The changes in the luxury market carried out by Generation Z

At the same time that globalization enabled the end of physical and ideological boundaries, it also widened the specificity of the public. In this way, it is now possible to accurately define the target audience of a particular product or service.

One such public is the Generation Z, which according to social studies is made up of people born from the year 2000 and if that population segment still does not represent a very large portion of the consumption of luxury products in the world, this is changing from quickly. According to the True-Luxury Global Consumer Insight survey, developed by the Boston Consulting Group and released last week, Generation Z is already responsible for approximately 4% of the global luxury market.

This younger audience is “entering this market with a way to consume very different from the older ones. The luxury industry, which has had so much trouble with the millennials, has every interest in preparing for these future consumers, knowing more about their behavior and values, “said Nicola Pianon, one of the leaders of the study.

And to meet this consumer of the future, luxury brands are already adapting. In this scenario, connectivity and interactivity are concepts that gain even more value. According to the study, 95% of these younger consumers interact through social media with brands of their own.

Another striking aspect of this new generation is their interest in partnerships and partnerships between brands. Reflecting a new behavior more linked to diversity and democratization, one in two consumers of Generation Z is interested in acquiring products from the union between brands or professionals.

One of the characteristics that accompany luxury throughout its history is the ability to understand the new times and incorporate the new desires. For this reason, the brands that operate in the segment must from now on, look for ways to meet the yearnings and demands of this public of the future.