Instead of using demographics, Coach conducted ethnographic research to understand Gen Z's core tensions, like craving self-expression while valuing sustainability. This insight into their "dualities" and "emotional trade-offs" was the foundation for their "Expressive Luxury" positioning, which resonates on a deeper human level.
Related Insights
Framing a product around "life moments" (e.g., graduation, first job) shifts the focus from functional utility to emotional significance. Coach isn't in the handbag business; it's in the "belonging business." Its real competitors are other products that provide similar affirmation.
To connect with Gen Z, Coach shifted its brand positioning from simply being an affordable luxury good to being a tool for self-expression. This move addresses a core tension for this generation: the desire to express their true selves while navigating the pressures of constant social media visibility.
Coach transformed its growth strategy by shifting from retaining loyal customers to acquiring new ones at market entry. By aiming to be the "first luxury bag" for the 25 million women who turn 18 each year, they redefined their total addressable market from incremental share gains to a massive, recurring opportunity.
The generation most immersed in digital life is developing a powerful nostalgia for a pre-internet world they've only seen in media. This drives trends like 'digital defiance' and an appreciation for analog products. Brands can tap into this by offering experiences that feel authentic and non-digital.
Modern B2B buyers, particularly from younger generations, make decisions based on a company's values, not just its product features. They actively choose brands that demonstrate clear stances on ethics, inclusion, and transparency. A purpose-driven brand becomes memorable and builds trust in a crowded market.
While Gen Z is overrepresented in ads, data shows that when they see themselves portrayed, ad effectiveness scores drop significantly. Common stereotypes of being tech-obsessed, awkward, or only in competitive situations alienate them. Intergenerational stories and portrayals of kindness perform better.
Brand love is often less about the product and more about what it symbolizes about the consumer. In an era of 'hyper-identity,' brands become signals people use to communicate their personal values and nuances. Marketing should focus on what the brand says about its user.
Gen Z consumers curate different personas across various social channels (e.g., TikTok vs. LinkedIn), making brand positioning exponentially more complex. A brand's purpose must serve as a connective tissue, agile enough to be tweaked for different channel-specific identities while maintaining a core consistency.
The first step to humanizing a brand is not internal brainstorming, but conducting deep-dive interviews with recent customers. The goal is to understand precisely what problem they were solving and why they chose your solution over others, grounding your brand messaging in real-world validation.
Robinhood discovered a counter-intuitive marketing approach: older customers are attracted to the "cool, new thing," while younger, Gen Z customers respond more strongly to messages of stability and longevity. This inversion challenges traditional assumptions about generational marketing in finance.
