David

David

Hi there đź‘‹ How can I help you?

21:32

messenger_opener

How the Division Between Boomers and Zoomers (Doesn’t) Affect Sales

Thirty years ago, American researchers William Strauss and Neil Howe published the generational theory — a hypothesis suggesting that peers born within the same historical period share similar traits. The idea gained such popularity that it continues to be studied, modernized, and applied across various fields, despite criticism of its simplicity. By 2021, this concept has been adopted in all areas of human interaction — from HR to product research.
According to generational theory, the living population of the planet can be divided into five general categories: Baby Boomers (born before 1961), Generation X (born 1961–1981), Generation Y (born 1982–2000), Generation Z (born 2000–2010), and Generation Alpha (born after 2010). *Various studies note slight variations in the birth years of these categories, but the differences are minor, often only 1–3 years.
Today, marketers often target Generations X, Y, and Z as the primary consumer base, with Alpha viewed as the future market. Businesses want to know — what values do these consumers hold, and how can they capture their attention? In this article, we explore what attracts different generations and whether segmentation theory works in marketing.
Generation X: Tangibility is a Bonus Generation X (1961–1981) is often characterized by self-reliance, pragmatism, and the ability to survive in unstable conditions. The economic and political context of the era instilled a deep appreciation for time and family. In 2019, Generation X was surpassed in size by Millennials, yet it remains one of the most financially influential demographics, often forming the “old money” segment that drives revenue for brands specializing in health, education (for their children), well-being, and luxury. According to Nielsen, “Xers” make up 50% of consumers for CPG (Consumer Packaged Goods) — items that are regularly used and require frequent replenishment, such as food, clothing, or cosmetics. Additionally, Generation X is highly susceptible to nostalgia, with their favorite brands often being those with a long history. A joint study by Google, Ipsos Connect, and Flamingo found that nostalgic content is among the top three most popular video categories on YouTube for Generation X (alongside themed tutorials and educational videos).
Generation Y: The Quest for Exclusivity Generation Y (1982–2000), or Millennials, are the first generation to widely embrace the idea that “we are all very different, and individuality is a plus,” according to McKinsey. Millennials are also the first to live equally rich virtual lives alongside their real ones. They expect novelty, achievement, speed, customization, and transparent solutions from brands. While they retain some conservative values from previous generations — focused on savings and stability — Millennials display a consumer psychology of individualists and cosmopolitans who have witnessed both market saturation and multiple economic crises.
Millennials are a complex generation, shaped by the values of their parents but now living in the information context of Generation Z.
Millennials want to engage in dialogue with brands, a demand that marketers attribute to Millennials’ ongoing struggle with loneliness. Their childhoods were marked by challenging economic times (with parents often absent due to work) and, in part, by a workforce revolution (with more women choosing careers over homemaking). In 2019, Business Insider analyzed Millennials’ mental health for World Mental Health Day, revealing widespread depression within this generation. A YouGov report confirmed that Millennials surpass Generation X and Baby Boomers in feelings of loneliness, which is not surprising in the context of an increasingly individualized society. Advertising that praises consumption through hedonism, egoism, and self-indulgence, along with technology that enables survival outside of family and society, simultaneously makes consumers self-sufficient. However, the side effects of individualization include isolation, periodic despair, emotional crises, and loneliness. Brands “work” with these triggers by creating communities, engaging in dialogue, and using encouraging or flattering slogans in their advertising campaigns.
When interacting with Millennials, brands often leverage nostalgia. The artificially created trend of being a “child of the 90s” has spawned an entire pop culture of duplicating the era. Retailer BoxLunch, in partnership with Nickelodeon, created a clothing line inspired by 90s television, and designer Minho Lee developed the conceptual music player Pal, styled after the iconic cassette player. At the same time, Millennials are still young, many have “Alpha” children, and they feel a strong need to provide the best ideas and products for them. Millennials prefer inspiring brands that are ready to offer exclusive and customized products: Apple (with its ambition to monopolize the market) and Adidas (with the slogan “Impossible is Nothing!”) consistently rank in the top 10 favorite brands of Generation Y.
Generation Z: Freedom, Equality, Familiarity Generation Z, or “Zoomers” (2000–2010), were born in an era of rapid digitalization and changing authority figures. Instead of hiring screen stars, brands are now employing micro-influencers, emphasizing that anyone can voice their opinion and lead millions of like-minded followers. Ethics and individuality have taken precedence, leaving behind any notions of stability, savings, and mass consumption. Zoomers were born at the peak of the consumption era and globalization, so their hierarchy of needs is significantly different from previous generations: psychological comfort is more important than material possessions, and work-life balance takes priority over “pioneer” responsibility. Parents (Generation X and Millennials), striving not to pass on their negative attitudes — such as the fear of loneliness, instability, and failure — have fostered in Zoomers an inherent sense of worthiness and entitlement to happiness. Brands support this “baseline setting”: for instance, Skin Proud launched a mobile game for Generation Z where players earn points by swiping away negative words like “shame” and “disgust” related to their character’s appearance.
Analysts predict that Zoomers will mature later and move out of their parents’ homes at an older age, with their reluctance to separate from family already indicating lower levels of independence and a lack of necessity to survive without support. This fosters somewhat infantile and relaxed behavioral patterns. According to a survey by BBMG and GlobeScan, Generation Z is twice as likely as any other generation to care about equality and three times more likely to say that the purpose of business is “to serve communities and society.” For example, Patagonia donated 100% of its profits to environmental causes and closed its stores on Election Day (even though it coincided with Black Friday) to encourage people to vote. The brand’s bold social moves resonated with the target audience, resulting in numerous supportive social media posts (a marker of loyalty) and continued sales growth.
The Dove Self-Esteem Project partnered with plus-size singer Lizzo to address the issue of online psychological pressure, while Revolution Beauty launched a beauty contest judged exclusively through the lens of diversity, inclusivity, and genderless beauty. Representatives of the brand explicitly stated that this contest is for a new generation that embraces new ethics and a new understanding of beauty. A 2019 Spotify study showed that 62% of Generation Z believe that brands can successfully create communities based on shared interests and hobbies. Zoomers grew up during the advent of social media, which fostered a sense of belonging to a community while erasing geographical, ethnic, and communication boundaries. During this period, “ordinary people” began to appear in advertisements, which increased brand loyalty. For example, Glossier’s first TV commercial in September 2019 featured seven real employees and customers.
Generation Alpha: Not Just to Preserve, But to Multiply “Alphas” — the most technologically advanced generation born in the era of mass digitalization (after 2010) — are considered the wealthiest generation, accustomed to fast-paced living. While their precise profile is still forming, as they depend on their parents and their purchasing behavior is difficult for marketers to assess, an emerging portrait shows their independence, passion for learning and travel (an exaggerated value passed down from Millennial parents), and desire to be heard by the world (as evidenced by TikTok, filled with children earning impressive sums through short videos). Another important characteristic is their lack of fear. Despite the pandemic and global economic instability, this generation has not yet faced the stress of job hunting and retention, which shapes their economic (purchasing) decisions based not on preservation but on multiplication (earning).
Thanks to social media, Alphas have already learned to build relationships with people worldwide and are free from gender and racial labels. A 2017 MIT study showed that young children talk to digital assistants as if they were real people. Having such a “friend” may reduce feelings of loneliness — a significant pain point that brands worldwide currently capitalize on. While the UK considers appointing a Minister for Loneliness to assist Generation X and develops a Tinder for Millennial moms feeling lonely and overwhelmed, experts predict that Alphas will forge genuine friendships with robots and avoid the sense of being misunderstood by the outside world.
Currently, this audience is not fully solvent, and most brands communicate with Alphas through their Millennial parents. However, a survey of Millennials revealed that their children’s habits influenced their last purchase — 81% of respondents agreed. For now, brands are exploiting the dreams of Alphas and the unfulfilled dreams of their parents from previous generations. For instance, LEGO launched the “Build The Future” campaign, creating costumes for firefighters, rock stars, and astronauts using LEGO bricks.
Key Points to Remember Generation X: Background: They remember a world without digital advertising, rooted in mentality, social connections, and geographical ties rather than targeted settings. Marketing Strategy: Traditional values and straightforward product application mechanisms work well with this audience, as do discount coupons and special offers that provide tangible value — savings, stability, and a sense of wise investment, ideally in the long term. Micro-influencers: Not seen as authoritative; audiences with rich life experience do not find today’s “one-day celebrities” convincing brand ambassadors.
Generation Y: Digitalization: Most purchases are made online, often with extensive review reading (a pursuit of quality and recommendations from “real” people). Communication Need: 62% of Millennials consider a brand’s social media presence an important factor in their purchase decision. Involvement: Over 40% of Generation Y are interested in participating in product improvement. Nostalgia: Brands successfully use nostalgia. The artificially created trend of being a “child of the 90s” has spawned a pop culture of era duplication.
Generation Z: Consumer Behavior: Beyond the demand for a “human face,” Zoomers are attracted to loyalty programs and are more critical of mechanisms influencing their buying behavior. Rational Consumption: Reasonableness is not derived from a favorable price offer but from the emotional return on the purchase. Strategy Development: When developing a strategy for interacting with Zoomers, consider their impulsiveness, desire to communicate with brand representatives, willingness to experiment, easy adaptability, and lack of strong emotional attachment to brands (especially if the brand’s mission does not include ethical super-values).
The Future for Generation Alpha: Sharp Reaction: Alphas are expected to react strongly to any inequality and ethical issues, making gender-neutral products and those with a deep social message appropriate. Balance and Harmony: They will seek balance and harmony to avoid neuroses and FOMO (Fear of Missing Out) like their Millennial parents, driving demand for brands that promise psychological comfort. Impatience: Due to digitalization-induced clip thinking, they will be incredibly impatient, making long, thoughtful ads unsuitable for them. Informed: Being highly informed thanks to the internet, they will reduce the effectiveness of traditional marketing tactics and primitive advertising approaches. Nostalgia-Free: Less inclined to nostalgia, as they grow up in constant dynamics and rapid changes, though they will repeat retro trends in fashion and entertainment, finding them amusing. Experience Economy: They will spend and invest in the experience economy and brands ready for quick transformation and gamification of consumer relationships, leading to a loss of audience for brands with a conservative, inflexible approach. Forecasts for Generation Alpha’s preferences are based on the more comprehensible profile of Millennials (their parents) while considering new ethical and technological trends.
Segmentation Without Over-commitment Undoubtedly, different eras have significantly shaped the preferences of each generation. However, intra-group differences due to geographic, political, economic, and cultural contexts prevent a full reliance on generational theory.
Some brands succeed in retaining representatives from different generations, like Amazon, which appears among the top brands for both Generation X and Millennials. For others, betting on generational values can be harmful: in 2018, yellow was declared the color of Generation Z, prompting companies to incorporate it into their product lines, but it failed to align with the chaotic, ever-changing trends of Zoomers. Moreover, this failure highlighted the fleeting nature of young consumers’ interests, leading to the hypothesis that the clip-thinking mindset and lack of nostalgia (due to their age) blur the very concept of “trends,” rendering it obsolete. Changes in the world are so rapid that formulating a trend within the Zoomer environment and expecting it to last even a single season is impractical, while the market simply cannot keep up with the next Z-fad due to production and logistical constraints.
Generational theory helps label the values of each generation: the nostalgia and demand for good deals among Xers, the need for customization and community involvement among Millennials, the pursuit of bold ideas and emotional comfort among Zoomers, and the absolute digitalization of Alphas. Using this theory to describe target audiences is convenient and therefore attractive. However, it’s important to remember that, like any theory, it is guilty of generalization, sets a rigid structure, and consequently leads to stigmatization. It’s easy to lose sight of real people behind these markers. And it’s crucial to remember that they are the ones forming large and small social groups. Their cultural and psychological traits, needs, and hopes will determine the demand and market success of products and brands.
Elisabeth Krez