To better understand Gen Z, the Oliver Wyman Forum and TNM studied them for two years. Its new report explores what makes Gen Z tick, their idealism and desire for personal fulfilment, the rise of side hustle culture, and how this generation is redefining the employer-employee relationship.
Can a single generation save the world? It happened in the 1940s, when the so-called Greatest Generation successfully turned back fascism and ushered in a long period of stability and rising living standards. Now come what may be the rightful heirs to the mantle — a consequential generation that may be humankind’s best, and greatest, hope in the existential battles against global warming, inequality, and political and social unrest.
We’re talking, of course, about Generation Z, also known as Gen Z, Gen Edge, iGen, the post-millennials, and the New Greatest Generation. They’re the “most” generation in history: most racially and ethnically diverse, most educated, most digitally savvy, and most global by dint of being weaned on the Internet. They’re also the most nonconformist — rejecting labels and traditional financial pursuits and embracing the YOLO life (you only live once, in case you’re asking) and non-binary ideas of gender and sexuality. In time they will redefine politics, the economy, the workplace, healthcare, brand marketing, and much more.
“Snowflake” clichés aside, Gen Zers are also the most resilient — having seen too much tragedy in their short lives. They have lived through a global pandemic, an opioid crisis, the war on terrorism, and lockdown drills.
These events launched a generational army of activists who feel they’re fighting for their lives. They know the world is burning; they have the receipts.
Shakespeare’s line that heavy is the head that wears the crown applies to Gen Z. From climate change to social injustices, they are the generation that could have the last word on the future of society and humankind. With nothing to lose and everything to gain, we’re betting they succeed and become the Greatest Generation of the 21st century.
To better understand Gen Z we studied them over a two-year period. We talked to them, in depth and on their terms. Our research included focus groups and a recent online survey of 10,000 adults in the United States and the United Kingdom. Through our exhaustive analysis, we cracked the code on Introduction 4 what makes Gen Z tick — and are sharing our findings here. We’ve organized this research into seven chapters that describe how Gen Z will profoundly change how we live, work, shop, invest, interact, react, stay healthy, and stay informed. Our Executive Summary gives you a preview of our most actionable findings.
For this report, we focus on the age 18 to 25 cohort — old enough to have potentially joined the workforce, and now exercising more independent buying power than younger members of their generation. In the workplace, autonomy, transparency, and training will be the price employers pay for their loyalty. And as the largest and most disruptive generation ever, their behaviors will reward companies that can tap into their zeitgeist — and doom those that are, well, cheugy.
As consumers, Gen Zers won’t hesitate to punish brands for performative activism, goodwashing, or false advertising. They prefer brands with an open, and even vulnerable, style. They want relatable brands that invite them into genuine conversations where they are heard. Businesses need to embrace Gen Zers’ unique self-expression with an unfiltered authenticity of their own. Gen Zers’ clout comes from their numbers and their worldview. Born between 1997 and 2012, Gen Z represents 25% of the world’s population and $7 trillion or more in purchasing influence, and will comprise 27% of the workforce by 2025.
Gen Zers are empathetic, pragmatic, cynical, resourceful, self-protective, and wise beyond their years. And yet … Gen Zers are unfinished products. Their mastery of technology has left their social skills less developed. They have challenges spotting misinformation, and a fear of making mistakes. Having seen the older millennials live out their lives on the big social platforms — with cringe results — many Gen Zers have retreated to obscure microsites where they can better control the narrative. But if you dismiss their choices — and assume they’ll revert to the social norms because we did — you’re gonna get played, no cap. Their individuality, morality, and preference for experience over possessions are seared into their DNA.
Gen Z has, in some ways, lived a full life before turning 26. But these workers, shoppers, activists, and citizens are just getting started. They are a force of nature and they will shape the future in ways that we haven’t seen for nearly a century.