Discussion - The Modern Buyer The Growing Influence of Gen Z

[scene.of.the.crop]

Hi, everyone!

We’ve posted our final installment in “The Modern Buyer” blog series where we are diving deep into the shopping experience today’s buyers expect, and what this means for eBay sellers.

Today’s article covers the youngest generation, Gen Z. This generation, born between 2000 and the mid-2010s, are already earning their own money—and influencing how their parents spend theirs.

I’m Jennifer Deal, eBay Seller Marketing Manager, and I’ll be popping in and out of this thread to answer your questions and infuse some discussion points over the next couple of days.

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Join the discussion below!

[terrycanarsky]

WHY can't these articles be more on-topic for eBay and/or similar markets rather than pulling only somewhat relevent information and claiming it proof positive? 

Your blogger states this group is "the generation born between 2000 and the mid-2010s, one that’s widely used is Gen Z."   That is wrong according to every article he, in turns, cites.

The IBM study cited "found that 74% of Gen Z spends their free time online—a quarter of them spending a whopping five or more hours a day."   was actually "a global survey of 15,600 Gen Zers between the ages of 13 and 21, as well as interviews with 20 senior executives...".  So while 74% of that 15000 global number may be accounted for, it is irresponsible to claim it is 74% of all this generation.  It was a survey taken of, on average, less than 1000 in each of 16 countries.  Statistically, that is a throw-away number.

Furthermore "The study found that 74 percent of respondents spend their free time online -- five hours or more a day, for a quarter of them; 73 percent use mobile devices to text and chat socially with family and friends. But they are also looking to have engaging conversations involving brand relationships: 42 percent would participate in an online game for a campaign and 43 percent would participate in a product review." --- they're not shopping, they're socializing or gaming.

The claim that this generation is "already personally spending $44 billion a year."   is also problematic as the article cited states "Born between the mid-1990s and mid-2000s, the births of U.S. Gen Zers outpaced Millennials by 3 million, hold $44 billion in buying power and are definitely a different kind of shopper."   Having an influence on how money is spent is not the same as spending it yourself.  See above cited information from an article cited.  Of course, they will be spending as they age, but words are important - especially if you're using them to convince people of a course of action.

All in all, this entry is even less relevant to eBay than the others.  And it is supremely irrelevant to our business for several more years until this particular generation is actually in the working environment in a serious and meaningful manner.  A good seller will continue to take care of his/her buyers in a solid manner with integrity regardless of bandwagon blogs and e-commerce "reports".

~M

[swenson8781]

Interesting article with interesting facts, quite a few that I do agree with.  I personally have 2 'Millenials' (although not raised with the same mentality as most, I hope!), and 3 GenZ kids.  Only one of them is currently a shopper with her own funds to do so.  

She actually spends the majority of her shopping money here on eBay.  And has her own Paypal account.  She's been raised watching me buying & selling on here, and knows how to shop well for a bargain.  I've had to spend some time teaching her 'how' to buy efficiently, and recently explained to her how to leave appropriate fb.  She left a neg for a seller based on the item, not the sellers performance.

I explained that unless the seller manufactured the actual product, the seller shouldn't be held accountable for how the product functioned.  I told her she could request to return it, but the seller had already offered to refund.  I told her that the seller has done everything to make it right and make her happy.  eBay remains a unique site with regards to feedback, she understood the difference, and I believe revised her fb.  

I will say I do have concerns about eBay switching their primary payment processor (Paypal), as I feel that many of the younger generations have become familiar and comfortable with Paypal as a payment processor.  Many other online vendors accept it as a payment method nowadays, along with eBay, which allows GenZ flexibility with purchases if they choose.  I believe that most people tend to use what they are familiar with. 

They (GenZ kids) seem to know how to operate it well, and many of her friends have Paypal accounts also, as they can easily transfer monies between them.  I fear a 'new' payment processor may cut eBay out of the sales they anticipate from this upcoming generation.  

[gracieallen01]

And, the majority of them aren't of legal age to buy online - even according to ebay's 'industry standards'. 

Influencing what their families buy?  Well, I suppose, if they whine enough and/or moan and groan that 'well, SHE has one!'

Yes, 74% of their free time online.  Your blogger didn't look around online to see the u-tube participation, or the posting of selfies and the socializing involved, etc.

Personally, I think the 'report' is lacking in 'significant content'.  I would hope for more than, possibly, questionable interpretation.

(personal opinion - your mileage may vary)

[a_c_green]

It seems that anthony_payne drew the short straw and the writing assignment for Chapter 4, the last in this series, but to his credit, he's quoting new sources and trying to summarize what articles out there are saying about Generation Z.

Whether it all applies here, or even sinks in, is hard to say. For example, the article states that "Gen Z guys prefer to spend more on products than Gen Z girls, and Gen Z girls spend more on experiences than their male counterparts," so you'd think the discussion would lean in the direction of males and their product choices, but that doesn't happen, and instead we get yet another stock-photo image of attractive Caucasian females beaming at a portable device. (At least in this latest chapter, eBay changed from three images of one attractive Caucasian female to one image of three attractive Caucasian females, so we'll call that an efficiency move.)

This is followed by more summarizing of other articles, and we've been spared more mentions of Free Shipping, etc. The gist of Chapter 4 seems to be that Generation Z has the attention span of a gnat (or "shorter than a goldfish," to use the referenced study's headline: 8 seconds, to be specific), so you'd better have a listing that's clear, to the point, and loads fast.

These are all good details to aspire to if that's the market you're aiming at, though I don't see that the path being touted here is likely to break an aspiring seller out of the crowd. If you're only marketing to Generation Z, Y or whatever, you're fighting against thousands of other sellers and a sea of junk coming in from China, and while I don't see many points to debate against in this series, I can't help thinking that there would be more value to sellers by showing them how to broaden their horizons and their potential market, rather than narrow the focus to only the young, affluent sellers who will dump you in a heartbeat as soon as the next shiny thing comes along.

@anthony_payne, please jump in here with any followup thoughts.

[gracieallen01]

Sorry!  My apologies, as my reply was meant to be to the topic, not your post.

[jason_incognito]

I have had a hard time putting my finger on it, but I finally realized something. 

eBay is trying to build a whole new site from nothing. They aren't looking at the site here now and seeing what works, what doesn't and tweeking it.

They are ignoring what is going on now. They are ignoring years of markets. 

If you want to know what's working and what isn't, look at the site now and figure it out. But eBay doesn't seem to want anything to do with eBay? They have the God complex that they're building a new marketplace. They don't care about what's here now. They have done research. The arrogance is showing.

So, basically I'm suposed to abandon eveverything I know about selling and making money, everything that has made me money, and throw myself behind some unproven ideas that came about from some market research?

[a_c_green]

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@a_c_green wrote:

I can't help thinking that there would be more value to sellers by showing them how to broaden their horizons and their potential market, rather than narrow the focus to only the young, affluent sellers who will dump you in a heartbeat as soon as the next shiny thing comes along.

---

Okay, I meant to write "young, affluent buyers" there, of course.

Coming up: my six-part series on why people who should know better keep writing "seller" when they mean "buyer," and vice-versa... 

[scene.of.the.crop]

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@swenson8781 wrote:

I will say I do have concerns about eBay switching their primary payment processor (Paypal), as I feel that many of the younger generations have become familiar and comfortable with Paypal as a payment processor.  Many other online vendors accept it as a payment method nowadays, along with eBay, which allows GenZ flexibility with purchases if they choose.  I believe that most people tend to use what they are familiar with. 

Thank you so much for sharing your story! Your children have a great mentor. 

Re: Payment Processor, the coming changes will actually allow anyone to use their preferred payment systems more than they are able to now. A webinar and more info on this update coming very soon! 

[bargainsandbaubles]

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@jason_incognitowrote:

I have had a hard time putting my finger on it, but I finally realized something. 

eBay is trying to build a whole new site from nothing. They aren't looking at the site here now and seeing what works, what doesn't and tweeking it.

They are ignoring what is going on now. They are ignoring years of markets. 

If you want to know what's working and what isn't, look at the site now and figure it out. But eBay doesn't seem to want anything to do with eBay? They have the God complex that they're building a new marketplace. They don't care about what's here now. They have done research. The arrogance is showing.

So, basically I'm suposed to abandon eveverything I know about selling and making money, everything that has made me money, and throw myself behind some unproven ideas that came about from some market research?

---

Sadly this is modern management for you.

Pretend eBay bought a car company, a car company that has done well for decades.

Instead of asking what could be done to the car to make it better, from customers, they turn to a "think tank" of "marketing geniuses" that have probably never have owned a eBay car.

So they roll out the new 2018 eBay car and it has a bunch of "innovative features" but the second it hits the sales lot, the buyers are angry, because they didn't fix ANYTHING that was plaguing the 2017 car.

Sales tank, and stock price halves.

Most "modern" companies do not listen to customer feedback. It's closed loop. The marketing people get to decide, people with hardly any real-life experience.

I see this a lot with fast food companies. They spend millions on marketing a new sandwich, and it flops, only because they listened to 10 people in suits rather than the 10 million people who buy their products.

[scene.of.the.crop]

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@a_c_green wrote:

... I can't help thinking that there would be more value to sellers by showing them how to broaden their horizons and their potential market, rather than narrow the focus to only the young, affluent sellers who will dump you in a heartbeat as soon as the next shiny thing comes along.

---

The series profiled all generations in order to pull together insights about the progression of buyers and the modern marketplace. There isn't one generation or buyer more important than another, but each group has its own nuances that a business might consider particularly if the seller/retailers services a niche area. Again, no right or wrong answer for any particular niche, but things to think about would be 1) how desireable are my products in the near or long term future? 2) do I have to market/package or sell them differently? 3) what's my exit strategy if I don't care to sell to this audience or in line with their preferences in the future? 

[golfingaddict]

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@scene.of.the.cropwrote:

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Again, no right or wrong answer for any particular niche, but things to think about would be 1) how desireable are my products in the near or long term future? 2) do I have to market/package or sell them differently? 3) what's my exit strategy if I don't care to sell to this audience or in line with their preferences in the future? 

---

Wow, where did that come from?

Are you writing this to tell us something?  That we might need to exit from selling on ebay?   That is a pretty open ended comment that makes me wonder.

Are things going to change so drastically for these groups of buyers that sellers will need to pack it in?

I see the same basic needs for all buyers online.

And for those of us selling on ebay have no idea who we are really selling to.  We have to think about every type of buyer because we have no idea who is behind that Mobile Device. 

I think you could take all four articles and condense them into a few basic tips on how to sell online in 2018 and beyond.

[tunicaslot]

The difference is - many of us who have been here for the past 15-20 yrs and have been successful - think except for a few glitches - Ebay is fine the way it is - meanwhile other ecommerce companies are evolving as they are looking down the road to how the next group of buyers use the various sites. What their expectations are and what can be done to make Ebay their go to place to shop.

Things have to change - doesn't mean I like it but we either adapt to the new changes or we fall behind. I have yet to adapt to the new android phones and apps - and I'm falling behind as many sites these days - only allow for mobile apps. There are coupons I don't have access too because I don't have an app. I can't sell on Poshmark or Mercari as I don't have an app. My ipad is so old - I can't even update it to the level needed to download the app.

The information Ebay is gathering is not unique to Ebay - each and every business that has items to sell - be it a B&M or eccommerce site are gathering this same information and making changes.  

[nawlinsron2]

I may have speed read past it, but how much disposable income per week does a Gen Z have?
$20???...$200???...$2,000???
How many have a paypal account?
They spend $44B on WHAT?

[bubbleman2010]

The majority spend their money on items that sparkle and glitter at the checkout line in wal mart and the dollar store.