Imagine a generation that's grown up in a world where the internet isn't a luxury—it's a given. A generation that sits at the unique crossroads between the nostalgia of Millennials and the digital-first mindset of Gen Z. Meet the Zillennials. Born between 1990 and 2000, these 30 million individuals are more than just a demographic. They're a force to be reckoned with. 

With the financial power to shape the digital landscape, Zillennials aren't just consumers—they're trendsetters. They've forged a unique identity, merging the best of two generations. As they rise to prominence, it's crucial for brands in Asia to understand them. They're set to become a dominant force in the Asia-Pacific demographic by 2025.

Bank of America anticipates that Gen Z's income, encompassing Zillennials, will exceed that of Millennials by 2031. This income is expected to reach a staggering $33 trillion by 2030. Together with Gen Z, they're poised to control a quarter of global income. This shift underscores the need for brands to understand this emerging demographic. Delving into their preferences can unlock vast opportunities for forward-thinking brands. 

 

Who are Zillennials?

Zillennials, nestled between Millennials and Gen Z, experienced the 2008 financial crisis and entered the workforce amidst a pandemic. With a mix of social insight and a nostalgia for the 90s and early 2000s, they bridge the divide between late Millennials and early Gen Z.

Source: Reflect Digital

Their journey to adulthood has been marked by significant events. They were around during 9/11 but too young to recall it vividly. Their tech journey began with flip phones, evolving to smartphones by their college years. They had the internet at home, but it wasn't always at their fingertips. 

Understanding Zillennials is key.Their views on current issues (e.g. climate change or job equality), differ from their neighbouring generations. To further illustrate the distinctions and overlaps, check out the table below.

Sources: NYPost, Wikipedia, Forbes India, Forbes

 

Social Values and Fashion Trends of Zillennials 

Shaped profoundly by societal norms, Zillennials demonstrate keen on social insight. Their identity is a rich blend of various cultural and social groups, making them notably more ethnically and racially diverse than older generations. For brands yet to venture into the Zillennial market, understanding this diversity can be a game-changer.

In fashion and entertainment, Zillennials in Asia blend sustainability with vintage allure. They oscillate between contemporary trends and thrifted treasures, deeply appreciating the iconic styles of the 1990s and 2000s. Brands not tapping into this unique blend risk missing a vibrant market segment.

 

Zillenials' Sustainability and Ethical Consumption

Zillennials prioritise brands that align with their values and are dedicated to creating a positive global footprint. A significant 84% of Zillennials are willing to invest more in products that are sustainably produced and ethically sourced.

In the APAC region, Zillennials show a marked preference for environmentally conscious products, organic foods, and ethical fashion. This shift in consumer behaviour presents a golden market opportunity for brands in Asia to cater to these evolving preferences.  

 

Zillennials' Purchase Behavior in Asia

Zillennials gravitate towards online shopping for its convenience and speed. They make decisions swiftly, typically without prolonged searches for deals. In China, 62% of Zillenials find online shopping most convenient, with 45% favouring platforms like Taobao or Xianyu.

While they spend significant time on their phones, it's not just about screen time. Their tech-savviness translates to informed purchasing decisions, with technology offering them unmatched freedom and control in their shopping choices.

 

Social Media Engagement

Growing up during the tech revolution, Zillennials created accounts across various social media platforms. Unlike Boomers or Millennials, Zillennials are versatile - spanning different social apps (from Instagram to Snapchat to TikTok). 

85% of them prefer TikTok and Instagram to guide their buying choices. A significant 97% draw shopping inspiration from these social media platforms. Additionally, 84% are swayed by user-generated content. This presents a golden opportunity for brands in Asia to leverage these platforms for targeted marketing and engagement.

  

Customer Brand Relationships

Zillennials aren't particularly brand-loyal. Instead, they're drawn to trends, often mixing and matching to craft their personal style. They aren't tied to specific brands but gravitate towards those echoing their values. This includes brands championing environmental responsibility and social ethics.

A prime example is Coca-Cola's strategic move in Indonesia. Partnering with Grivy, they tailored content that resonate for Zillenial's leisure breaks. This approach secured a 69% conversion rate, boosting transactions with retailers like Alfamart and Indomaret. 

 

Case Study:  Irish Spring's Twitch Activation Targets Zillennials

Irish Spring, an iconic American soap brand, tapped into Zillennial gaming habits. Recognising 80% of Zillennials as gamers, they launched the first gaming shower on Twitch. Featuring influencer FaZe Santana, the event amassed over 695 million impressions.  

Teasers introduced the gaming shower, leading to an April Fool's Day live event. Behind-the-scenes content and a detailed video by FaZe Santana enriched the experience. Released on National Sense of Smell Day, it showcased the gaming shower's creation.

The Outcome:

• Achieved 695M+ total earned impressions.

• Generated 48 earned media articles.

• Twitch stream peaked at 17K views; averaged 9K views.

• Engaged 3K+ Twitch chatters during the stream.

 

Strategies for Brands to Engage with Zillennials

With the immense potential of Zillennials reshaping the market, brands must adapt to their unique blend of digital savvy and authenticity. Understanding and aligning with their values is crucial for modern success.

 

Mobile Engagement

Mobile-first approach is essential. This isn't just about being mobile-friendly; it's about crafting experiences tailored for the smartphone generation. Ensuring seamless interactions at every touchpoint. Brands should adopt a mobile-first strategy, focusing not just on mobile compatibility but on creating experiences specifically tailored for the smartphone generation.

Lazada, Southeast Asia's eCommerce giant, leveraged Google AdWords' flexible bid strategy to optimise its mobile marketing. By dominating key keywords and targeting competitors', they achieved enhanced ROI and increased conversions, outperforming rivals and expanding their customer base.

 

Authentic Connections

Engaging Zillennials goes beyond mere presence. It's about authenticity and alignment. Brands should strive for authenticity, telling their genuine brand story, showcasing empathy, understanding the Zillennials' vision for the future, and regularly revisiting their brand values to foster genuine connections.

Mistine, a Thai cosmetic brand, launched the "I'm Perfectly Fine" campaign in 2021 to engage Zillenials, challenging traditional beauty norms by featuring everyday people. This authentic approach went viral, resonating and broadening its reach across the nation.

The campaign showcased at the 2022 Cosmoprof Worldwide Bologna, accumulating over 5M YouTube views post-launch. Through diverse KOL representation, Mistine enhanced its brand value across various consumer groups, enabling subtle communication and deeper market penetration via influencer connections. 

 

Prioritising Quality Over Quantity

In a world filled with choices, Zillennials value quality over quantity. Brands should align their offerings to reflect this preference. Offering products and services that provide genuine value and durability is key.

Apple excels at creating a unified experience across devices, personal data, and shopping history, evolving beyond just a lifestyle brand to become an integral life brand for many users in Asia, including Zillenials.   

Despite their higher price points, luxury brands saw a 6% greater year-on-year growth in orders compared to fast fashion. This trend indicates that Zillenial shoppers are increasingly valuing quality over quantity, signalling a notable shift in their purchasing behaviour.

 

Ready to Tap into the Zillennial Market in Asia?

Recognising Zillennials as a rising demographic in the Asia-Pacific region by 2025 is crucial for brands. Their unique blend of Millennials and Gen Z influences makes them a pivotal audience that brands cannot afford to overlook.

With Baozun's expertise, brands can tap into this potential. Our tailored solutions resonate with their distinct mindset, ensuring effective engagement.

Baozun boasts a proven record in understanding Asia's Zillennials. Don't miss this chance to truly connect. Talk to us today, and let's craft strategies that make a difference. Your brand's next chapter in Asia begins with our conversation.

  

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