Gen Alpha are the new kids on the block or, better yet, the new consumers in the market. After Gen Z, Gen Alpha is the next consumer group on businesses’ minds. As the consumer group ages and gains more spending power, it’s important for brands to get in early and make relationships now that can turn into sales for years to come.
Gen Alpha Consumers: Who They Are, Key Behaviors & How to Market
This article is part of a larger series on Retail Management.
Keep reading to learn more about who the Gen Alpha are, what their consumer behaviors and preferences are, and how your business can appeal to their needs and convert them into customers.
Get to Know the Alpha Generation of Consumers
The alpha generation of consumers, or Gen Alpha, are people born between the years of 2010 and 2024. They represent nearly a quarter of the world’s population—all younger than 14 years, representing about a fifth of the workforce by 2035.
Gen Alpha is the next in line as future consumers.
Gen Alpha is characterized by their heavy use of technology, social media, and gaming. They’re arguably the most connected generation yet—and they seem to know it. Gen Alpha is also in tune with the world and their own mental well-being, finding a balance between technology and the real world.
7 Gen Alpha Consumer Behaviors & Shopping Habits
Now that you have a general understanding of who the Gen Alpha are and their defining characteristics, it’s time to focus on how they behave as consumers. Here’s an overview of what you can expect from the Gen Alpha consumer:
They Adopt New Technology
Gen Alpha are, unsurprisingly, early adopters. According to Razorfish’s study, more than 40% of Gen Alpha have used a tablet before the age of 6, and a New Morning Consult research reveals that nearly half of them own one.
They grew up with technology, so they’re comfortable with it and have no hesitation about trying new platforms and tools. In fact, 63% say they like to have the latest devices with the latest features.
Social Media Reigns Supreme
McCrindle Research confirms that Gen Alpha are heavy social media users. Moreover, about 65% of older Gen Alphas spend as much as four hours on social media each day. Thus, it’s important for businesses to have a presence on the social media channels where Gen Alpha spends their time.
… Especially TikTok
Speaking of social media channels, GWI found that TikTok is the top platform of choice for Gen Alpha. The app’s user base grows by about 18% each year, and it’s especially popular with the younger crowd. In fact, 20% of users between the ages of 13 and 15 years say TikTok is their favorite social media app—beating out WhatsApp, Instagram, and Facebook.
And They’re Into Gaming
Gen Alpha likes gamification. More than half of Gen Alpha have played video games by the age of seven. It’s more than just a way to pass the time or have fun with friends. In fact, gaming is actually a form of self-expression for most Gen Alphas. They’re two times more likely to consider gaming a creative outlet than Gen Z, who prefer to play games as a way to relax.
In particular, Gen Alpha likes to play games where they can create their own worlds as well as play with friends. More 12-15-year-olds play video games with friends than alone—less than 20% prefer to play alone. And nearly half want games to incorporate teamwork or events.
But They Also Like Balance
Though Gen Alpha is tech-savvy and digitally connected, they’re more in tune with the impact on their mental health. “Tech-empowered, but not tech-dependent,” Razorfish calls it.
Three-quarters of kids between eight and 10 years old already have mental health on their minds. The same amount say they prefer to play outside more and use technology less as a means of disconnecting to manage their mental well-being. Only about a fifth say they’d like to spend more time online than they do now.
Want to Find a Purpose & Be True to Themselves
On that note, Gen Alpha is more in touch with both their mental health and their sense of identity and purpose. As many as 92% say they understand the importance of authenticity and being themselves. They want to learn new things, stick up for others, understand those with differences, and share their opinions with others.
Plus, nearly a third of Gen Alpha want to make a difference in helping others or the planet when they start their career as an adult. GWI says another 46% of teens are interested in climate change or the environment overall.
How to Market to the Gen Alpha
Check out some tips on how you can start a retail store for or promote your existing one to an audience of Gen Alpha consumers.
Adopt New Technologies
With tech-savvy customers, retailers need to embrace technology. When new platforms and trends come out, explore and see if they make sense for your business. If you want to appeal to a Gen Alpha demographic, incorporate mobile-optimized tactics or look for ways to incorporate the technology in your retail environment.
Because Gen Alpha is a generation of early adopters, they’re most likely to embrace retailers that incorporate advanced technology in stores—especially if it’s part of the customer experience. Virtual fitting rooms, self-checkout, and virtual reality (VR) are just a few options.
Prioritize Social Media
Gen Alpha is socially savvy, both in person and online. As a generation, they’re heavy social media users—which presents an opportunity for small businesses. Find the platforms Gen Alpha is on—TikTok, to start—and begin building your own brand presence there. Incorporate user-generated content (UGC) to gain trust, participate and engage to connect with gen alpha users, and allow for purchases via social commerce.
Check out how to get up and running with TikTok:
Be Transparent
This tip is arguably universally applicable. In fact, we’ve called it out for Gen Z consumers—tech-savvy and digitally connected consumers tend to be more informed. They scrutinize the information they see, seek out the truth, and then spend their money in a way that aligns with personal values. They can see right through the disingenuous business.
As such, it’s important to be transparent about your business and products. This includes not only product features but also business practices. Look for ways to highlight your commitment to corporate social responsibility (CSR) to win their trust.
Make Real Connections
On the note of transparency and authenticity, small businesses would do well if they aimed to make real connections with Gen Alpha. This includes some level of customer relationship management (CRM), collecting information about each potential customer. You might then use that data to personalize your interactions while you build and nurture a relationship.
Get Into Gaming
Gen Alpha are gamers, so retailers would do well to tap into this behavioral preference. Run targeted ads on ad networks that display in games and apps. You might even create your own game for Gen Alpha to play. If the undertaking of creating your own game isn’t feasible, gamify your business. Implement marketing campaigns or customer loyalty programs that gamify shopping with your brand. Make it fun!
Here’s an example: Teleflora, a flower delivery company, created a points system to award customers who leave reviews or post on social media. Top contributors would be featured on a digital leaderboard, fueling social proof and engagement with those users.
Users who help market for and engage with the brand can earn points and badges, earning them a place on the Teleflora leaderboard. (Source: Printful)
Frequently Asked Questions (FAQs)
Gen Alpha adopts to new technologies quickly and gives value to social media, where they spend most of their time. Based on studies, TikTok is their top social media platform and they love gaming. This generation also wants find balance in their lives. They seek purpose and strive to be true to themselves.
The most common stereotypes of Gen Alpha include being addicted to social media and being too inclusive and sensitive. Some generations view them as not in tune with reality.
Some of the popular brands they follow include Nike, Apple, Lego, Starbucks, and Minecraft.
Bottom Line
While Gen Alpha may not have the spending power of Millennials or Gen X, they’re the largest consumer group to date and have more influence than you might realize. Millennial parents are listening to their Gen Alpha kids, and adjust their own consumer behaviors as a result.
While you might be focusing on Gen Z, balancing that with an effort to understand and connect with the Gen Alpha consumer base now will set your business up for success for years to come.
