With the buzz surrounding Sephora’s new store opening in The Trafford Centre last week, it was reported that approximately 3,000 people queued up to be the first to shop there, with some reportedly camped out from 6pm the night BEFORE. Many amongst them were Gen Z, proving that the appetite for luxury beauty brands is stronger than ever. There’s no doubt about it, Gen Z loves luxury skincare.
In the fast-evolving landscape of beauty, brands are captivating the Gen Z demographic with such a pace, it felt like it was a shift that happened overnight, and it hasn’t stopped since. As a Millennial myself who works in marketing (with also an interest in beauty in both the product and on the brand side), how to be more Gen Z friendly is oftentimes a hot topic within the workplace. Therefore, it’s a trend that I’ve observed closely.
Interestingly, there are new insights to strongly suggests that Gen Z are willing to splurge on the likes of moisturiser to hair oils more than we ever did. And how times have changed because us Millennials were happy with a bottle of Bourjois foundation and a Collection 2000 concealer back in the day (which some of us doubled up as lip gloss – we’re not proud of it!).
As Gen Z graduates and enters the workforce, they have disposable income and the buying power. In an article published by Yahoo! Life, it states that according to NielsenIQ data “61% of Gen Z shoppers are purchasing luxury beauty products. This rate is higher than that of Gen X and Boomers, though slightly below Millennials by just 2%. Notably, Gen Z spending in this category is increasing at a pace comparable to the mass market. In specific segments, Gen Z is outspending Millennials in facial skincare and hair care.”
Their love for such brands is becoming greater than that of the generations before them, and I’ve explored the potential reasons why Gen Z loves luxury skincare.
A preference towards quality
Gen Z prefers to put an emphasis on quality rather than quantity, choosing to value high-quality products that deliver results, longevity, and avoid the false economy of cheaper products that are less effective. This generation is willing to invest more for a better, more sustainable beauty experience that meets their high standards.
Products from luxury beauty brands such as Fresh are made from natural products that are carefully sourced and last longer, which reduces waste and therefore aligning with their preference for sustainability. Which leads me nicely on to the next point…
Sustainability really matters
Gen Z are fussy shoppers and consider sustainability to be a high factor in their buying decision process. According to Beauty Packaging, their research shows that “nearly 60% of Gen Z shoppers say they have stopped buying brands that don’t have – or don’t effectively communicate – environmental credentials”.
Honesty and transparency are important, and consumers are becoming savvy to the term ‘greenwashing’. Saying buzzwords to make an empty promise without any substance to back up the claim will do more harm than good, people will stop buying from brands that fail to effectively communicate their environmental credentials.
Quite rightly, Gen Z are pushing the demand for a meaningful focus on sustainability, with luxury brands leading the way on this. As their buying power is acknowledged, brands are beginning to align with the values of sustainability, these brands are building deeper trust and loyalty, swaying Gen Z to be more inclined to invest in their products.
Rakuten’s research backs this as they have found that “84% of Gen Z consumers will spend more on sustainably produced and ethically sourced products, according to Tata Consultancy Services” indicating that a large percentage of Gen Z will actively choose a brand, or a service based on their eco-friendly practices.
Open to trying new brands
Gen Z are not exactly known as brand loyal (a marketer’s nightmare, perhaps?) but embracing change like no other generation can be seen as a positive thing. Whilst other demographics have a habit of sticking to what they know or being extremely wary of change, it means that Gen Z are willing to try different brands or are quick to jump to a competitor if a product doesn’t live up to expectations.
This openness to experimentation drives luxury beauty brands to continually innovate and cater to Gen Z’s dynamic preferences, launching exciting collections more often. Their willingness to seek out the best quality and latest advancements, keeps the beauty industry on its toes and pushing boundaries to meet their high standards and fast-changing tastes.
Being digital savvy
The growth of social media correlates positively with Gen Z’s increased engagement with luxury beauty brands. Having grown up in a digital-first world, Gen Z is not a stranger to navigating social media. They actively use short form content platforms to research and check customer reviews rather than trusting traditional advertising, and can identify when a brand is using disingenuous to sell.
Influencers (and deinfluencers alike) still have a huge following so will significantly persuade consumer’s preferences, forcing brands to shape their digital strategy to join the conversation. Luxury beauty brands are innovating their digital marketing strategies to emotionally connect with Gen Z like never before, leveraging meaningful storytelling tactics to create compelling campaigns to build trust and retain the all-important brand loyalty in this highly connected generation.
Authentically resonating with Gen Z by tapping into what their aspirations and values are will ultimately lead them to invest in the brand and repeat purchases, which is the key to success.
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I’d love to know what your favourite luxury brand is at the moment and why?
