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Younger consumers demand flavor, function, and authenticity over brand and hype, according to NPD report.
January 25, 2018
By: Sean Moloughney
Editor, Nutraceuticals World
Generation Z, those born 1997 to present, now represent 27% of the U.S. population, a larger group than millennials, and although only older Gen Zs are entering adulthood, their impact on the food industry is already being felt, according to a new study by The NPD Group, a global information company. Gen Zs, many of whom were raised by Gen Xers, grew up understanding the purpose of food and how it fits into a well-lived life. As a result, this generational cohort has set expectations that food and food brands will follow their needs, and not the other way around. By virtue of their upbringing, Gen Zs are unintentional foodies and were brought up in a culture that talks about, celebrates, and entertains with food, according to the recently released NPD report, “Make it Happen for Gen Zs.” They are told at an early age what their food can do for them in terms of functional and nutritional value and not just how it tastes, bringing a new definition to the “value” of food. Gen Zs, like the millennials, prefer food and beverages with transparent labeling and an absence of artificial ingredients; skeptical of big brands and too many label claims, according to the NPD report, which takes a holistic look at the attitudes, behaviors, and voices of Gen Zs. Growing up with a greater emphasis on flavor and function rather than brand will make Gen Zs more challenging for food marketers to reach. Like the millennials, this group wants authenticity, and although the term has become synonymous with clean and fresh, it broadens for Gen Zs to include brands that honestly offer experiences, finds CultureWaves, a firm that monitors emerging consumer behavioral trends and an NPD partner on the Make it Happen for Gen Z report. This tech-savvy generational group, which never knew a world without the Internet also seeks personalization, engagement, and fluidity, like portable foods, to meet the needs of their busy lives. “The more I study trends in retailing, foodservice, and eating patterns, the more I become convinced that the macro themes emerging in consumption behavior are generationally driven,” said David Portalatin, NPD and author of Eating Patterns in America. “Gen Zs will be a seismic force for the food industry as they emerge into adulthood under more prosperous economic circumstances, yet with their own differentiating set of values.”
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