As we continue to navigate through uncertain times, Generation Z find comfort in having their values firmly set in place: 

: Credit what – Millennials turned away from credit cards, whereas Gen Z aren’t even signing up (94% of Afterpay Gen Z customers link their account to a debit card). Instead they are looking for low-commitment, straightforward solutions that are budget-focused, customer-centric and empower rather than entrap.

: Flexibility first – Gen Z want to be able to turn on and off commitments in their life and this is paramount when it comes to their finances.

: Financial wellness is queen – The overt display of wealth, or wealth-hoarding, is dead; being financially in control is key, particularly as we approach the other side of Covid-19.

: Let me entertain you – As the lines of entertainment, commerce and social media blend into one, being able to shop directly from one platform is key.

: Provenance matters – Gen Z are embracing community-driven labels and the direct-to-consumer model.

: Real people sell – Glossy, edited and unobtainable images used in advertising are out; lo-fi and unfiltered imagery using real people is in.

: The environment and sustainability matter –  Brands that can play their part in combating waste pollution will win.

: I'll show you mine, but... – Privacy concerns matter and are only accepted by Gen Z if the outcome is a tailored customer experience and data is used only for the stated purpose.

Gen Z are looking for low-commitment, straight-forward solutions to manage their wealth in the way they manage their health. They want apps that proactively monitor their spend, capture lifestyle data and advise on the best ways to save or optimise their finances. 94% of Afterpay’s Gen Z customers use their own money, linking their account to a debit card and use brands like Afterpay to manage their budget, minimise inconvenience and monitor their money in real time.

They are also more entrepreneurial than previous generations, using side-hustles – trading on Depop or peer-to-peer websites – to raise as much as A$14,455 (US$10,000) a year over normal incomes. 72% want to start their own business. Some 42% expect to work for themselves while 65% are confident they will experience more financial success than their parents. Sources: Afterpay, Depop, Millennial Branding, Northeastern University.

Growing up with stop-anytime subscriptions like Spotify and Netflix, Gen Z want to maximise flexibility in their lifestyle. They prefer to rent, share or try buy-now, pay-later alternatives to owning everything from clothing and cars to furniture and bikes. The global online clothing rental market was estimated to be worth A$1.62bn (US$1.12bn) in 2018 and is expected to reach a market value of A$4.06bn (US$2.82bn) by the end of 2027 (ResearchandMarkets.com).

But the generation also present a paradox: they buy fast fashion, and also use mega-systems like eBay for convenience. Gen Z are wary of how their data is used, particularly if it is used beyond the core purpose of a service, but accept that it is a necessary evil; they are happy for it to be exchanged in return for a tailored and convenient service.

Discover our Generation Z series on LS:N Global – a look at the nascent trends, behaviours and perspectives of Generation Z, as the world's largest demographic enters adulthood.

DISCOVER GENERATION Z 

“72% want to start their own business. Some 42% expect to work for themselves while 65% are confident they will experience more financial success than their parents”

"89% believe it’s necessary for brands to do something to help with Covid-19. 84% believe brands have just as much responsibility as everyone else to help stop the spread"