At the China Beauty Brand Digital Summit in Shanghai (19 – 20 January), R3 Lead Consultant, Carrie Zheng, shared insights on consumer loyalty among Gen-Z and the importance of content and product innovation.

On a panel focused on new growth opportunities for brands looking to reach Generation Z, Zheng shared that the slowing growth of China’s beauty industry during the coronavirus epidemic is not a reflection of decreasing consumers’ purchasing power. “To start is easier than to stop.” Overall beauty sales will neither decline nor slow down in the long-term.

Zheng continued that building emotional connections with Gen-Z is not an easy thing to achieve due to the complexity of their personas. However, once Gen-Z consumers find a brand with which they share the same point-of-view and bond, their loyalty is generally higher than Gen-X and Gen-Y consumers.

To grow marketing communications in 2021,  Zheng recommended continued investment in product R&D and that brands improve the relevance of their content by optimizing algorithms to better suit the younger generation’s diversity and multiculturalism.