TheMarketingblog

The Gen Z Obsession Could Be Costing Brands More Than They Realize

Many brands are now putting a lot of effort into targeting Gen Z, using new product launches, viral marketing campaigns, and trendy experiences to catch their attention. A recent example is the relaunch of Knorr’s Aromat Seasoning, with bold new packaging and experimental flavours aimed at younger shoppers.

But personal branding expert Phil Ossai, who runs Ossai Agency, believes this focus could be limiting. “By chasing one generation, brands risk overlooking the customers who’ve supported them all along,” he says. “It’s not about ignoring Gen Z, it’s about broadening your approach.”

Why the Push for Gen Z?

Gen Z has a huge influence on trends, social media, and the way we communicate. Naturally, brands want to tap into this power to stay relevant. Plus, there’s a long-term benefit: if brands can connect with Gen Z now, they hope to build customer loyalty for years to come.

Gen Z is also dominant on platforms like TikTok and Instagram, which are key spaces for modern marketing. These platforms offer the chance to go viral, something every brand wants. But while Gen Z is great at driving trends, they don’t always drive the same sales as older, more established customers. This means that chasing their attention may get brands noticed, but it doesn’t guarantee sales.

Is It Wrong to Target Just One Generation?

Focusing entirely on Gen Z isn’t necessarily wrong, but it might not be the smartest move. Many Gen Z individuals are still starting their careers and dealing with the high cost of living. Their salaries aren’t as high as those of older consumers, meaning they have less disposable income. This makes it harder to convert Gen Z into paying customers, even if a brand’s campaign goes viral.

Just because your product is trending on TikTok doesn’t mean it’ll make it into their shopping basket.

A Broader Strategy Could Work Better

Instead of putting all their effort into reaching Gen Z, brands should consider their core customers. If Gen Z isn’t the primary group buying from them, focusing all energy on this group could alienate loyal customers who have been with the brand for years.

This is where market segmentation comes in. Instead of grouping people by age alone, brands should look at shared behaviours, values, and lifestyles. Gen Z may care about minimalism and sustainability, while older generations might prioritize different values. But all groups may still care about things like quality, convenience, and innovation.

Generational marketing oversimplifies things. People in the same generation are often at very different life stages and have different spending habits. For example, someone born in 1980 is likely to be very different from someone born in 1995, even though they’re both Millennials. This shows how targeting based only on age can miss the mark.

What Can Brands Do Instead?

A more effective approach is to appeal to a wider audience by focusing on shared values like sustainability, innovation, and quality. Rather than narrowing down to just one generation, brands should make sure their campaigns feel fresh and exciting to everyone.

Take Knorr’s Aromat Seasoning relaunch, for example. While the new packaging and bold flavours may be aimed at Gen Z, they risk alienating older customers. Instead, Knorr could have positioned the relaunch as a way to update the brand and keep it relevant for all generations, without leaving anyone behind.

Why Market Segmentation Is Key

Great marketing isn’t about picking one generation and ignoring the others. It’s about understanding your audience as a whole, looking at their interests and values, not just their age. Market segmentation helps brands create campaigns that resonate with real people, not labels.

Generational insights can be helpful, but they shouldn’t be the foundation of a brand’s marketing strategy. The brands that succeed are the ones that stay relevant to everyone, while adapting to new trends and staying connected to their core customers.