Gen Z impact on Market Research

Technological advancements have redefined terms based on their significance and introduced new ones, forming the basis for studies and analyses of their interactions with consumption and markets (Age group analysis). Did you ever imagine that generations could be labeled as Generation Z, Y, or Beta instead of the nineties, or the eighties? In this article, we’ll explore the impact Generation Z has had on market research, data collection and analysis methodologies, and the qualitative shift they’ve brought to market studies. 

What is Gen Z? 

Many dictionaries, including the prominent Steady pace Consultancy dictionary, define Generation Z as individuals born approximately between 1997 and 2012, during the era of technological advancements, the internet, and the digital revolution. This has significantly influenced their engagement with digitization and its various tools. This influence has drawn market researchers to study their behaviors and preferences, aiding numerous companies in shaping their marketing strategies to enhance growth opportunities. 

Gen Z’s Impact on Market Research Methodologies 

Generation Z relies heavily on the internet and digital platforms in all their forms and tools to access information, communicate, or work. This has enabled market researchers to employ qualitative research methods, such as interviews and focus groups, to study their behaviors, experiences, and perspectives in greater depth. Digital platforms also provide a suitable environment for social listening tools and improving the customer experience for Generation Z. Unlike other generations, Generation Z values brands that embody transparency, authenticity, and social responsibility. According to the 2024 Global Web Index report on social media trends, Generation Z spends approximately 4 hours daily on social media platforms, with a clear preference for platforms like TikTok and Instagram (60% of Generation Z use TikTok daily), prompting brands to redirect their budgets toward short-form visual content. 

Gen Z’s Impact on Innovation 

Generation Z’s immersion in technological advancements and the internet has made these elements integral to their work and daily lives. As a result, Generation Z prefers innovative brands that offer digital solutions, such as apps or “buy now, pay later” (BNPL) models. Beyond this, their preferences extend to workplaces that incorporate innovation into their strategies through remote work or evolving digital roles aligned with the job market, influencing how companies position themselves to attract and retain young talent. They view artificial intelligence as a tool for problem-solving, conducting research, and unleashing creativity, freeing up time for critical thinking. However, they demand transparency from companies using AI, emphasizing the importance of clear communication about its benefits. 

Read also: How does innovation contribute to business growth? 

Gen Z’s Impact on Consumer Behavior 

Generation Z is one of the most prominent generations that brands prioritize when studying consumer behavior. The digital environment they witnessed revolutionized allowed them to explore local, regional, and international markets, intensifying competition among brands to attract Generation Z. Post the COVID-19 pandemic, Generation Z’s consumption patterns shifted, prioritizing digital shopping platforms, seamless digital payment technologies, and favoring localized, multi-channel marketing strategies. While some generations may criticize Generation Z’s consumption behavior as more extravagant, this generation doesn’t purchase a product merely for its sake. Instead, they prioritize the brand, the value the product offers, and its short- and long-term returns, whether it’s a luxury item or a handmade product. According to the Global Web Index, 59% of Generation Z who made New Year’s resolutions for 2025 plan to save more money, surpassing other generations. 

Gen Z, also known as the iPad Generation in Saudi Arabia 

Our latest report, "Generational Consumption Habits Index," from Steady pace Consultancy, revealed clear differences between the iPad Generation and other generations. This generation, born between 1997 and 2012, grew up in a rapidly evolving technological era, and their personalities and habits were shaped by their heavy reliance on smart devices and the internet from an early age. Looking at the study's results regarding spending habits, we find that 66% of them, despite their low income, allocate 10% to 30% of their spending on luxuries and non-essential items. This generation is considered an impulsive buyer and is greatly influenced by other factors when purchasing. 44% of the iPad Generation sample indicated that they frequently make unplanned purchases. This generation also frequently shops online, representing the highest rate of this behavior among all generations. They are also keen followers of the latest fashion trends when shopping.

In terms of media consumption, the iPad generation is the most connected to digital media, relying almost entirely on smart devices like iPads and phones to interact with the world. This generation is the second-largest user of Snapchat and TikTok after the Visual Generation, while television and traditional media are less important to them, as they are the least likely to watch TV of all generations.

This generation prioritizes product quality, price, and brand reputation when choosing a brand. They also place great importance on recommendations from their family and friends when choosing a brand. They have a strong emotional attachment to brands in the fast food and personal care categories.

As for artificial intelligence, this generation seems to be comfortable with it and is considered the second most familiar generation after millennials with it and its applications.

The iPad generation represents a fully digital future, with their world shaped around innovation and constant connectivity, making them the driving force of technological and social change in the coming decades.

In conclusion

Generation Z’s insights provide a prominent digital methodology for brands that prioritize innovation as a core component of their growth strategies. The data provided by Generation Z is a treasure trove for brands focused on customer satisfaction and loyalty. Investing in understanding Generation Z’s needs and harnessing their digital potential is key to achieving sustainable growth.