The current situation:

According to the Pew Research Center, 85% of U.S. adults own a smartphone, and 76% say they have purchased items using their smartphones. Used correctly, social media advertising can be an effective and efficient way to deliver brand messaging; however, many brands deliver ads and content that don’t reflect the hearts and minds of their target consumers.

What consumers are thinking:

This week’s Sales Factory Consumer Pulse found that more than 70% of Gen Z and Millennials have made a purchase based on an ad they saw on social media, and more than 80% of them follow at least one brand on social. These data points are significantly higher than those for Gen X and Boomers – so if your brand growth is tied to Gen Z and Millennials, it’s important to know how to talk with them rather than at them.

Our report this week focuses on the generational use of social media and how brands can use it to increase relevance and sales. Here is a sample of what’s included in the report:

• 50% are using social media more today than 3 years ago
• 40% trust social media less today compared to 3 years ago
• 66% look for brand or product recommendations on social media
  
  

The Outlook:

Yes, Gen Z and Millennials follow brands on social media and make purchases based on social media ads. But brands that serve up advertising based on generalized demographic information are unlikely to maximize the channel’s ability to drive sales growth. Building and maintaining the level of trust needed to motivate your prime prospect to buy on social media requires you to understand who they are and what they care about – only then can you deliver authentic content and advertising that resonates with them enough to put your products in their carts.

Do you want to take the Pulse of your customers? Our Insights team will partner with you to design a study that will help you better understand your customers and their problems, and how your brand can win at retail.

To get additional insight into what this means for brands and retailers, read the entire study.