When it comes to their shopping habits, Generation Z is a far different generation than baby boomers, Gen X and even millennials.
A survey from Lightspeed Commerce has revealed that 32 percent of Gen Z (born roughly between 1997 and 2012) shoppers are afraid of being judged or “canceled” for supporting the wrong brands—over five times more than boomers (born 1946-1964), at 6 percent.
Why It Matters
In the aftermath of President Donald Trump‘s executive order to end “radical and wasteful” government DEI programs, some companies have followed suit, getting rid of DEI initiatives and emphasis on inclusivity in their workplace and in their brands.
At the same time, cancel culture is making a pervasive impact on corporations, in the entertainment industry and in consumer behavior. Choosing brands that do not align with a shopper’s morals could have an effect in their social circle, especially if they’re younger, the research suggests.
What To Know
Gen Z is adjusting shopping habits to make room for the possibility of cancel culture, according to the Lightspeed Commerce report, which surveyed more than 2,000 North American consumers.
Nearly all participants in this age group, or 96 percent, said they buy with intention, and 66 percent said their purchases should reflect their personal values.
Many values can guide them in supporting specific brands and products, with 37 percent saying they make their brand decisions based on sustainability and environmental impact. Another 29 percent said local pride and nationalism plays a role, while 26 percent said they shop based on cultural or religious alignment.
These values could shift power away from corporations and toward the consumer, experts said.
“Companies will have to meet higher standards,” Kevin Thompson, CEO of 9i Capital Group and host of the 9innings podcast, told Newsweek. “They’ll be held accountable for how they operate, what they sell and how it’s made. That kind of pressure could usher in a new wave of conscious capitalism, where profit and responsibility align.”
A solid chunk of Gen Z consumers, 15 percent, consider a brand CEO’s political views when deciding what to buy.
Still, price and quality were key priorities as well, at 78 and 67 percent respectively.
Michael Ryan, a finance expert and the founder of MichaelRyanMoney.com, told Newsweek that Gen Z’s brand anxiety comes down to their age, as ages 18 to 35 are peak social performance years.
Additionally, this generation faces zero tolerance from some of their peers for “mistake buys” and potentially the digital permanence of their every purchase.
“Every tagged photo. Every unboxing video. Every ‘like’ is peer surveillance,” Ryan said. “Company ethics can boost your clout, or get you canceled. Gen Z doesn’t just boycott bad brands. They live in fear of being boycotted.”
However, HR consultant Bryan Driscoll said that Gen Z was “done separating the company from the product” and this age group was “afraid of being complicit” in issues including the exploitation of workers, rather than fearing being canceled.
What People Are Saying
Kevin Thompson, the CEO of 9i Capital Group and the host of the 9innings podcast, told Newsweek: “Gen Z is more socially conscious than past generations, but not just in how they dress, in what they eat and who they support. Growing up in the social media age, your online persona has to match your real-life values. If there’s a disconnect, you’ll be called out. Authenticity isn’t optional; it’s a requirement.”
Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek: “When you’re younger and more consistently on social media, you’re more than likely to care more about your image and the perceptions that come with it. Whether it’s an outfit, vehicle, or vacation spot, Gen Z is going to take into account recent social and political viewpoints before purchasing or—if they’ve already clicked ‘Buy’—posting on the sale.”
Michael Ryan, a finance expert and the founder of MichaelRyanMoney.com, told Newsweek: “Will this fade? Yes. Mortgages, family budgets and career climbs force a shift from brand activism to basic needs. Gen Z will learn that sometimes the easiest choice is the most affordable shirt. No ethics audit required.”
Bryan Driscoll, an HR consultant who specializes in generational differences, told Newsweek: “I don’t think Gen Z is afraid of being canceled. I think they’re afraid of being complicit. They know corporations exploit workers, dodge taxes and greenwash their way through scandals while boomers cheer them on for turning a profit. This generation is done separating the product from the company behind it. They’re not buying your coffee if it comes with union busting. They’re not shopping your sale if your CEO’s on a yacht while your employees need GoFundMe for medical bills.”
What Happens Next
As Gen Zers are more likely to demand more from the brands they shop from, the shift could mean more corporations are forced to cater more toward the values and morals of their younger consumers.
“This is about accountability,” Driscoll said. “And that scares older generations because it shifts power away from corporations and toward the collective voice of younger consumers and workers.”
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