Gen Z is quickly becoming one of the world’s most powerful consumer segments – as one of the youngest generations, Gen Z amounts to a third of the world’s population and controls an estimated spending power of $143 billion annually.
With 98% of Gen Z owning a smartphone, on average receiving their first at the age of ten, it’s clear that businesses looking to reach this demographic need to meet them on their mobile devices.
So finds the latest research from mobile data analytics company App Annie in its , How to Build a Winning Gen Z Strategy on Mobile report that reveals the mobile habits of this generation to help businesses understand and cater to this group.
Key insights and statistics about Gen Z from the report include:
- On average Gen Zers users spent 4.1hrs per month on apps (excluding games) in Q3 2020
- TikTok and Snapchat are the most over-indexed apps among Gen Z in nine out of ten markets analysed, indicating the importance of a photo and video-first strategy
- The finance and shopping app categories have experienced the strongest growth YoY with the Gen Z audience, with a 60 percent increase versus Q3 2019
- Finance apps like Venmo and DANA are more likely to over-index on Gen Z in most markets, indicating an opportunity for mobile-first banks to capture Gen Z audiences
- Gen Zers is less likely than average to use the top 20 shopping apps, indicating opportunity for brands to expand their Gen Z reach within this space
- Gen Zers’ engagement is deeper in apps (excluding games), with 20 percent more sessions per user in top apps than older groups
- The Core action gaming genre (led by Battle Royale games such as PUBG Mobile and Free Fire) accounted for nearly 25 percent of time spent among Gen Z gamers.
“This generation has never known a world without their smartphone. They see the world through this mobile first lens,” says Ted Krantz, CEO, App Annie. “As new consumers, businesses have an opportunity to earn their loyalty. App Annie connects brands to the mobile preferences of this generation.”
Skye Featherstone, Product Marketing Manager, Snap, Inc, owner of SnapChat adds: “Leveraging data to understand how to best reach consumers on mobile is more critical than ever, and Gen Zers’ importance for marketers will only increase in 2021 and beyond. Businesses need to understand the values and user preferences of this audience to create truly engaging experiences on innovative platforms like Snapchat.”