Not only does Gen Z currently represent about 27% of the US population¹, but they're also entering the workforce in spades, with the oldest members of this generation now in their mid-twenties. That means Gen Z has money to spend—and they're excited to get shopping.

In fact, Insider Intelligence recently noted that Gen Z has "stepped up its spending while other generations tighten their belts."² What's more, 46% of Gen Zs say they "feel wealthy" based on what they earn.³ As digital natives with roots in the online world—and newfound spending power in the real one—Gen Z is a key cohort for brands who want to reach young, savvy audiences.

That said, like every generation, Gen Z is unique. From their buying behavior to the media they engage with and how they interact with companies online, these consumers have their own set of quirks. As an advertiser, the more you know about Gen Z, the better prepared you'll be to get their attention—and keep them engaged.

Gen Z psychographics: an overview

On the surface, Gen Z looks simple enough: a generation divided between teens who are ramping up to launch the next phase of their lives, and young adults already in the working world. But who are these young people, really? What do they believe? How do they spend their time?

This overview of Gen Z, their identity, and what matters most in their lives speaks volumes about what makes them tick.

1. Gen Z lifestyles, work, and spending

For young people, college counts. This cohort values higher education, with 83% of Gen Zs in a recent survey by Gallup noting they believe college is either "very important" or "fairly important."⁸

When they get out into the professional world, salary isn't the only factor that determines where Gen Zs choose to work. Research shows that Gen Z values salary less than all other generations, and prefers an interesting job over a boring one even if the former doesn't pay as well. As the most diverse generation, they look for careers where they feel they fit in.⁹

What do Gen Zs do with the money they earn? Studies show that 89% saved money on a purchase in 2023, which is more than any other generation. At the same time, three-quarters of them aren't opposed to splurging on an item they really want.¹⁰ Inflation is causing some stress, which means that even though 73% of Gen Zs feel they do a good job of managing their monthly bills, long-term financial security remains a concern.¹¹

2. Gen Z values

Gen Z's values, including caring about things like racial justice and climate change, play a big role in how they live and what they buy.¹² Gen Z has been called the "sustainability generation" because they routinely make purchases based on their social and environmental values. Sixty-two percent of Gen Z shoppers would rather buy from sustainable brands, and 73% are willing to pay more for sustainable products.¹³

Even so, they prioritize convenience and may favor brands that offer it. Mobile pay, app-based services, and friction-free online transactions are important to them.¹⁴

3. Activities, interests, and opinions

As the most diverse generation to date, Gen Z values different perspectives and honest debate. They may be young, but they're deep thinkers who are curious about culture and how to better themselves.

Spotify creates a deeply personal space for people to listen, watch, learn, and connect with culture on their own terms. This helps them shape their identities and communities—and project them onto the world. In fact, a resounding 78% of Gen Zs in the US agree that Spotify brings people deeper into culture,¹⁵ and about half say podcasts "bring them closer to the zeitgeist of culture than any other form of media.¹⁶

How to leverage psychographics to reach Gen Z audiences on Spotify

Equipped with these Gen Z psychographics, you can start thinking strategy. Spotify is a good place to start. Our data shows that in 2023, Gen Z listened to more than 1.2 TRILLION songs and more than 2.6 billion podcast episodes—a 67% increase over the year prior, making them our fastest-growing cohort in music and podcast listening.¹⁷

Here are a few tips to help you create a Spotify Ads campaign that resonates.

Engage Gen Z with music

Brands wanting to connect with Gen Z should carefully consider the soundtrack to their ad, in order to deliver messaging that's just the right fit. Today, more than ever, Zs are using music on Spotify to forge connections with each other—accounting for 60% of all Blend playlists created and shared in the last two years.¹⁸ For brands, this creates an opportunity to tap into these rich online and real-world communities with a message (abd soundtrack) that resonates.

Pique curiosity about your brand with podcast ads

Since Gen Z psychographics tell us they're committed to expanding their minds and immersing themselves in topics of interest, podcasts are another great way to connect. In fact, nearly three-quarters (72%) of Gen Zs in the US agree that podcasts take you deeper into any topic, bringing listeners to the core of any subject.¹⁹

Gen Z's podcast preferences vary across categories: In the US, listening in the Business & Technology category surged by 53% last year. We also saw increases in Religion & Spirituality (+85%), Government (+45%), and History (+39%), providing further evidence that Gen Zs like to dive deep.²⁰ In addition, more than half of Gen Z podcast listeners in the US (53%) report they've learned about a community outside their own that they “probably wouldn't have learned about elsewhere" via podcasts.²¹

Reach your audience where they are

Spotify Ads Manager makes it easy to target Gen Z listeners with creative ads that speak to their interests and needs—whether they're tuning into music or podcasts. Just choose an objective, define your audience, set your budget, and upload your creative. Or send us a script and we'll create your ad for you—for free!

We recommend using audio and video ads together to reach this digitally native generation most effectively. Spotify's Video Takeover ads, delivered during a listening session, can drive engagement through customizable calls to action—while our Opt-In Video format puts brands front and center in the app's Now Playing View screen, right beside the music listeners love.