's important because it impacts employees and
consumers employees also touch consumers and I can't find too many examples of
successful brands that don't have incredibly powerful employee cultures in
addition to consumer cultures.
It's hard to separate A and B in my view and so as
I think about socially conscious it depends on your goal and it depends what
you're trying to get done but usually at this stage for most brands research is
gonna suggest its purpose and something else. So purpose plus something, as opposed to purpose alone. So we're gonna give a pair
of shoes away to everyone who buys a pair great strategy when the world is
uncluttered and there aren't very many purpose driven brands.
strategy be as effective today for someone who introduced a new brand? I
think it's unlikely and so our research would suggest for many brands it's the
combination of purpose and another key driver that will impact brand preference.
When we talk about brand preference consumers actually do prefer brands.
There's a myth that they don't. There are certain categories that are lower
interest in certain categories that are higher interest. So your clothing might
be more important to you than your toilet paper not that I have anything
against toilet paper but it's a category that could be different to you and we've
looked at this data.
The important thing to understand is your brand isn't very
strong consumers are willing to trade way to private label alternatives. But
they're willing to pay a modest premium for brands that they prefer which may be
a purpose-driven brand or it may be a brand that competes based on another
factor could be innovation could be flavor could be any number of other key
driver factors that would cause someone to pay a small premium for something
that aligns their values their beliefs and their preferences..