SAN FRANCISCO, Oct. 21, 2020 /PRNewswire/ -- App Annie, the leading mobile data and analytics company, today released a report on Generation Z, How to Build a Winning Gen Z Strategy on Mobile, that reveals the mobile habits of this generation to help businesses understand and cater to this group.
Gen Z is quickly becoming one of the world's most powerful consumer segments - as one of the youngest generations, Gen Z amounts to a third of the world's population and controls an estimated spending power of $143 billion annually. With 98 percent of Gen Z owning a smartphone, on average receiving their first at the age of ten, it's clear that businesses looking to reach this demographic need to meet them on their mobile devices.
"Gen Z has never known a world without their smartphone. They see the world through this mobile first lens," said Ted Krantz, CEO, App Annie. "As new consumers, businesses have an opportunity to earn their loyalty. App Annie connects brands to the mobile preferences of this generation."
"Leveraging data to understand how to best reach consumers on mobile is more critical than ever, and Gen Z's importance for marketers will only increase in 2021 and beyond. Businesses need to understand the values and user preferences of this audience to create truly engaging experiences on innovative platforms like Snapchat." Skye Featherstone, Product Marketing Manager, Snap, Inc.
Key insights and statistics about Gen Z from the report include:
On average Gen Z users spent 4.1hrs per month on apps (excluding games) in Q3 2020
TikTok and Snapchat are the most over-indexed apps among Gen Z in nine out of ten markets analyzed, indicating the importance of a photo and video-first strategy
The finance and shopping app categories have experienced the strongest growth YoY with the Gen Z audience, with a 60 percent increase versus Q3 2019
Finance apps like Venmo and DANA are more likely to over-index on Gen Z in most markets, indicating an opportunity for mobile-first banks to capture Gen Z audiences
Gen Z is less likely than average to use the top 20 shopping apps, indicating opportunity for brands to expand their Gen Z reach within this space
Gen Z's engagement is deeper in apps (excluding games), with 20 percent more sessions per user in top apps than older groups
The Core action gaming genre (led by Battle Royale games such as PUBG Mobile and Free Fire) accounted for nearly 25 percent of time spent among Gen Z gamers
The How to Build a Winning Gen Z Strategy on Mobile report offers significant additional insight into the behaviors and preferences of Gen Z and where opportunities for brands lie within this critical audience, including how these attributes vary across different geographies and categories.