New Product Development For Gen Z
Old Gen Zers (15-20-year-old) are the ones who marketers are continuously trying to attract. Gen Z is known as the most social and influential generation ever. If for example, Company A. Saxton wants to develop a new product for the 15-20-year-old market, a segment it has never marketed before, it must concentrate on how the old Gen zers make buying decisions, factors that affect their behavior and make use of market research. An example of a product that for example, Oceanic Co. can produce is Ocean Bracelets that are made from unrecyclable products removed from the ocean. The money used to buy the bracelet can help in removing more unrecyclable products affecting our ocean.
Old Gen Zers represent more than ¼ of the U.S population. They are more aware of the environmental, political and socially economic problems occurring in the world. Thus, they would buy products that would reflect certain factors affecting their buying process. For example, Gen Zers are motivated to buy from firms that are eco-friendly and sustainably responsible. Their lifestyle consists of spending time and resources to contribute towards a positive purpose. Gen Zers want to represent their values and their expectations of themselves and their peers i.e. they are motivated by self-esteem.
Gen Zers consider the relationship with their peers and people they interact with every day more important compared to celebrities. They are more likely to buy a product recommended by their peers rather than on the television or celebrities. They are less likely to be influenced by repetitive advertising or linking a brand to the idea of making ocean bracelets. Old Gen Zers document their life on social media and always try to find means to be unique and save money at the same time. Thus, ocean bracelets can help them to create a more meaningful picture of the world.
To develop ocean bracelets for the old Gen Zers, Oceanic co. must conduct a market research on ocean bracelets. First of all, Oceanic Co. needs to define the problem i.e. to make the old Gen Zers aware that the company is helping in preserving our oceans through money collected through sale of bracelets. It must also establish its measure of success i.e. making sales of ocean bracelets and making people aware of environmental issues. Oceanic Co. needs to design a research plan and specify its probability sample i.e. ocean bracelets. For example, the sample can be a shopping sample i.e. consumers must make efforts planning and making consumer decisions. The oceanic bracelets must have a desirable attribute, be unique and represent the old Gen Zers market. The product idea can be presented to a sample of the 15-20-year-old segment with a description to gain attitudes and buying intentions. Oceanic Co. can use these attributes to produce bracelets.
The company must also collect relevant information online since the segment market is socially active. They can evaluate the responses of old Gen zers to non-conscious stimuli in a way that they respond without recognizing it. Data can also be collected through individual interviews and depth interviews. Old Gen zers care about our planet and they care about talking of awareness and what people are doing for the environment. Thus, interviews are a good way of communicating with them. Syndicated panels, and universities can be a good way of collecting data. The company must also be careful about its financing of collection of data and use both reliable and low-cost ways. Oceanic Co. can obtain information from reviews of what Old Gen Zers think of their product. For example, data may suggest that consumers love eco-friendly packaging. Survey questions can be “how would you describe the bracelet you will buy?” or “where do you want to buy the ocean bracelet?”.
The company can also test its product and modify it based on how consumers react to it. This can lessen the risk of failure and help the company to understand its weaknesses and adjust. However, it might be expensive, and competitors might interfere. Oceanic Co. can also make use of social media to be aware of how much of the market share its competitors own and how positively or negatively old Gen Zers are reacting to eco-friendly bracelets.
However, data cannot be collected through census data because there are few companies that have been eco-friendly in the past and information may be unreliable due to companies experiencing trial and error. Once data is collected, it can be analyzed through presentations of charts or graphs showing how are sales of competitors and which specific factors affect sales. Whether the product fits into the segment market, the environmental and competitive changes taken into account,
After analyzing data and presenting its findings, Oceanic Co. must undertake marketing decisions i.e. target households with teens and young adults ages 15-20 and gain strength in this segment. Oceanic co. can finally develop action recommendations such as developing a program targeting 15-20 age group and providing services to this segment market during global events such as climate change walks or environmental walks, or during festivals, natural sites clean ups and so on. Oceanic Co. can also develop special events on social media such as beach clean ups and invite old Gen Zers to contribute through buying ocean bracelets. It can also undertake advertising research on 15-20-year-olds and their families.
Oceanic Co. can also implement a sales forecasting measure to show the total sales Oceanic. Co expects for a certain period, if there are no changes in consumer preferences and competitors’ prices. The company must also consider changes in the economy or regulations. For example, if regulations state that companies producing recyclable products must have a patent right in doing so, the company must make sure to be legally producing the bracelets and make sure that its competitors are not illegally stealing its customers. As Oceanic Co. uses the money obtained to help clean the environment, sales need to be forecasted. If, Oceanic Co. understands how the consumer works and how market research can be done, it can develop its oceanic bracelets and sell them to help increase its profits and help to clean the environment at the same time.