Gen Alpha and the Future of Loyalty

Gen Alpha has recently been at the centre of intense criticism from older generations (especially Gen Z) on TikTok for their obsession with Sephora, luxury skincare and an alleged reputation for wreaking havoc at beauty stores.

The general agreement among everyone on socials (and if you’ve been on TikTok recently you can’t have missed this) is that Gen Alpha are overall being rude, messy, and entitled.

 

Viral videos are circulating, with Sephora shoppers and employees talking about Gen Alpha teens in middle-school spending exorbitant amounts on luxury items, fighting over products, and leaving a mess behind them.

 

Now, we all know that while teenagers might be difficult, people on social media also tend to blow things a bit out of proportions, so this whole controversy might just be yet another way for people to badmouth the newer generation. Does anyone remember the whole avocado toast feud between Millennials and Baby Boomers?

 

Regardless of what this controversy is really about, it’s undeniable that while the majority of the interest is still focused on Gen Z, Gen Alpha is quietly but surely growing into a powerful demographic.

What is Gen Alpha shopping behaviour?

According to recent research, a child’s influence on household purchases starts from around the age of 5, and 85% of parents with children ages 5 to 9 report that their children have asked for products seen in stores and online ads.

 

Gen Alpha’s relationship with technology quickly accelerated during the Covid-19 pandemic, when parents looked to devices like tablets to entertain their children during stay-at-home orders.

 

They are more brand aware than other generations, but don’t have a lot of dedicated spaces or brands targeting their specific needs: Gen Alpha tends to gravitate towards the brands of adulthood, preferring to shop where their millennial parents shop.

 

Many of their preferred brands are well known to the older generations: think Sephora, Target, Lululemon, etc.

 

Gen Alpha’s demographic's economic footprint is expected to reach $5.46tn (£4.32tn) by 2029 – almost as much as the spending power of millennials and Gen Z combined.

 

McCrindle Research estimates that by 2030, Gen Alpha will make up 11% of the total workforce, while the previous generation, Gen Z, will account for 34%.

Gen Alpha brand loyalty stats.
Gen Alpha brand loyalty stats.

Their habits were mostly built online, especially on TikTok, where Gen Z and Gen Alpha have learned to "get ready with me" by listing off the brands they consume in the morning.

 

Trends now tend to be popular with multiple generations, and they’re often based entirely on trying and reviewing different products - it’s easy to see this phenomenon with skincare and makeup, but it doesn’t stop there, encompassing clothes, accessories, furniture, almost everything.

 

What makes it huge for marketing is the relentless appearances of certain products (the ones that by chance or not go viral) across Instagram, YouTube and TikTok, which then tends to elevate certain products to cult status.

 

Gen Alpha’s world is shaped by social media, climate change, and diverse perspectives: they care about authenticity, sustainability, and brands that align with their social values, and they want transparency and inclusivity. Much like Gen Z, brand loyalty isn’t easily won.

 

Marketing to them is different: they research extensively online, heavily influenced by recommendations of their peers on socials and user-generated content.

How can you connect with Gen Alpha?

So how can you connect with this new generation that’s taking every social network by storm?

 

Well, first of all, embrace this digital aspect.

 

Position yourself where they are - TikTok, YouTube, Instagram, and other interactive platforms. Collaborate with other Gen Alpha (or late Gen Z) creators and communities, and let them share their perspectives.

 

Gen Alpha, much like Gen Z, can immediately spot paid promotional content and they’re really quick to scroll past that if you don’t offer promos or something interesting. It’s much better to focus on the power of UGC content.

How to connect with Gen Alpha and unlock brand loyalty.
How to connect with Gen Alpha and unlock brand loyalty.

Show your sustainable practices, social impact, and commitment to ethical sourcing, and offer engaging content and shoppable features at the same time. About 60% of Gen Alpha parents say their kids watch shopping content (like haul and unboxing videos), where they are exposed to new products and brands.

 

Keep them as engaged as you can: use gamification features to offer personalised quizzes, polls, and rewards programs. Lego, for example, has games on its website, while other brands have built experiences within Roblox, a popular video game among kids.

 

Focus on building genuine trust, connections and a true sense of loyalty.

Best practices for Gen Alpha brand loyalty

  • Digital-first: optimise your presence for mobile devices and offer seamless omnichannel experiences. While Gen Alpha still shops in physical stores, it’s undeniable their presence is much more powerful online, especially on mobile devices.

 

  • Authenticity: be transparent, represent diverse voices, and be true to your values - aligning your brand with social causes and environmental responsibility. Make sure those are causes you can truly get behind, because Gen Alpha will immediately sniff out insincerity.
Best practices for Gen Alpa loyalty.
Best practices for Gen Alpa loyalty.
  • Personalization: analyse Gen Alpha's online behaviour and shopping history and use that data to provide personalised product recommendations, personalised discounts and promotions, and even personalised shopping journeys.

 

  • User-Generated Content (UGC): we’ve already talked about this, but the importance of UGC can’t be stressed enough. Use social media to encourage Gen Alpha consumers to share their experiences with your brand and partner with Gen Alpha influencers.

Conclusion

Gen Alpha is the future of brand loyalty, but winning their loyalty might require rethinking the marketing strategies that currently work for older generations.

 

Adapt your marketing strategies and start building lasting relationships with Gen Alpha. You can get in touch with our specialists here to find out more about our loyalty solutions.

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Sara Rabolini

Sara Rabolini

Content Marketing Executive

Sara is our Content Marketing Executive. She shares engaging and informative content, helping businesses stay up-to-date with the latest trends and best practices in loyalty...

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