How Gen Z Evaluates Product Value

Gen Z isn’t buying the cheapest option anymore. We’ve been running student marketing campaigns for years, and the shift is clear. This generation is willing to pay more—but only for brands that align with their values. When given the choice between a $10 fast fashion t-shirt and a $25 ethically made one, many Gen Z students will pick the latter—even on a budget. Not because they have disposable income. But because they believe every dollar they spend is a vote for the kind of world they want to live in. We’ve had brands ask: “But if it’s more expensive, won’t that drive them away?” Not if the brand tells the right story. Not if the quality matches the price. Not if the sustainability claims are backed up with real transparency. Gen Z students are selective, but they’re also fiercely loyal to brands that get it right. The question isn’t whether they’ll pay more. It’s whether your brand is worth it.

The most expensive mistake in business is assuming your customers will never change. Last year, something shifted in Indian retail. Gen Z (377 million) overtook millennials (356 million) to become our largest consumer group, influencing $40-45 billion worth of apparel and footwear purchases. But they're not shopping at the stores we built for them. [Et Retail] Brands watched their growth collapse in just 12 months. → ZARA fell from 40% to 8% growth, [Et Retail] → Levi Strauss & Co. crashed from 54% to 4% growth [Et Retail] → H&M dropped from 40% to 11% growth [Et Retail] Here's why the growth has slowed down: 📌 Gen Z discovered new brands like Freakins and Bonkers Corner, offering trendy clothes at ₹500-800 📌 They chose self-expression over brand loyalty 📌 70% of their shopping moved online, heavily influenced by Instagram 📌 They demanded inclusive sizing (XS to XXL) and unisex options that legacy brands ignored Take FREAKINS, which clocked ₹25 crore in FY2023, or Bonkers.corner, clocked ₹100 crore. [The Economic Times] [Et Retail] These brands understood what Gen Z wanted: crop tops, baggy clothes, Korean pants, and oversized tees at prices that let them experiment with three different outfits daily. Body positivity isn't a marketing campaign for this generation. It's how they think. When they couldn't find the sizes or styles they wanted at premium stores priced at ₹1,200-1,500, they simply went elsewhere. Myntra saw the shift and launched FWD with ₹500 price points. The result was explosive: 100% year-on-year growth and 16 million Gen Z users, who now represent one in three e-lifestyle shoppers. [Et Retail] Legacy brands bet that Gen Z would "grow up" and pay premium prices. Instead, 377 million young Indians chose values over logos. The most expensive mistake in business? Assuming your customers will never change. What changes in your customer base have surprised you recently?

Does “clean beauty” still deserve to be a claim? For years, “clean,” “organic,” and “natural” sold trust, and products. Today, that trust is fading. Consumers demand safety, sustainability, and honesty, yet many “clean” labels feel like marketing, not a promise, want to know more? →The label is fuzzy. Terms like “clean,” “natural,” and “organic” aren’t clearly defined in cosmetics, unlike in food. This ambiguity leads to inconsistent use and consumer confusion. As a result, shoppers, especially GENZ, stop trusting labels and turn to ingredient lists, certifications, and traceability for proof. →Greenwashing and commercial damage: High-profile greenwashing calls-out and numerous examples in cosmetics have shown how misleading claims can backfire. When brands use environmental or “natural” language without meaningful backing, they risk losing consumer trust, and sometimes legal trouble. →Gen Z: demanding, skeptical, decisive: Recent research shows many in this cohort research products extensively, prioritize sustainability and are willing to pay more for verified ethical sourcing, but they are also unforgiving when claims lack proof. In short: Gen Z wants the values behind the label, not just the label itself. From marketing claim → to brand behavior: From one-off campaign → to ongoing accountability: From exclusive premium play → to core expectation: >>What this means for your brand?<< 1.-“Clean” cannot be a fuzzy slogan anymore. Brands that keep using the word as shorthand will be dismissed. Consumers want specific, verifiable claims, “sulfate-free” or “dermatologist tested” are clearer than “clean.” 2.-Proof is the new currency. Ingredient transparency, third-party certifications, batch-level traceability, lifecycle data for packaging, these are the assets that convert skeptical research into purchase intent. 3.-Story + data = emotional trust. Younger shoppers respond to emotional storytelling, but they confirm it with facts. A moving sustainability narrative must be paired with measurable commitments and accessible evidence. 4.-Design your proposition with precision. If you say “organic,” say which ingredients are organic and by which certifier. If you say “clean,” define the criteria, no PFAS? low allergen profile? cruelty-free? and show how you measure compliance. Final word, urgent and emotional. Gen Z won’t buy the story unless it’s built on truth. After years of greenwashing and empty promises, “clean” no longer convinces on its own. Brands must turn it from a tagline into a promise, precise, proven, and non-negotiable. Find my curated search of brands and get inspired for your next Hero. Featured Brands: Aleph Beauty Axiology BANILA CO Bubble Skincare Drunk Elephant Florence by Mills Goa Organics Henua Organics I DEW CARE InnBeauty Project Kjaer Weis Wildhood #beautybusiness #beautyprofessionals #cleanbeauty #genZ

Let’s talk about Gen Z. The digital natives. The ones who grew up with smartphones and think TikTok is a search engine (it kind of is): But beyond the memes, Gen Z is doing something remarkable: they’re blurring the lines between philanthropy and consumerism. And it’s forcing nonprofits and startups to rethink how they operate. Here’s why: Activism is their default setting. Gen Z isn’t just passively donating money or sharing hashtags, they’re building movements. A report by Porter Novelli found that 74% of Gen Z believes their actions can influence companies’ impact on social or environmental issues. Translation? If you’re a startup or nonprofit without a real mission or measurable impact, good luck capturing their attention. They demand radical transparency. The days of vague “10% of profits go to charity” claims are over. Gen Z wants receipts. They’re using platforms like Benevity, GiveWell, and Good On You to scrutinize where money goes, how ethical sourcing works, and if impact metrics actually hold up. Nonprofits? You need to show exactly how donations are used. Startups? You better have a sustainable supply chain and a social impact strategy. Otherwise, you’re just another greenwashing headline waiting to happen. 3. They expect startups to act like nonprofits (and vice versa). Gen Z doesn’t differentiate between buying a product and supporting a cause. If they buy from a brand, they see it as a vote for their values. That means: Nonprofits need to get better at storytelling and marketing. Startups need to bake impact into their business models from day one. Take brands like Patagonia or Toms. They’re not just selling jackets or shoes, they’re creating movements. Gen Z notices that. Digital tools are their superpower. Gen Z lives online. They’re using Instagram to organize fundraisers, Discord to mobilize communities, and Venmo to split donations. Nonprofits and startups that aren’t digital-first? You’re missing out. Embrace tools like crowdfunding platforms, blockchain transparency, and gamified giving experiences. What does this mean for YOU? Whether you’re running a nonprofit or a mission-driven startup, Gen Z is rewriting the rules: Lead with impact, not profit margins. Be so transparent it’s almost uncomfortable. Think like a movement, not a transaction. The donor-startup relationship is evolving. And if you want to win over Gen Z, you’ve got to evolve with it. With purpose and impact, Mario

Gen Z is eating out 5+ times a week. So why are we still designing restaurants for their parents? Here’s the data that should terrify casual dining and wake up QSR leadership: 56% of Gen Z qualifies as “frequent users”, dining out 5 or more times per week. Nearly half are spending MORE of their disposable income on restaurants compared to last year. Meanwhile, Gen X and Boomers? They’re pulling back. But here’s where it gets interesting: Gen Z isn’t just ordering more often. They’re ordering differently. They prefer DINNER over lunch. They want experiences, not just speed. And they’re gravitating toward fast-casual and full-service concepts that offer quality, transparency, and ambiance, not just a bag through a window. The kicker? Three out of four Gen Z diners say they’re “price-aware,” but only 63% say prices feel high, compared to the industry average where nearly everyone agrees prices have jumped. Translation: Gen Z isn’t as price-sensitive as we assume. They’re VALUE-sensitive. They’ll pay more if the experience justifies it. This is a generational shift in consumer behavior that most legacy QSR brands are completely missing. We’re designing value menus for customers who are aging out of the category, while the highest-frequency diners in America are telling us they want something else entirely. If your 2026 growth strategy is “cheaper combo meals,” you’re solving yesterday’s problem. The question isn’t “How do we get Gen Z to visit more?” They’re already visiting 5+ times a week. The question is: “Are we building the restaurants they actually want to spend their money in?” What are you changing in your locations to meet Gen Z where they are, not where we think they should be? #QSR #GenZ #RestaurantTrends #ConsumerInsights #ValueVsPrice #FastCasual #Leadership

Gen Z didn't just change the marketing funnel. They burned it to the ground. And brands spending millions on traditional funnels are about to learn a painful lesson. I've been tracking this shift at HotStart VC. The data is clear: The old funnel: Awareness → Consideration → Purchase → Loyalty Gen Z's reality: An infinite loop of inspiration, exploration, and community that never ends. Here's what's actually happening: 1. Social media isn't a channel anymore - it's the entire marketplace For Gen Z, TikTok is: Their search engine Their discovery platform Their review site Their shopping mall 77% are actively seeking style inspiration monthly. Not on Google. On social. 2. They're not buying products - they're joining universes Look at the winners: • Rhode doesn't sell skincare. They sell the "strawberry girl summer" lifestyle • Madhappy isn't a clothing brand. It's a mental health community • Represent isn't fashion. It's a culture 54% of Gen Zs say their favorite brands make them feel part of a community. 3. The "swipe to buy" dream is dead Instagram killed Shop. TikTok Shop struggles in the West. Why? Because Gen Z doesn't impulse buy at the point of inspiration. They research obsessively: Reading comments sections like academic papers Watching unboxing videos for fit and quality Cross-referencing reviews across platforms Then they buy in-store. 73% prefer physical purchases after digital research. 4. Influencers matter more than brands 51% of Gen Zs believe influencers create trends 21% credit celebrities Only 15% think brands do The power shift is complete. 5. They trust their algorithm more than your ads 80% of Gen Zs feel bombarded by more advertising than any generation. Their response? They've become master curators. They don't discover brands. Their algorithm serves them brands. They don't seek products. Products find them through their interests. The new playbook emerging: Stop thinking funnel. Start thinking infinity loop. Create content that lives everywhere Build experiences worth joining, not just products worth buying Partner with creators who share your values, not just your demographics Become educators during their research phase Bridge digital discovery with physical experience The brands winning with Gen Z aren't following a funnel. They're creating gravitational pull. And once Gen Z enters their orbit, they never really leave. The funnel is dead. Long live the loop. Source: https://lnkd.in/dXn9jTwu

Did you know 92% of Gen Z buyers say authenticity is crucial when choosing business partners, suppliers, or vendors? (EY Gen Z Survey, 2021) For younger generations entering decision-making roles, authenticity isn't a buzzword—it's non-negotiable. Gen Z (and soon Gen Alpha) buyers grew up surrounded by endless information and AI-driven content, making them natural experts at spotting superficial claims. They're drawn to vendors who genuinely prove their expertise, rather than those who merely claim it. But what does "authenticity" practically mean for #B2Becommerce? It means proving you deeply understand the products you sell and their real-world applications. Your authenticity as a B2B seller comes directly from your product content—how effectively your product data demonstrates your expertise. To achieve this, your content needs to meet the 5 C's of Product Content: Correct – Accurate, verified information buyers can trust immediately. Complete – Comprehensive, leaving no critical details unanswered. Consistent – Normalized data, consistent terminology, and uniform attributes across your site, simplifying product comparisons and showcasing your genuine understanding. Clear – Easy to read, easy to interpret, jargon-free language. Contextualized – Relevant insights, practical use cases, and clear examples tailored to each industry vertical or application area your customers engage with. Why invest so heavily in robust product content? Because authentic product data is what powers your online voice - the voice which your buyers use to know if you know what you are doing. With it, you unlock powerful capabilities that further enhance customer experience, such as: ✅ Educational Content: Deeper buyer insights, improved SEO, and genuine thought leadership. ✅ Guided Selling Tools & Configurators: Intuitive, engaging experiences that simplify complex purchasing decisions. ✅ AI-powered Chatbots & Voice Automation: More effective interactions because these tools are fueled by accurate, contextual, rich data. In short, authenticity in B2B ecommerce isn't about sounding credible—it's about being credible. And credibility begins with your product data. Is your product content strong enough to meet the authenticity challenge of the next generation of B2B buyers? #B2BCommerce #ProductContent #Authenticity #CustomerExperience

“Comments are the new focus group.” I’ve said that for a while, but Vogue Business just unintentionally dropped proof of it. Their latest piece on Gen Z’s broken marketing funnel makes one thing very clear: research is happening in the comment section. Before Gen Z buys anything, they scroll straight to: - “Has anyone actually tried this?” - “Is the quality real?” - “Does this actually fit?” - “Is this brand trustworthy?” - “What’s everyone else saying that I should know?” - "What's my take?" That’s the modern equivalent of your focus group, review panel, or consumer survey... all in one messy, chaotic, honest thread under a TikTok or IG post. And here’s the part most brands still miss: This isn’t about just engaging in the comments. It’s about understanding them. Because the comment section has quietly become: - a product feedback loop - a campaign barometer - a cultural signal detector - and the earliest warning system a brand has The smartest companies already know this. Think of e.l.f. Beauty literally shaping product innovation from TikTok comments. Or operators at Red Lobster spotting menu ideas from the comments because customers were saying it out loud. It's what we see at Siftsy 💬 every day. So if Gen Z is treating the comments as a research phase, brands should be doing it too. Ideally even more. If you’re a brand and you’re not treating the comment section as a strategic asset… you’re flying blind.

𝗪𝗵𝗮𝘁 𝗚𝗲𝗻 𝗭 𝗔𝗰𝘁𝘂𝗮𝗹𝗹𝘆 𝗪𝗮𝗻𝘁𝘀: 𝟯 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗳𝗿𝗼𝗺 𝗔𝗱 𝗔𝗴𝗲 𝗡𝗲𝘅𝘁 𝗚𝗲𝗻 𝗦𝘂𝗺𝗺𝗶𝘁t 𝟭. 𝗚𝗲𝗻 𝗭 𝗰𝗿𝗮𝘃𝗲𝘀 𝗿𝗲𝗹𝗶𝗲𝗳 𝗮𝗻𝗱 𝗽𝗹𝗮𝘆 🎮 ☣️ This generation has weathered endless crises (pandemic, inflation, polarization, election cycles) and isolation - they need RELIEF and PLAY Real examples: Gymshark brought therapists into barbershops, meeting young men where they already felt comfortable 𝗡𝗕𝗔 + 𝗠𝗿𝗕𝗲𝗮𝘀𝘁: $100K, 100MM view NBA All-Star stunt: Even if you weren't playing, man, you were happy for this guy getting bathed in dollars after that shot! Brands winning with Gen Z aren't just aligning with values - they're creating experiences that offer genuine relief and moments of PLAY from the relentless pressure of growing up in the '20s 𝟮. 𝗣𝗲𝗿𝗳𝗲𝗰𝘁𝗶𝗼𝗻 𝗶𝘀 𝘁𝗵𝗲 𝘂𝗹𝘁𝗶𝗺𝗮𝘁𝗲 𝗱𝗮𝗴𝗴𝗲𝗿 🔪 The polished, minimalist millennial aesthetic? Pass. Gen Z finds it deeply inauthentic. Notice the shift: streamlined beige → chaotic maximalism It's not just aesthetics - it's a statement: "Life is messy. Stop pretending it isn't." Young people can sniff out manufactured perfection faster than brands can produce it. 𝟯. 𝗧𝗵𝗲𝗿𝗲'𝘀 𝗿𝗲𝗮𝗹 𝗥𝗢𝗜 𝗶𝗻 𝗯𝗲𝗹𝗼𝗻𝗴𝗶𝗻𝗴 💰 Unlike previous generations raised in mass culture, Gen Zs are subculture natives - they grew up in an age of hyper-niche communities and shared passions (find your people and algorithms that intensified it). This explains why simple demographics increasingly fail to predict consumer behavior among young people. Successful brands focus on fostering and creating space for BELONGING: Alo Yoga = studios Duolingo = leans into weird, insider internet TikTok humor (iykyk) New Balance = curates interesting collabs (#1 momentum brand of Gen Z right now) Tower 28 Beauty, Inc. 28 = hosts beach cleanups that bring their community & sustainability values together E.L.F. BEAUTY= builds spaces on Roblox for mental health conversations and entrepreneurship (two priorities for Gen Z) 𝗥𝗲𝗺𝗶𝗻𝗱𝗲𝗿: 𝗧𝗵𝗲 𝘀𝘂𝗿𝘃𝗲𝗶𝗹𝗹𝗮𝗻𝗰𝗲 𝗲𝗰𝗼𝗻𝗼𝗺𝘆 𝗴𝗼𝗲𝘀 𝗯𝗼𝘁𝗵 𝘄𝗮𝘆𝘀 📱 🚩 Gen Z surveils brands as much as they feel surveilled - they keep receipts 😲 They research your political donations and know which 2020 statements you've quietly walked back in 2024 🤬 42% of Gen Z women are trying to opt out of the economy completely 🤧 32% of Gen Z men and women have recently admitted abandoned favorite brands over value misalignments 𝗧𝗵𝗲 𝗾𝘂𝗲𝘀𝘁𝗶𝗼𝗻 𝗶𝘀𝗻'𝘁 𝘄𝗵𝗲𝘁𝗵𝗲𝗿 𝗚𝗲𝗻 𝗭 𝘄𝗶𝗹𝗹 𝘀𝗽𝗲𝗻𝗱 𝗺𝗼𝗻𝗲𝘆—𝗶𝘁'𝘀 𝘄𝗵𝗲𝘁𝗵𝗲𝗿 𝘁𝗵𝗲𝘆'𝗹𝗹 𝘀𝗽𝗲𝗻𝗱 𝗶𝘁 𝘄𝗶𝘁𝗵 𝘆𝗼𝘂 𝗼𝗿 𝗮𝗰𝘁𝗶𝘃𝗲𝗹𝘆 𝗮𝗴𝗮𝗶𝗻𝘀𝘁 𝘆𝗼𝘂 Thank you to my fellow panelists for these thought-provoking conversations Amy Liu, Karan Dang, Erifili Gounari, and our fantastic moderator, Sabrina Sanchez #GenZ #values #marketing

HOW GEN Z IS RESHAPING MARKETING Gen Z didn’t lose attention. They learned how to allocate it consciously. Growing up inside algorithms, constant content, and choice overload made them highly analytical, but not emotionally detached. They are selective, intentional, and surprisingly demanding. They’ve learned to read intent, spot patterns, and filter performance. That’s why most marketing doesn’t annoy them — it simply doesn’t register. The real shift isn’t aesthetic. It’s cognitive. 💭 Many brands also miss: Gen Z is deeply rational and strongly experience-driven. For Gen Z, experience is presence, participation, the feeling of being part of something without pressure or performance. They read brands the way they read culture: ✨Does this add something to my life? ✨Can I interact, not just observe? ✨Does this feel genuine? What this means for brands: ⚡Show how your product works in everyday moments ⚡Educate before you sell — clarity beats hype ⚡Build recognizable content formats, not one-off campaigns ⚡Design not only products, but the moments around them ⚡Treat drops, pop-ups, and launches as cultural experiences ⚡Treat community as a co-creator, not an audience ⚡Gamify For Gen Z, luxury is being present, feeling something real, and choosing it consciously. 📸 Images: Benefit Cosmetics, labubu, @r.e.m. beauty, GENTLE MONSTER, rhode skin, Glossier, Inc., Rare Beauty, Gisou by Negin Mirsalehi × SEPHORA (Instagram accounts) 👉 Follow for more marketing insights DM if you’d like to collaborate