The Zellennial generation includes those born roughly between 2001 and 2016.  The oldest Zs just turned 21 this year and are legally allowed to do everything adults can do in the U.S. including drive, vote, and drink.  They are the first generation born and raised in the 21st century.  And we know most are either in college and/or starting to work.  But, if they are so young, why do we need to study them now, and how much can we really say with certainty about who they are and will become?

We study them to identify macro trends that can help foster workplace harmony, understand their needs and wants as customers and even evaluate them as potential competitors in the near future (if not already).  To do that, we want to study their formative life experiences including the impact of race, religion and socioeconomic background shaping how they see the world.  And, it helps to understand how they make decisions and what they value.

How do Zellennials Differ from Millennials?

What differentiates Gen Z from Millennials and other generations?  First, they are not like any generation before them, and definitely different than Millennials.  They are tech naturals, not just tech savvy.  They know computers extend far beyond the desktop, laptop, tablets and phones they use daily and are in most things (from cars to electric toothbrushes).  This has had a profound impact on how Zs learn and socialize.  And, while there is a lot of worry that Zellennials will lack social skills because so much of their interactions happen virtually, they are already more vocal, socially active and action-driven than their Millennial predecessors and the Gen Xers and Boomers before them.  They know intuitively how to use social media as a megaphone to broadcast their views and influence government and business.

Because of this alone, there is a wider gap between Gen Z and all previous generations.  For example, a 10-year-old girl in the U.S. who grew up with a tablet or smartphone will likely have more in common with a 10-year-old girl in Malaysia who used a similar mobile device than she will with her 70-year-old U.S. grandparents.  They may not speak the same language or have any shared political, religious or socioeconomic experiences, but the two girls have more in common in their views and values.  That’s pretty shocking.

In addition to these traits, there are several other aspects of Gen Zs that are worth noting.

1. Altruism and Authenticity – Gen Zs are driven by values that look to make the world a better place.  They demand measures that will address climate change.  They want to see greater inclusivity and diversity in the schools, workplaces and businesses they frequent.  That may be because Gen Z represents the leading edge of the nation’s changing demographic makeup.  Of all Gen Zs, 52% are white (non-Hispanic), a significantly smaller amount than the Millennials who were 61% white in 2002.  Today, 25% of Gen Zs are Hispanic, 14% are black, 6% are Asian and 5% are mixed race.  So they want to see racial, gender and ethnic diversity in all systems, like education and criminal justice, as well as in business.  Brands like Patagonia, Instagram, Sephora, Zoom, Tiktok, Airbnb, Ikea, Dunkin, YouTube, Lego, Glossier, Ulta, Trader Joes, Spotify, Netflix, Apple and Costco score big points with Zellennials.  They are known for offering value, treating customers and their diverse workforce with respect, and doing good in the world.  Gen Z wants to give their business to brands that authentically care; brands that don’t say one thing but do another.  That’s what it takes to score points with Gen Z.

2. Self-Promoting – Ironically, it might seem contradictory to say that Gen Z is altruistic and yet also focused on self-promotion.  Their activities are often driven by a desire to be seen and liked by peers.  A Zellennial who reads a lot of books is not respected nearly as much as a Zellennial who reads a lot of books and then shares reviews of those books with her followers on Tiktok and YouTube a regular basis.  Every task that a Zellennial does is viewed through the lens of how to amplify its impact through an audience of followers.

3.  Realists – If we say that Boomers are idealists, Gen Xers are materialists, and Millennials are globalists, then Zellennials are realists.  They have no choice.  The face a future in which the planet’s resources – including water, minerals, fossil fuels, sea life and arable land – are threatened by industrialization, climate change and overuse.  They are increasingly experiencing massive forest fires, flooding, hurricanes, and other weather catastrophes.  For this reason, they are hard core realists and intensely future-focused in a way that no generation has been before.  While they face a future in which the planet’s resources are threatened, it is a generation that believes in finding solutions, reusing and recycling materials to maximize its useful life, and eventually finding additional resources in space.

4.  Individualistic and Self-Reliant – Members of Gen Z believe in being uniquely themselves more than any previous generation.  In fact, unlike past generations that sought to conform to what their generation supported, Zellennials are rejecting conformity and embracing unapologetic individuality.  They don’t want to be told how to dress, what to like, or what to support.  Instead of pressure to conform, there is pressure among their generation to be themselves in whatever form that takes.

This is already filtering into their decisions regarding education and employment.  The tradition of sons taking over a father’s business is being eschewed for a desire to break free and start their own businesses.  In fact, according to a survey conducted by EY Ripples and JA Worldwide of 6,000 participants born between 1999 and 2007, 53% said they hope to run their own business within the next decade and that number soars to 65% for those who are now in the workforce.  They view a world where all jobs are handled on a per-project basis, and individuals collaborate on complex projects with a team of consultants, solopreneurs and freelancers.

This extremely favorable view of entrepreneurship is due to the soaring cost of higher education (especially advanced degrees), the challenges of climbing the corporate ladder and the decreasing costs of starting a business.  The pool of resources entrepreneurs can tap into is ballooning (think Etsy, eBay, Upworks, etc.) and experimentation with entrepreneurship has never been easier.  But what is really driving them toward entrepreneurship is a desire for careers that allow for originality and creativity and a deep desire to not have to rely on fickle employers, where they might have a job today and a pink slip tomorrow.   Entrepreneurship delivers on the promise of individuality, creative control and self-reliance in a way that jobs in corporate America typically do not.  It also gives them a freedom and flexibility to work when they want.

This does not bode well for companies that are already having a hard time recruiting and hiring.  Businesses will need to rethink the strategy of hiring kids fresh out of college in order to get cheaper labor, and revisit the idea of hiring GenXers and Boomers, who are living longer, need to continue working and are used to working for corporate America.

5.  Independent and Self-Driven – During their formative years, Gen Z had access to all of the information in the world.  They never lived a day without the Internet and an easy way to find answers to any question.  So they are accustomed to seeking solutions and finding answers independently.  They watch YouTube videos to learn how to do tasks themselves.  And since the pandemic, they’ve become even more adept at learning online.  And Gen Z has been exposed to the empowerment of entrepreneurship at a very early age.  So they are able to apply those skills right away. Gen Z is considered the ‘do it yourself’ generation and know they can do a lot of things on their own.

And even though Gen Z is inclined toward entrepreneurship, it is also on track to be the most educated generation in the history of the world.  But older Zellennials are on a somewhat different educational trajectory than the generations that came before them.  They are less likely to drop out of high school and more likely to enroll in college. Among 18- to 21-year-olds no longer in high school, 57% were enrolled in a two-year or four-year college in 2019 compared to 52% among Millennials in 2003 and 43% among members of Gen X in 1987.  Even after the pandemic, they are more likely to have pivoted to online learning coupled with part-time entrepreneurship.

As more and more Zellennials continue to become adults, businesses will do well to keep in mind what Generation Z values and how they think and feel.  The days of treating employees like cogs in the machinery will no longer work with Gen Z.  They are unique, independent, future-focused, business-oriented and knowledgeable.  They will just as soon start a competing business than work for an employer where they aren’t respected, valued and allowed creative control.  And they won’t do business with companies that talk the talk but don’t walk the walk of inclusivity, equity, respect and support with their staff.  Are you ready for them?  They are coming soon to businesses everywhere.

Quote of the Week
“Generation Z has arrived and they’re very different from Millennials.”
Denise Villa, Ph.d.

© 2021, Keren Peters-Atkinson. All rights reserved.