Just when you thought you understood Gen Z, there’s another emerging demographic—Gen Alpha—following in its footsteps. Although the youngest in this cohort are still in diapers, the eldest are already brand aware and influencing what their Millennial parents buy. In fact, a recent report from DKC Analyticsfound that 95% of Millennial parents learn about new brands, products, and services from their children, and 49% say they are impacted by their child’s opinions about brands and products.
With this much influence at such a young age, marketers are already considering how to engage this demographic. Here, we look at how to connect with GenAlpha and provide some insight into these astonishingly savvy consumers.
Who is Generation Alpha?
Gen Alpha is the first generation born entirely in the 21st century. It’s anticipated that Gen Alpha will be the largest global generational cohort in history. The number of Gen Alphas is expected to reach 2.2 billion worldwide by the end of 2024. By 2025, there will be more Gen Alphas than Baby Boomers. (eMarketer)
In the US, the estimated 45.6 million children that make up Gen Alpha are already more diverse than the general population. According to the US Census Bureau in January 2023, the growth in diversity is due to two key groups:
- Hispanic people represent 18.9% of the total US population, but 26% of children.
- Around 3% of the US population is mixed race, but this more than doubles to 7% among children.
Marketers should keep the makeup of this generation in mind. Gen Alphas will expect the diversity they see in their peer groups to be reflected in brand marketing as well. This also includes diverse representation in terms of age, sexual orientation, gender, and more.
Generation Alpha is Doing Good and Feeling OK
This generation believes it’s up to them to step up for other people. When asked what’s important to them, 61% say that “helping others” is a priority. Similarly, “protecting people from bullying” and ensuring that “everyone is treated the same” are priorities (51% each). (GWI)
In a survey, 87% of Gen Alpha agreed that it is up to their generation to stop climate change from worsening, per Axios.
As digital natives, smartphone, social media and video games are nearly ubiquitous in teens/tweens' lives. 96% of Mintel's teen/tween sample visits at least one social media site daily. Screen time, particularly time spent watching video-based content, makes up nearly half of their awake hours for some teens/tweens.
When it comes to social preferences, Mintel reports that 84% of Gen Alphas who are on social media visit YouTube daily, followed by TikTok (70%) and Instagram (65%).
Although they report spending significant time behind screens, they are also keenly aware of screen time. As reported by Mintel, Kantar reports that 62% of this generation says they try to pay attention to how much time they’re spending on social platforms.
Growing up during the COVID-19 pandemic brought mental health and wellness to the forefront for this generation. According to Cassandra, 59% agree that mental health is a big issue, and 62% say their school should focus more on mental health education than physical education.
Further confirming the need for wellbeing breaks, Mintel reports about two-thirds of teens/tweens wish they had more free-time to simply hang out. Low-pressure, stress-free activities are needed to help teen/tweens feel autonomous and explore their personal interest more thoroughly.
Gen Alpha is Playing Games
Although almost half of all Gen Alphas are involved in extracurricular activities including sports, clubs, or volunteering, Mintel reports that 98% of Gen Alpha plays video games.
Among gamers, 80% spend two or more hours a day playing them, and more than half spend over two hours reading or watching video game news or livestreams. And, contrary to widespread belief, gaming is not an isolated activity. Socializing with friends/family is that most commonly ranked reason for playing video games among this generation.
Brands have the opportunity to connect with young gamers by hosting gaming events and events on Meta, TikTok, Twitch, or Discord.
How Gen Alpha Spends
More than three quarters (76%) of parents surveyed in a DKC Analytics study said their children are better at making consumer decisions than they were at the same age, and 69% said they already understand the concept of corporate values.
The same study found that Gen Alphas are thoughtful consumers, with 66% of parents saying that their Gen Alpha children implore them to give to charity. And 68% express preferences about diversity/equity/inclusion, while 63% are concerned about sustainability.
According to DKC Analytics, Gen Alpha spends roughly $45 per week of their own money earned from doing chores, gifts, allowance, odd jobs, and online reselling. This increases to $78 per week for white children, $70 for children whose parents are married, and $100 for children in houses with annual income over $100,000.
Stores they love: Walmart, Amazon, Target, Nike, GameStop, Five Below, Shein, Costco, Dollar Tree, and Sephora.
Top Brands: Nike, Amazon, Walmart, Adidas, Apple, Lego, Target, Starbucks, Disney, Nintendo.
We’re just beginning to understand this pivotal generation of adolescents, but if these facts are any indication, they are going to change the game for marketers. Digitally and socially savvy, they are already impacting family decision making and will continue to do so as they grow.
At Inspira, our team of strategists and creative thinkers are always considering how we can stay one step ahead of emerging audiences. Contact us today to learn how our suite of creative solutions and integrated marketing strategies can help your brand build long-lasting relationships with consumers.
This article has been published in the Association of National Advertisers (ANA) Marketing Knowledge Center. Click here to visit their blog.
SOURCES:
- DKC Analytics | A Guide to Gen Alpha Insights on the Gateway Generation
- eMarketer | Guide to Gen Alpha, the generation marketers need to start attracting
- GWI | Generation Alpha: the new kids of America
- Axios | "A landmark generation": Introducing Gen Alpha
- Mintel, Activities of US Teens and Tweens 2024
- Cassandra | Intro — Gen Alpha: Generation Infinite
