Generation Z—the 10-25 year olds—is the most tech-savvy, web-centric, and connected consumer group of all time. They are increasingly driving consumer choices and trends, and businesses are taking notice. Businesses are constantly looking for ways to use technology to capitalize on and appeal to the interests of Gen Z.
Many of these trends are already emerging. Games and eSports, for example, are quickly gaining traction among Gen Zers, not just for having fun and enjoying entertainment, but for interacting with others and even making money. To capitalize on this trend, companies are turning to gamification – using game-like mechanisms to engage users.
Another way innovators are using technology to engage Gen Z is through interactive content. Recent research shows that 90% of Gen Z use apps with live interactive video. Chat-based experiences are also becoming increasingly popular.
To actually implement these types of interactive experiences, companies are using tools like machine learning (ML) and augmented reality (AR).
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In recent years there have been explosive improvements in ML technology. With Gen Z acting as early adopters of technology, companies looking to make a name for themselves among younger generations need to take advantage.
OpenAI has spearheaded advances in natural language and image processing, virtually monopolizing the tech media landscape with its recent releases of ChatGPT.
OpenAI isn’t the only lab driving innovation, and companies are turning to AutoML platforms from Google, Amazon, Microsoft, and others to build their own models. Research shows that companies using AI and ML outperform their peers and create competitive advantages.
One company using this ML technology is the photo and video sharing platform ShutterStock. By using DALL-E 2, users can create their own images and videos, turning their concept documents into stunning visual representations. Instead of hiring a team of graphic designers, users can now create visuals themselves with the help of AI.
Another example comes from Notion. The note-taking software now leverages ML to make its service more intuitive and helpful, allowing users to create content faster, more accurately, and with fewer errors.
These AI use cases only scratch the surface, and leading investors are anticipating that AI could soon replace therapists, game developers, and even companions for the lonely. It won’t be the Baby Boomers or other older generations who will lead this push, but rather Generation Z, who are already familiar with the technology and excited to explore new possibilities.
AR improves digital experiences
From Snapchat filters to Apple’s ARKit, augmented reality (AR) is gaining popularity among Gen Z as well. AR allows users to interact with a digital environment in ways that traditional media cannot.
This has led to companies using AR to create new interactive experiences that appeal to Gen Z. One example is in the beauty industry, where companies are using AR to let customers try on makeup before they buy it.
Generation Z is also fueling the rise of the Metaverse — a shared digital universe where humans can create and interact in digital environments — through increased use of VR, AR, and gaming.
Businesses are already using the Metaverse and creating their own virtual stores and events. For example, IKEA creates virtual stores where customers can browse their products and Nike creates virtual worlds to showcase their products.
Companies that don’t keep up with the rapidly changing technology landscape risk falling behind those that do. Those looking to grab the attention of Gen Z need to stay up to date with the latest technologies and trends, and consider how to use them to their advantage. This allows companies to create experiences that are interactive, engaging, and tailored to the interests of Gen Z.
Eugene Lisovskiy is co-founder and CEO of Level Up.
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